- 4 - directly to petitioner's attorneys. Petitioner did not include the $750,000 as income on her 1992 return. The payment petitioner received from the clerk was from proceeds paid into the Superior Court by DeKalb County, Georgia (the county). The county condemned the marital residence of petitioner and Human for use by the Metropolitan Atlanta Rapid Transit Authority. Discussion Section 7430 provides for the award of reasonable administrative and litigation costs to a taxpayer in an administrative or court proceeding brought against the United States involving the determination of any tax, interest, or penalty pursuant to the Internal Revenue Code. An award of administrative or litigation costs may be made where the taxpayer: (1) Is the prevailing party, (2) exhausted available administrative remedies,3 and (3) did not unreasonably protract the administrative or judicial proceeding. Sec. 7430(a) and (b)(1), (3). Issue 1. Prevailing Party To be a "prevailing party", a taxpayer must (1) substantially prevail with respect to either the amount in controversy or the most significant issue or set of issues 3 This requirement does not apply to an award for reasonable administrative costs. Sec. 7430(b)(1).Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011