- 3 -3
Addition to Tax Penalty
Year Deficiency Sec. 6653(b) Sec. 6663
1988 $53,480 $38,440.50
1989 54,048 $32,292.75
1990 110,581 34,201.50
The parties have agreed that petitioner Carol L. Ferrentino
is entitled to innocent spouse relief under the provisions of
sections 6013(e) and 6015 for the 1988 and 1989 taxable years.
Unless otherwise indicated, all section references are to
the Internal Revenue Code in effect for the years in issue, and
all Rule references are to the Tax Court Rules of Practice and
Procedure.
After concessions by both parties, the remaining issues for
decision are: (1) Whether an exception under section 6501(c) to
the general 3-year period of limitations on assessment under
section 6501(a) applies to petitioners' 1988, 1989, and 1990
taxable years; (2) if so, whether petitioners must include
diverted corporate funds in gross income; (3) whether petitioners
are liable for the additions to tax for fraud under section
6653(b) for 1988, and the penalties for fraud under section 6663
for 1989 and 1990; and (4) whether petitioner AJF is liable for
additions to tax imposed by section 6651(a) for failing to file
timely 1988, 1989, and 1990 income tax returns.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011