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this failure to file other than his belief that income tax could
not constitutionally be imposed on his earnings. In light of the
extensive authority rejecting similar arguments, we conclude that
petitioner’s failure to file was not due to reasonable cause. We
therefore hold that petitioner is liable for the section 6651(a)
delinquency addition to tax.
Finally, section 6673(a) authorizes this Court to impose a
penalty on its own motion and reads in pertinent part:
SEC. 6673. SANCTIONS AND COSTS AWARDED BY COURTS.
(a) Tax Court Proceedings.--
(1) Procedures instituted primarily for
delay, etc.--Whenever it appears to the Tax Court
that–-
(A) proceedings before it have been
instituted or maintained by the taxpayer
primarily for delay,
(B) the taxpayer’s position in such
proceeding is frivolous or groundless, or
(C) the taxpayer unreasonably failed to
pursue available administrative remedies,
the Tax Court, in its decision, may require the
taxpayer to pay to the United States a penalty not
in excess of $25,000.
On this record, we find that petitioner’s position is
frivolous and groundless. The body of case law unequivocally
upholding the constitutionality of the income tax statues and
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Last modified: May 25, 2011