- 9 - to section 6673(a)(1). Section 6673(a)(1) authorizes the Court to require a taxpayer to pay to the United States a penalty in an amount not to exceed $25,000 whenever it appears to the Court, inter alia, that a proceeding before it was instituted or main- tained primarily for delay, sec. 6673(a)(1)(A), or that the taxpayer’s position in such a proceeding is frivolous or ground- less, sec. 6673(a)(1)(B). In Pierson v. Commissioner, 115 T.C. 576, 581 (2000), we issued an unequivocal warning to taxpayers concerning the imposi- tion of a penalty under section 6673(a) on those taxpayers who abuse the protections afforded by sections 6320 and 6330 by instituting or maintaining actions under those sections primarily for delay or by taking frivolous or groundless positions in such actions. In the instant case, petitioner advances, we believe primar- ily for delay,4 frivolous and/or groundless contentions, argu- ments, and requests, thereby causing the Court to waste its limited resources. We shall impose a penalty on petitioner pursuant to section 6673(a)(1) in the amount of $1,000. 4We note that the notice of determination issued to peti- tioner informed him that if he wanted to dispute the determina- tion in court, he had to file a petition in this Court. Contrary to that direction, on Aug. 10, 2001, petitioner filed a petition in the United States District Court for the District of Nevada (United States District Court) seeking review of the notice of determination. On July 11, 2002, the United States District Court dismissed petitioner’s case for lack of jurisdiction.Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: May 25, 2011