- 2 - the year in issue, and all Rule references are to the Tax Court Rules of Practice and Procedure. This case is before the Court on petitioner’s motion for award of litigation costs pursuant to section 7430. After concessions,1 the issue for decision is whether petitioner is a “prevailing party” that may be awarded a judgment for reasonable litigation costs incurred in connection with this court proceeding. As explained in further detail below, we hold that respondent’s position was substantially justified, and, therefore, we shall deny petitioner’s motion for award of litigation costs. Background Petitioner did not file a Federal income tax return for the 1997 taxable year. Respondent received third-party payor information indicating that petitioner received $18,075 of income during the 1997 taxable year in the following amounts: (1) $17,685 from sales of stocks and bonds; (2) $377 of dividends; and (3) $13 of interest. 1 Respondent concedes: (1) Petitioner has substantially prevailed with respect to the amount in controversy or has substantially prevailed with respect to the most significant issue or set of issues presented; (2) petitioner meets the net worth requirements of 28 U.S.C. sec. 2412(d)(2)(B) (2000); (3) petitioner has exhausted the administrative remedies available within the Internal Revenue Service; and (4) the costs claimed by petitioner are reasonable.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011