Estate of Algerine Allen Smith - Page 6




                                        - 6 -                                         
               In the absence of any evidence of legislative purpose                  
          warranting a different approach,7 “we must assume that Congress             
          meant what it said and that the statutory language should be                
          taken at face value.”  Cal-Maine Foods, Inc. v. Commissioner, 93            
          T.C. 181, 209 (1989).  The language of section 7486 provides for            
          abatement and refund of the “amount of the deficiency determined”           
          by this Court that has been “disallowed in whole or in part by              
          the court of review”, regardless of whether the taxpayer files a            
          claim for relief.  The statute simply acts as a procedural device           
          ensuring that the Commissioner follows a decision of the court of           
          review in situations where it can be ascertained that all or a              
          part of the amount of the deficiency determined by this Court was           
          disallowed.  Where the court of review reverses and remands but             
          does not indicate that any ascertainable “amount” of the                    
          previously determined deficiency has been precluded, it cannot be           
          said that the court of review has “disallowed in whole or in                
          part” the “amount of the deficiency determined by the Tax Court.”           


               7The legislative history of sec. 7486 (originally enacted as           
          sec. 1001(d) by the Internal Revenue Act of 1926, ch. 27, 44                
          Stat. 110, amended by the Internal Revenue Act of 1928, ch. 852,            
          45 Stat. 873, designated as sec. 1146 in the Internal Revenue               
          Code of 1939, and becoming sec. 7486 under the Internal Revenue             
          Code of 1954) lacks any indication of congressional intent on the           
          issue involved.  See H. Rept. 1, 69th Cong., 1st Sess. (1925),              
          1939-1 C.B. (Part 2) 315, 327-329; S. Rept. 52, 69th Cong., 1st             
          Sess. (1926), 1939-1 C.B. (Part 2) 332, 357-360; Conf. Rept. 356,           
          69th Cong., 1st Sess. (1926), 1939-1 C.B. (Part 2) 361, 378-379;            
          H. Rept. 1337, 83d Cong., 2d Sess. A434 (1954); S. Rept. 1622,              
          83d Cong., 2d Sess. 614 (1954).                                             





Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  Next

Last modified: May 25, 2011