Allen R. Krawczyk - Page 3

                                        - 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 filed a Federal income tax return for the 1999              
          taxable year (1999 tax return).  He claimed head-of-household               
          filing status, the earned income credit, and two dependency                 
          exemption deductions.                                                       
               In April 2000, respondent began an examination of                      
          petitioner’s 1999 tax return by requesting documentation from               
          petitioner to verify the claimed filing status, dependency                  
          exemption deductions, and earned income credit.  Respondent then            




               1  Respondent concedes that 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.                                           




Page:  Previous  1  2  3  4  5  6  7  8  9  10  Next

Last modified: May 25, 2011