114 T.C. No. 18 UNITED STATES TAX COURT DAVID DUNG LE, M.D., INC., Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 13702-99. Filed April 18, 2000. R moves the Court to dismiss this case for lack of jurisdiction, alleging that P, a corporation organized under California law, lacked the capacity to file the petition instituting this action. On Apr. 1, 1991, the State of California Franchise Tax Board (the Board) suspended P’s corporate powers, rights, and privileges for failure to pay State income taxes, and the Board did not relieve P of that suspension until (and effective) Feb. 28, 2000. R issued P a notice of deficiency on July 1, 1999, and P filed the subject petition with the Court on Aug. 12, 1999. Held: We shall grant R’s motion; under applicable State law: (1) P lacked the power to initiate a lawsuit during the time it was suspended, and (2) that power was not returned to P until after the applicable 90-day period in which it was required to file a petition with this Court.Page: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
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