- 2 - Respondent determined a deficiency in petitioners' Federal income tax for 1993 in the amount of $2,954 and an accuracy- related penalty pursuant to section 6662(a) in the amount of $591. After concessions by the parties,2 the issue remaining for decision is whether respondent's acceptance and cashing of petitioners' check constitutes an accord and satisfaction of their Federal income tax liability for 1993. Some of the facts have been stipulated and are so found. The stipulations of fact and attached exhibits are incorporated herein by this reference. Petitioners resided in Catawissa, Missouri, on the date the petition was filed in this case. All references to petitioner in the singular are to Tom Kelly. On March 29, 1996, petitioners received a letter from respondent's Appeals Office which stated that the total amount due for their 1993 taxable year was $2,907.05. This amount included tax in the amount of $2,044, a penalty in the amount of $395, and interest through April 15, 1996, in the amount of $468.05. On June 10, 1996, petitioners mailed a check in the amount of $2,513 to the Internal Revenue Service. Petitioner, who formerly worked as an attorney, wrote "93 Full payment of tax 2 The parties agreed at trial that the amount of the deficiency in petitioners' Federal income tax for 1993 is $2,044 and the amount of the sec. 6662(a) accuracy-related penalty is $395.Page: Previous 1 2 3 4 5 Next
Last modified: May 25, 2011