Water-Pure Systems, Inc. - Page 22




                                       - 22 -                                         
          actual prejudice in order to obtain due process relief.  Riland             
          v. Commissioner, 79 T.C. 185, 197-198 (1982) (involving a claimed           
          denial of due process on account of delay in issuance of the                
          subject deficiency notice).  The record in the instant case is              
          devoid of such prejudice.  Although petitioner was made aware of            
          Section 530 at least prior to filing its petition with the Court,           
          petitioner failed therein to raise the statute.  Petitioner then            
          did nothing to prepare this case for trial.  Nonetheless, we have           
          addressed the merits of petitioner’s claim for relief under                 
          Section 530(a), first put forth 3 months after trial, despite the           
          untimeliness of petitioner’s contentions.  Accordingly,                     
          petitioner was afforded an opportunity to be heard, and no actual           
          prejudice was sustained.                                                    
               C.  Conclusion                                                         
               We hold that Ridge is an employee of petitioner pursuant to            
          section 3121(d)(1) and that petitioner is not entitled to relief            
          under Section 530.  Accordingly, petitioner is liable for FICA              
          and FUTA taxes for the periods in issue as set forth in                     
          respondent’s notice of determination and relevant stipulations.             
               To reflect the foregoing,                                              

                                             Decision will be entered for             
                                        respondent and in accordance with             
                                        stipulations as to amounts.                   







Page:  Previous  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  

Last modified: May 25, 2011