William M. Donovan - Page 4




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          the redetermined deficiencies (the deficiencies) were entered in            
          1994.  Petitioner paid the 1980 and 1982 deficiencies on                    
          September 19, 1994; he paid the 1983 deficiency on September 20,            
          1994; and he paid the 1981 deficiency on November 28, 1994. None            
          of the interest that has accrued on any of the deficiencies has             
          been paid.                                                                  
               In claims for abatement originally made in December 1994 and           
          resubmitted in February 1997, petitioner requested abatements of            
          all of the interest that had accrued on the deficiencies.  As               
          noted above, petitioner’s claims were denied in notices of final            
          determination issued by respondent in 1997.                                 
          Discussion                                                                  
               Subject to exceptions not relevant here, interest on a                 
          deficiency begins to accrue on the due date of the return and               
          continues to accrue, compounding daily, until payment is made.              
          See secs. 6601(a), 6622.                                                    
               The Commissioner has the authority to abate the assessment             
          of interest on a deficiency if the accrual of such interest is              
          attributable to an error or delay by an official or employee of             
          the Internal Revenue Service in performing a ministerial act.               
          See sec. 6404(e)(1).3  A ministerial act means a procedural or              

          3Sec. 6404(e) was amended by sec. 301 of the Taxpayer Bill                  
          of Rights 2, Pub. L. 104-168, 110 Stat. 1452, 1457 (1996), to               
          permit respondent to abate interest with respect to an                      
          “unreasonable” error or delay resulting from “managerial” or                
                                                             (continued...)           





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