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Addition to Tax Under Section 6651(a)(1)
Section 6651(a)(1) imposes an addition to tax for failure to
file a return on the date prescribed (determined with regard to
any extension of time for filing), unless it is shown that such
failure is due to reasonable cause and not due to willful
neglect. The taxpayer has the burden of proof to show the
addition is improper. United States v. Boyle, 469 U.S. 241, 245
(1985); Funk v. Commissioner, 687 F.2d 264, 266 (8th Cir. 1982),
affg. T.C. Memo. 1981-506.
Petitioners received approval of their Application for
Additional Extension of Time To File until October 15, 1990.
Their signatures on the Form 1040 were dated November 4, 1990;
their 1989 return was received by the IRS on November 13, 1990.
Petitioners did not include this issue in their trial memorandum,
did not offer any evidence on the issue at trial, nor address it
in their briefs. Their return was not timely filed, and we
consider petitioners to have conceded their liability for the
delinquency addition.26
Accuracy-related Penalty Under Section 6662
Section 6662 imposes a penalty of 20 percent on any portion of
an underpayment of tax attributable to negligence or disregard of
26 Petitioners pleaded the statute of limitations as a
defense to the deficiency and additions, alleging that the notice
of deficiency, mailed Oct. 14, 1993, was issued more than 3 years
after the return was filed. The facts show that the return was
not filed until Nov. 13, 1990, and hence the notice of deficiency
was timely issued. We similarly consider petitioners to have
conceded this issue.
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