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petitioner and Mr. Vecchio to a Congressman, processed
petitioner's penalty abatement.
On July 29, 1997, petitioners filed a claim for
administrative costs with respect to petitioner's 1987 and 1988
taxable years. The claimed administrative costs for petitioner's
attorney cover a period from December 12, 1996 through June 2,
1997, and for his accountant from September 30, 1996 through
April 30, 1997. On August 11, 1997, the Service denied the claim
for administrative costs.4
OPINION
Petitioners seek administrative costs pursuant to section
7430. Originally, section 7430 only authorized the Court to
award reasonable litigation costs. See Tax Equity & Fiscal
Responsibility Act of 1982, Pub. L. 97-248, sec. 292, 96 Stat.
324, 572-574; Gustafson v. Commissioner, 97 T.C. 85, 87 (1991).
Congress, however, broadened the scope of section 7430 by
amending section 6239 of subtitle J (the "Omnibus Taxpayer Bill
of Rights") of the Technical and Miscellaneous Revenue Act of
1988 (TAMRA), Pub. L. 100-647, 102 Stat. 3342, 3743-3746. In
proceedings commenced after November 10, 1988, the Court is
4 After petitioners filed their petition with the Court,
respondent moved to dismiss petitioner Megan B. Flom-Corkrey for
lack of jurisdiction. However, respondent was subsequently
permitted to withdraw the motion to dismiss when petitioners
demonstrated that respondent had filed liens against petitioners'
joint bank accounts and applied petitioners' joint refunds
against petitioner's liabilities.
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