- 10 - Sec. 1.72-17A(f)(2), Income Tax Regs. On the basis of the particular facts and circumstances present in this case, namely petitioner’s severe health problems and mental condition which incapacitated him during the years in issue, we conclude that an exception provided in section 72(t)(2) is applicable to Mr. Meyer for the years in issue. Accordingly, we conclude that Mr. Meyer is not liable for the additional tax imposed by section 72(t)(1). Additions to Tax Section 6651(a)(1) imposes an addition to tax for failure to file a return on the date prescribed (determined with regard to any extension of time for filing), unless the taxpayer can establish that such failure is due to reasonable cause and not due to willful neglect. Section 6651(a)(2) provides for an addition to tax where payment of tax is not timely “unless it is shown that such failure is due to reasonable cause and not due to willful neglect”. On the basis of the particular facts and circumstances present in this case, namely petitioner’s severe health problems and mental condition which incapacitated him during the years in issue, we conclude that Mr. Meyer’s failure to file for the years in issue and failure to pay for 1996 were due to reasonable cause and not willful neglect. See Shaffer v. Commissioner, T.C. Memo. 1994-618. Accordingly, we conclude that Mr. Meyer is not liablePage: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011