- 6 -
(1980), and Steele v. Commissioner, T.C. Memo. 1997-307, as
evidenced by his letter to petitioners of February 26, 1998,
annexed as an exhibit to respondent's trial memorandum. In each
of those cases, the Court imposed a penalty against the taxpayer
under section 6673 because of the frivolousness of the taxpayer's
arguments. That letter also notified petitioners that respondent
intended to file a motion for a penalty under section 6673 “in an
amount of at least $5,000.00, if you continue to assert your
previously stated objections to paying taxes” because “As you can
see by reading these cases, your objections to paying taxes are
clearly frivolous and, even more to the point, have been
repeatedly rejected by the Courts.”
At the hearing, the Court explained to petitioners that
their position has no merit. The Court told petitioners that
petitioner's letter of October 23, 1996, would not be treated as
part of their return, but would be deemed a protest filed with
the Appeals officer. Although the facts of the case had been
fully stipulated, petitioners had a prepared statement that they
wished to read into the record. The Court suggested that it
would be more efficient to file the statement as a brief. The
parties thereupon each moved for summary judgment, and respondent
filed a written motion for a penalty under section 6673 “in an
amount not less than $10,000”.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Next
Last modified: May 25, 2011