Ross M. Muir - Page 4

                                                - 4 -                                                  
            issuance of the notice of deficiency did respondent or                                     
            petitioner, or anyone acting on petitioner's behalf, terminate                             
            the Form 872-A agreements by mailing to or filing with the other                           
            party a Form 872-T, Notice of Termination of Special Consent to                            
            Extend the Time to Assess Tax.                                                             
                  Petitioner timely filed a petition to this Court for                                 
            redetermination of the deficiency, affirmatively pleading that                             
            the periods of assessment of the taxes for 1980 and 1981 had                               
            expired and alleging error in respondent's determinations that                             
            disallowed the deductions related to his investment in the                                 
            limited partnership.3                                                                      
                  Petitioner asserts that the Form 872-A extension agreements                          
            terminated by operation of law within a reasonable time after                              
            execution, and, therefore, assessment of the taxes for 1980 and                            
            1981 is barred by the statute of limitations.4  Respondent                                 

                  3All items in the notice of deficiency have been resolved in                         
            accordance with the Court's disposition of the issues in Krause                            
            v. Commissioner, 99 T.C. 132 (1992), affd. sub nom. Hildebrand v.                          
            Commissioner, 28 F.3d 1024 (10th Cir. 1994), the test case in the                          
            Elektra/Hemisphere group of Tax Court cases.  See also Acierno v.                          
            Commissioner, T.C. Memo. 1997-441, affd. without published                                 
            opinion 185 F.3d 861 (3d Cir. 1999); Karlsson v. Commissioner,                             
            T.C. Memo. 1997-432, and Vanderschraaf v. Commissioner, T.C.                               
            Memo. 1997-306, affd. without published opinion 211 F.3d 1276                              
            (9th Cir. 2000), which also involved tax shelter limited                                   
            partnerships and which resolved the issues in a manner consistent                          
            with Krause v. Commissioner, supra.                                                        
                  4Specifically, petitioner contends that the Form 872-A                               

Page:  Previous  1  2  3  4  5  6  7  Next

Last modified: May 25, 2011