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extended by 60 days. Petitioners point out that the second
consent extended the assessment period until October 31, 2000.
Petitioners believe that the 60-day language is a tack-on period
that resulted in the period for assessment ending December 31,
2000, which was a Sunday followed by a holiday, so the period for
assessment ended January 2, 2001. Following that line of
reasoning, petitioners note that respondent’s answer was filed
after January 2, 2001, the date petitioners believe the
assessment period ended. Based upon the above, petitioners argue
that no further determinations are permissible.
Petitioners have misinterpreted the language on the consent
form. The specific language is as follows:
(1) The amount(s) of any Federal Income tax due on
any return(s) made by or for the above taxpayer(s) for
the period(s) ended 1995 may be assessed at any time on
or before October 31, 2000. However, if a notice of
deficiency in tax for any such period(s) is sent to the
taxpayer(s) on or before that date, then the time for
assessing the tax will be further extended by the
number of days the assessment was previously
prohibited, plus 60 days.
That language provides for the extension of the assessment period
to a date certain, unless respondent issues a notice of
deficiency. Then, an additional number of days is added,
including the 60-day period relied on by petitioners.2
2 We find it curious that petitioners’ argument that the
period for assessment and, therefore, adjustments to income
expired seems to apply only to adjustments that adversely affect
petitioners’ tax liability. Apparently, petitioners’ position
only applies where it negatively affects their tax status.
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Last modified: May 25, 2011