- 4 - or ratified the filing of the petition. Respondent’s contention that Martin authorized or ratified the filing of the petition was based on the following facts: (1) Attorney Berg signed the petition on Martin’s behalf; (2) correspondence to and from Martin referred to docket No. 22961-88; (3) Rothhammer and Martin had a case involving Elektra/Hemisphere for other years; and (4) Berg and his law firm had filed many petitions on behalf of Elektra/Hemisphere investors. See Martin v. Commissioner, T.C. Memo. 2000-187. Discussion A. Motion for Litigation Costs Generally, a taxpayer who has substantially prevailed in a Tax Court proceeding may be awarded reasonable litigation costs. See sec. 7430(a), (c). To be entitled to an award, the taxpayer must: 1. Exhaust administrative remedies. See sec. 7430(b)(1). Respondent concedes that Martin meets this requirement. 2. Establish that the position of the United States was not substantially justified. See sec. 7430(c)(2)(A)(i). The parties dispute whether Martin meets this requirement. 3. Substantially prevail with respect to the amount in controversy. See sec. 7430(c)(2)(A)(ii)(I). Respondent concedes that Martin substantially prevailed.Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: May 25, 2011