- 12 -
The Forms 4340 that the Appeals officer relied on during the
administrative process show that respondent sent petitioner
notices of balance due on the same dates that respondent made
assessments for the taxes and additions to tax in question. A
notice of balance due constitutes a notice and demand for payment
within the meaning of section 6303(a). See, e.g., Hughes v.
United States, 953 F.2d 531, 536 (9th Cir. 1992); Weishan v.
Commissioner, supra; see also Hansen v. United States, 7 F.3d
137, 138 (9th Cir. 1993).
Petitioner has failed to raise a spousal defense, make a
valid challenge to the appropriateness of respondent’s intended
collection action, or offer alternative means of collection.
These issues are now deemed conceded. Rule 331(b)(4). Under the
circumstances, we conclude that respondent is entitled to
judgment as a matter of law sustaining the notice of
determination dated July 2, 2001.
B. Imposition of a Penalty Under Section 6673
We turn now to that part of respondent’s motion that moves
for the imposition of a penalty on petitioner under section 6673.
As relevant herein, section 6673(a)(1) authorizes the Tax
Court to require a taxpayer to pay to the United States a penalty
not in excess of $25,000 whenever it appears that proceedings
have been instituted or maintained by the taxpayer primarily for
delay or that the taxpayer’s position in such proceeding is
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Next
Last modified: May 25, 2011