Jerry and Patricia A. Dixon - Page 19




                                       - 19 -                                         
               the Tax Court has multiplied the proceedings in any                    
               case unreasonably and vexatiously, the Tax Court may                   
               require–-                                                              
                                    *  *  *  *  *                                     
                         (B) if such attorney is appearing on                         
                    behalf of the Commissioner of Internal                            
                    Revenue, that the United States pay such                          
                    excess costs, expenses, and attorney's fees                       
                    in the same manner as such an award by a                          
                    district court.                                                   
          Section 6673(a)(2) is applicable "to positions taken after                  
          December 31, 1989, in proceedings which are pending on, or                  
          commenced after such date."  OBRA 1989, sec. 7731(d), 103 Stat.             
          2106, 2402; see Harper v. Commissioner, 99 T.C. 533 (1992).                 
          The trial of the test cases began on January 9, 1989,                       
          and the Court did not issue its opinion in Dixon II until                   
          December 11, 1991.  Although Messrs. Sims' and McWade's                     
          misconduct began in late 1986, they continued to mislead the                
          Court during the trial of the test cases, throughout the briefing           
          process, and in the submission of erroneous decision documents in           
          the Thompson and Cravens cases.  Under the circumstances, we hold           
          that the Government misconduct falls within the effective date of           
          section 6673(a)(2).                                                         
               The Court has not had the occasion to apply section                    
          6673(a)(2) to misconduct of a Government attorney.  We have,                
          however, relied upon the provision to impose sanctions against              
          counsel for a taxpayer.  See Harper v. Commissioner, supra;                 
          Matthews v. Commissioner, T.C. Memo. 1995-577, affd. by                     





Page:  Previous  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  28  Next

Last modified: May 25, 2011