- 5 - * * * * * * * 10) In addition, don’t notify me that the IRS is “changing” my return, since there is no statute that allows the IRS to do that. You might prepare a return (pursuant to Code Section 6020(b)), where no return is filed, but as in this case, a return has been filed, no statute authorizes IRS personnel to “change” that return. * * * * * * * *Note #1: The word “income” is not defined in the Internal Revenue Code. * * * But, as stated above, it can only be a derivative of corporate activity. * * * B. Petitioner’s Failure To File for 1998 Petitioner failed to file a return or submit to respondent a Form 1040 for the taxable year 1998. C. Respondent’s Deficiency Notice and Petitioner’s Response On December 8, 1999, respondent (acting through James J. Walsh, District Director in Phoenix, Arizona) issued a notice of deficiency to petitioner for the taxable years 1997 and 1998. In the notice, respondent determined deficiencies in petitioner’s Federal income taxes, an addition to tax, and an accuracy-related penalty as follows: Addition to Tax Accuracy-related Penalty Year Deficiency Sec. 6651(a)(1) Sec. 6662(a) 1997 $2,966 —–- $593 1998 9,914 $2,479 --- Insofar as his ultimate tax liability was concerned, respondent gave petitioner credit for the amounts withheld from his wages. However, we note that the determination of a statutory deficiency does not take such withheld amounts intoPage: 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