T.C. Memo. 2002-253 UNITED STATES TAX COURT CHARLES B. OWENS AND SALLY L. OWENS, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 672-01. Filed October 3, 2002. R determined a deficiency in tax, and an accompanying accuracy-related penalty, attributable to Ps’ failure to account for discharge of indebtedness income in 1994. Ps filed a petition for redetermination, and R subsequently conceded the entire case. Ps seek recovery of administrative and litigation costs in the amount of $10,978.74 pursuant to sec. 7430, I.R.C. 1. Held: R’s position with respect to the discharge of indebtedness issue was substantially justified within the meaning of sec. 7430(c)(4)(B)(i), I.R.C. 2. Held, further, R’s position with respect to the penalty issue was not substantially justified within the meaning of sec. 7430(c)(4)(B)(i), I.R.C. 3. Held, further, Ps are entitled to recover costs in the amount of $1,449.58.Page: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Next
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