Patrick W. Healey and Nancy L. Marshall - Page 27

                                       - 27 -                                         

          Foxman v. Renison, 625 F.2d 429, 432 (2d Cir. 1980) (IRS audit              
          of taxpayer’s returns for 4 consecutive years was not an unlawful           
          selective audit).  Petitioners filed their 1991 and 1992 returns            
          on August 20, 1992, and August 23, 1993, respectively.  It would            
          have been virtually impossible for respondent to make a                     
          determination relating to petitioners’ 1991 and 1992 tax years              
          as early as the determination was made for 1990.  We infer no               
          improper motive or bias in respondent’s determinations for 1991             
          and 1992.                                                                   
               Petitioners point out that on September 26, 1994,                      
          respondent’s auditor wrote petitioners a letter attaching her               
          report of proposed income tax examination changes for                       
          petitioners’ 1991 and 1992 tax years (additions to tax for                  
          failure to file under section 6651(a)(1)).  She said in the                 
          letter that she forwarded those reports to keep them with the               
          1990 file because they all presented the same Form 4868 issue.              
          Petitioners contend that the letter from respondent's auditor               
          shows that respondent determined that the additions to tax apply            
          for 1991 and 1992 because petitioners challenged respondent’s               
          determination for 1990.  We disagree.  The September 26, 1994,              
          letter shows that respondent's auditor wanted to keep                       
          petitioners' 1990, 1991, and 1992 audits together because they              
          presented the same disputed Form 4868 issue.  It does not show              
          that respondent had an improper motive.                                     





Page:  Previous  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  28  Next

Last modified: May 25, 2011