Michael S. Palmer - Page 10

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          willful neglect.  United States v. Boyle, 469 U.S. 241, 245                 
          (1985); Baldwin v. Commissioner, 84 T.C. 859, 870 (1985); Davis             
          v. Commissioner, 81 T.C. 806, 820 (1983), affd. without published           
          opinion 767 F.2d 931 (9th Cir. 1985).  To prove reasonable cause,           
          a taxpayer must show that he or she exercised ordinary business             
          care and prudence and was nevertheless unable to file the return            
          within the prescribed time.  Crocker v. Commissioner, 92 T.C.               
          899, 913 (1989); sec. 301.6651-1(c)(1), Proced. & Admin. Regs.              
          To disprove that the late filing was due to willful neglect, a              
          taxpayer must prove that the late filing did not result from a              
          "conscious, intentional failure or reckless indifference."                  
          United States v. Boyle, supra at 245; Estate of Newton v.                   
          Commissioner, T.C. Memo. 1990-208.                                          
               Petitioner offered no evidence to justify his failure to               
          file returns for 1992 and 1993.  Petitioner argues that "IRS's              
          claim of Failure to File Penalty can only apply to a legitimate             
          tax.  There is no tax on compensation, therefore there is no                
          penalty."  This argument is frivolous.                                      
               We sustain respondent's determination that petitioner is               
          liable for the addition to tax for failure to file a return under           
          section 6651(a) for 1992 and 1993.                                          











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