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cannot award the addition. O’Rourke v. Commissioner, T.C. Memo.
1997-152 (Court could not award statutory increase in addition to
tax under section 6661 where not asserted by Commissioner).
5. Section 6673(a) Penalty
Respondent, after filing his posttrial brief, filed a motion
for the imposition of a section 6673 penalty against petitioner.
Section 6673(a) allows the Tax Court to impose a penalty of
up to $25,000, payable to the United States, when a taxpayer
institutes or maintains a proceeding primarily for delay, where
the taxpayer’s position in the proceeding is frivolous or
groundless, or where the taxpayer unreasonably failed to pursue
available administrative remedies.
In the case at hand, we hold that petitioner is subject to a
penalty under section 6673(a)(1) on two cumulative grounds–-he
maintained the action solely for the purposes of delay, and he
continued to do so after receiving copies of authorities
rejecting as frivolous and groundless the same arguments he has
advanced in the case at hand. Moreover, after trial, petitioner
first orally agreed to sign a decision document conceding the
case and then failed to sign the document or respond to
respondent’s inquiries. Petitioner’s conduct required respondent
to file a motion to extend time to file opening brief, prepare
and file the brief, and prepare a motion for sanctions under
section 6673. Petitioner’s conduct also required the Court to
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