David K. Straight - Page 34

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          required by section 7522.  However, respondent's counsel did not            
          concede this point until late during the second of two hearings             
          we held relating to the document.  Thus, it was fully appropriate           
          for petitioner's counsel to pursue this matter.  It was unfair to           
          add that burden to petitioner's normal presentation in this case.           
               However, we do not believe that petitioner was prejudiced in           
          presenting the merits of this case by the addition of the 1992              
          column to the 30-day letter, its submission to petitioner to                
          include in the stipulation, or the revenue agent's incorrect                
          testimony.  Striking respondent's answer would be excessive under           
          these circumstances.  Betz v. Commissioner, supra at 822-823.               
          Instead, we impose a sanction on respondent in favor of                     
          petitioner, in the amount of $5,000.                                        

                                                  Decision will be entered            
                                             under Rule 155.                          




















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