Taylor Miller - Page 27




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          Michael ex rel. Michael v. Lullo, 173 F.3d 503 (4th Cir. 1999);             
          Trust Servs. of Am. v. United States, 885 F.2d 561 (9th Cir.                
          1989); Estate of Brocato v. Commissioner, T.C. Memo. 1999-424;              
          Law v. United States, 51 AFTR 2d 1343, 83-1 USTC par. 13,514                
          (N.D. Cal. 1982).  The format of the estate tax closing letter,             
          as described or quoted in these cases, is to state that the                 
          estate tax return has either been accepted as filed or after                
          adjustment to which the taxpayer agreed, to recite that the                 
          letter is not a closing agreement under section 7121, and to                
          state that “we will not reopen this case” unless the three-prong            
          test set forth in the revenue procedure currently in effect is              
          satisfied, either by quoting the test or citing the revenue                 
          procedure.                                                                  
               Petitioner fails to satisfy the strict standard for                    
          equitable estoppel against the Government for at least three                
          reasons.  First, as a threshold matter, there is no evidence of             
          ongoing active misrepresentations, a pervasive pattern of false             
          promises, or any affirmative misconduct by respondent.  See Purer           
          v. United States, supra at 278.                                             
               Second, however the statements in the no change letter might           
          be characterized, petitioner has not demonstrated reliance on the           
          no change letter in changing her behavior to her detriment.  In             
          order to satisfy the requirement of reliance, petitioner must               
          show that she changed her behavior as a result of the alleged               





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