Michael A.Cabirac - Page 12

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          1997 and 1998.  Petitioner has not shown that he falls within any           
          of the exceptions to the section 6654(a) addition to tax.  See              
          sec. 6654(e); Grosshandler v. Commissioner, 75 T.C. 1, 20-21                
          (1980).  We sustain the additions to tax under section 6654(a) as           
          determined by respondent.                                                   
               Section 6651(a)(2) provides for an addition to tax in the              
          case of a failure to pay an amount of tax shown on a return.12              
          Section 6651(a)(2) applies only in the case of an amount of tax             
          shown on a return.  Kinslow v. Commissioner, T.C. Memo. 2002-313;           
          Burr v. Commissioner, T.C. Memo. 2002-69, affd. 56 Fed. Appx. 150           
          (4th Cir. 2003); Heisey v. Commissioner, T.C. Memo. 2002-41; Watt           
          v. Commissioner, T.C. Memo. 1986-22.  Petitioner did not file               
          valid returns for 1997 and 1998; however, respondent prepared               
          SFRs which he claims should be considered in conjunction with a             
          subsequently prepared notice of proposed adjustments.  Respondent           
          argues that when these two documents are considered together,               






               12The addition to tax is equal to 0.5 percent of the amount            
          shown as tax on the return if the failure to pay is not for more            
          than 1 month, with an additional 0.5 percent for each additional            
          month or fraction thereof during which such failure to pay                  
          continues, not exceeding 25 percent in the aggregate.  Sec.                 
          6651(a)(2).  The addition to tax under sec. 6651(a)(1) is reduced           
          by the amount of the addition under sec. 6651(a)(2) for any month           
          (or fraction thereof) to which an addition to tax under sec.                
          6651(a)(1) and (2) applies.  Sec. 6651(c)(1).                               




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