- 11 - but does not disallow any ascertainable amount of the Tax Court’s deficiency determination. We note the recent case of Wechsler v. United States, 2000 WL 713407 (S.D.N.Y. 2000), which granted the taxpayers relief under section 7486 where a decision of this Court was reversed and remanded. In that case, the Tax Court had initially denied the taxpayers’ motion for summary judgment because the Court found that valid waivers were executed which extended the applicable 3-year period of limitations. See Transpac Drilling Venture 1982-16 v. Commissioner, T.C. Memo. 1994-26. In doing so, the Tax Court did not address the Commissioner’s alternative argument that the 6-year period of limitations might apply. See id. The Court of Appeals for the Second Circuit reversed the Tax Court’s holding that the waivers were validly executed and remanded for a determination of whether the 6-year period of limitations applied. See Transpac Drilling Venture 1982-12 v. Commissioner, 147 F.3d 221, 229 (2d Cir. 1998). The taxpayers’ subsequent motion for relief under section 7486 was granted in Wechsler v. United States, 2000 WL 713407 (S.D.N.Y. 2000), and the Commissioner’s motion to vacate that judgment was denied in Wechsler v. United States, 2000 WL 1253267 (S.D.N.Y. 2000). The District Court explained that the Commissioner’s deficiency determination was unenforceable unless the Commissioner could show that the 6-year period of limitations applied but emphasizedPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011