- 11 - the severity of the investigation and the civil audit in August of 1997, after which she contacted Robert Beatson II (hereinafter sometimes referred to as Beatson), an accountant and attorney. Beatson immediately filed a power of attorney authorizing him to serve as Mary’s representative with respect to the investigation and the audit. Beatson represented to respondent that Mary (1) did not sign the returns, (2) did not authorize petitioner to sign the returns on her behalf, and (3) wanted to file separate returns for 1988 through 1991 and for 1994. Before August of 1997, Mary did not manifest an intention to file a separate return for 1994. Respondent’s revenue agent, Howard Bell (hereinafter sometimes referred to as Bell), represented to Beatson that Mary could not file separate returns until the civil audit was concluded. By a letter dated June 2, 1998, Bell informed Beatson that the civil audit was “essentially complete”. Beatson then prepared married-filing-separately tax returns for Mary for 1988, 1989, 1990, 1991, and 1994. Beatson did not prepare separate returns for Mary for 1992 and 1993 because respondent (1) determined that there was no outstanding tax liability for those years, and (2) represented that the filing of separate returns for 1992 and 1993 would be administratively inconvenient. Beatson believed that Mary’s interests vis-a-vis the statute of limitations as to 1992 and 1993 were adequately protected by thePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011