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(2) the stay of any other act under subsection
(a) of this section continues until the earliest
of--
(A) the time the case is closed;
(B) the time the case is dismissed; or
(C) if the case is a case under chapter
7 of this title concerning an individual or a
case under chapter 9, 11, 12, or 13 of this
title, the time a discharge is granted or
denied.
In sum, unless relief from the automatic stay is granted by order
of the bankruptcy court, see 11 U.S.C. sec. 362(d) (1994), the
automatic stay generally remains in effect until the earliest of
the closing of the case, dismissal of the case, or the grant or
denial of a discharge, 11 U.S.C. sec. 362(c)(2) (1994); see
Allison v. Commissioner, supra at 545; Smith v. Commissioner, 96
T.C. 10, 14 (1991); Neilson v. Commissioner, 94 T.C. 1, 8 (1990).
In the instant case, respondent issued a notice of
deficiency to petitioner on December 16, 1996, during the
pendency of petitioner's bankruptcy case. See 11 U.S.C. sec.
362(b)(9) (1994). There is no dispute that petitioner was
precluded by the automatic stay imposed under 11 U.S.C. sec.
362(a)(8) (1994) from filing a petition with this Court at the
time the notice of deficiency was issued.
The issue to be decided is whether the automatic stay
remained in effect in this case following the dismissal and
subsequent reinstatement of petitioner's bankruptcy case. If the
automatic stay remained in effect, then the petition filed in
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