- 3 - estimated tax, and the remaining $200 to the estimated tax penalty. On October 19, 1995, the IRS received the return. On October 27, 1995, petitioner, at that time a resident of New York, filed her petition in this case, attaching a copy of the return. Respondent filed her answer on December 1, 1995. On April 5, 1996, we issued our notice setting the case for trial at the trial session beginning September 9, 1996. In or about April 1996, the IRS, allegedly without the knowledge of respondent's counsel in this case, issued a refund to petitioner and her husband for the taxable year 1991 (the refund) in the amount of $10,043.59 ($9,915.00 plus interest). At some point, respondent accepted the return as filed, and on June 26, 1996, sent petitioner a decision document reflecting no deficiency.2 On August 28, 1996, respondent filed her motion for leave to file an amendment to answer in order to recover the refund, alleging that it was erroneous because neither petitioner nor her husband was eligible for a refund due to the expiration of the period of limitations contained in sections 6512(b)(3) and 6511(b)(2). In her motion, respondent states that the deficiency she now seeks "is solely attributable to the erroneous refund" and that she is no longer seeking any additions to tax. Petitioner opposes respondent's motion on the grounds that the matter of the deficiency as stated in the notice was resolved 2 The record contains a copy of the decision document showing that petitioner signed it on Aug. 7, 1996.Page: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011