Edward Turney Savage - Page 5




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               that there is a deficiency but that the taxpayer has                   
               made an overpayment of such tax, the Tax Court shall                   
               have jurisdiction to determine the amount of such                      
               overpayment * * *.                                                     
          See Winn-Dixie Stores, Inc. v. Commissioner, 110 T.C. 291, 295              
          (1998).                                                                     
               Because respondent issued a valid notice of deficiency and             
          petitioner filed a timely petition, we have jurisdiction to                 
          redetermine the deficiency or to determine an overpayment for the           
          year in issue.  However, petitioner concedes the deficiency, and            
          he does not now claim an overpayment for the year in issue.                 
          Rather, petitioner contends that respondent improperly determined           
          petitioner's assessed liabilities for interest and penalties for            
          1990 and 1991 and that, as a consequence, some portion of the               
          $10,131 overpayment that petitioner claimed on his 1993 return is           
          now available as an offset against the agreed deficiency for                
          1993.  We hold, however, that we lack jurisdiction in this                  
          proceeding to review respondent's assessment of petitioner's                
          liabilities for interest and penalties for 1990 and 1991.                   
               Our analysis begins with section 6402.  Under the general              
          rule of that section, the Commissioner is expressly authorized to           
          credit the amount of an overpayment against any tax liability of            
          the taxpayer.  Sec. 6402(a).  However, after applying an                    
          overpayment against the taxpayer's liability for another taxable            
          year, the Commissioner is not precluded from subsequently                   






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