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cause” requires the taxpayer to demonstrate that he exercised
ordinary business care and prudence and was nonetheless unable to
file a return within the prescribed time. United States v.
Boyle, 469 U.S. 241, 246 (1985). “Willful neglect” means a
conscious, intentional failure or reckless indifference. Id. at
245.
Although respondent bears the burden of production with
respect to this addition to tax, petitioner ultimately bears the
burden of proof. Sec. 7491(c); Rule 142(a). It is clear that
petitioner did not file a return for taxable year 1995 until
September 1997. Petitioner did not attempt to explain the
failure to file and provided no indication that he had reasonable
cause therefor. We sustain respondent’s determination that
petitioner is liable for the addition to tax under section
6651(a)(1).4
Section 6662(a) Accuracy-Related Penalty
Respondent determined that petitioners are liable for an
accuracy-related penalty under section 6662(a) for 1996 with
4Respondent applied a 22.5 percent rate to the total amount
of tax required to be shown on petitioner’s return, $30,499, and
offset the resulting amount by a previously assessed sec.
6651(a)(1) addition to tax of $6,354. See sec. 6665(b).
Respondent presumably had previously assessed a sec. 6651(a)(2)
addition to tax as well. See id.; sec. 6651(c)(1).
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