- 4 - the 1981-1983 Form 870 was, inter alia, Form 886-A, Explanation of Items, which stated in pertinent part: You failed to timely file your 1981 and 1982 Federal income tax returns. You arranged to have your returns prepared only upon contact and request by personnel of the IRS. As attorneys, you knew of your obligation to file tax returns, especially with adjusted gross income exceeding [$]100,000 annually. * * * * * * * You are reminded that failure to file timely federal income tax returns can result in criminal prosecution and assertion of civil fraud penalties. Although Mr. Golemb, as the authorized representative of petitioner and Mr. Reynolds, could have signed the 1981-1983 Form 870 on their behalf, it was Mr. Golemb's practice not to sign such a form on behalf of his clients. Instead, Mr. Golemb required the taxpayer to which such a form pertained to sign it. In light of Mr. Golemb's practice regarding the signing of a Form 870, both petitioner and Mr. Reynolds, as the taxpayers to which the 1981-1983 Form 870 pertained, were supposed to have signed that form in order for it to be effective. As a result of the Service's audit of petitioner and Mr. Reynolds with respect to 1981 through 1983, petitioner was aware that, at a minimum, no return for 1982 was filed during her marriage to Mr. Reynolds. She also had heard rumors that, because of that audit, Mr. Reynolds could have been imprisoned for failure to file a return. Petitioner was fully aware of the possible criminal consequences for failing to file a return.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