- 12 - care to set aside otherwise available liquid funds to pay estimated tax during 1997 and 1998 or to pay their 1997 Federal income tax liability on time in 1998. They disabled themselves from so doing by using the proceeds of the $1 million fee to invest in timberland, pour funds into building their new house, and substantially increase their charitable contributions, rather than set aside some portion of the fee in readily accessible Treasury bills, certificates of deposit, or other money-market obligations. After making some preliminary observations about judicial review, burden of proof, and respondent’s extensions of time to file and pay, we hold petitioners are liable for the section 6654(a) and 6651(a)(2) additions to tax for late payments and the section 6651(a)(1) addition to tax for late filing. We also sustain respondent’s levy, rejecting petitioners’ claim that the Appeals officer abused his discretion. The amounts of some of the additions to tax set forth in respondent’s trial memorandum appear facially incorrect and do not correspond to the amounts set forth in the October 24, 1999, notice of intent to levy. Petitioners did not object to the absence from the record of Form 4340, Certificate of Assessment, or request inclusion of that form in the record to verify the validity of the assessments. See secs. 6330(c)(1), 6203; sec. 301.6203-1, Proced. & Admin. Regs. Respondent conceded on briefPage: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
Last modified: May 25, 2011