- 4 - Commissioner, 279 U.S. 716 (1929). Respondent's determinations on this issue are sustained. The second issue for decision is whether petitioner is liable for the section 6651(a)(1) additions to tax for the taxable years in issue. Section 6651(a)(1) imposes an addition to tax for failure to timely file a return, unless the taxpayer establishes that such failure is due to reasonable cause and not due to willful neglect. "Reasonable cause" requires the taxpayer to demonstrate that he exercised ordinary business care and prudence and was nonetheless unable to file a return within the prescribed time. United States v. Boyle, 469 U.S. 241, 245-246 (1985). "[W]illful neglect" means a conscious, intentional failure or reckless indifference. Id. at 246. The addition to tax equals 5 percent of the tax required to be shown on the return if the failure to file is for not more than 1 month, with an additional 5 percent for each additional month or fraction of a month during which the failure to file continues, not to exceed a maximum of 25 percent. Sec. 6651(a)(1). Petitioner did not address at trial respondent's determinations that he is liable for the section 6651(a)(1) additions to tax. We therefore find that he has failed to prove that his failure to file his returns was not due to willful neglect or that such failure was due to reasonable cause.Page: Previous 1 2 3 4 5 Next
Last modified: May 25, 2011