Richard H. Frank and Tammy J. Frank - Page 7




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          tax liability is not properly placed at issue, the Court will               
          review the determination of the Commissioner of Internal Revenue            
          for abuse of discretion.  Sego v. Commissioner, 114 T.C. 604, 610           
          (2000); Goza v. Commissioner, 114 T.C. 176, 181-182 (2000).                 
               As was true of petitioners’ attachment to their 1997 joint             
          return, petitioners’ February 12, 2000 letter, and petitioners’             
          attachment to Form 12153, petitioners’ response to respondent’s             
          motion (petitioners’ response) contains statements, contentions,            
          arguments, and requests that the Court finds to be frivolous                
          and/or groundless.6                                                         
               Based upon our examination of the entire record before us,             
          we find that respondent did not abuse respondent’s discretion in            
          determining to proceed with the collection action as determined             
          in petitioners’ notices of determination with respect to peti-              
          tioners’ taxable year 1997.                                                 
               Although respondent does not ask the Court to impose a                 
          penalty on petitioners under section 6673(a)(1), the Court will             
          sua sponte determine whether to impose such a penalty.  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              

               6The statements, contentions, arguments, and requests set              
          forth in petitioners’ response are similar to the statements,               
          contentions, arguments, and requests set forth in responses by              
          certain other taxpayers with cases in the Court to motions for              
          summary judgment and to impose a penalty under sec. 6673 filed by           
          the Commissioner of Internal Revenue in such other cases.  See,             
          e.g., Smith v. Commissioner, T.C. Memo. 2003-45.                            





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