- 8 - disregard of rules or regulations under section 6662(b)(1) or a substantial understatement of income tax under section 6662(b)(2). Respondent has the burden of production under section 7491(c) with respect to that penalty. To meet that burden, respondent must come forward with sufficient evidence indicating that it is appropriate to impose the relevant penalty. Higbee v. Commissioner, 116 T.C. 438, 446 (2001). For purposes of section 6662(a), the term "negligence" includes any failure to make a reasonable attempt to comply with the Code, and the term "disregard" includes any careless, reck- less, or intentional disregard. Sec. 6662(c). Negligence has also been defined as a lack of care or failure to do what a reasonable person would do under the circumstances. Leuhsler v. Commissioner, 963 F.2d 907, 910 (6th Cir. 1992), affg. T.C. Memo. 1991-179; Antonides v. Commissioner, 91 T.C. 686, 699 (1988), affd. 893 F.2d 656 (4th Cir. 1990). The record establishes that petitioner attached Form 4563 to his 1998 return, in which he claimed that he resided in American Samoa throughout 1998. The record further establishes petitioner resided and worked in Johnston Island throughout that year. On the record before us, we find that respondent has satisfied respondent’s burden of production under section 7491(c) with respect to the accuracy-related penalty under section 6662(a) determined in the notice.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
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