- 20 - Petitioner’s Fifth Amendment privilege does not prevent us from imposing the penalty. See, e.g., Cabirac v. Commissioner, 120 T.C. 163 (2003); Rodriguez v. Commissioner, T.C. Memo. 2003-105; Edwards v. Commissioner, T.C. Memo. 2002-169; Wheelis v. Commissioner, T.C. Memo. 2002-102. We do not impose sanctions on petitioner for refusing to testify, but rather for instituting and maintaining these proceedings primarily for delay and persisting in advancing arguments that are frivolous. The Court’s time and resources have been wasted. Petitioner was specifically warned by the Court of the likelihood of a penalty under section 6673 if he persisted in his frivolous arguments, and he has persisted. Petitioner could have avoided the penalty we now award to the United States, and other people should avoid it, by even the most minimal concern for settled rules. Serious sanctions are necessary to deter petitioner and others similarly situated; the penalty must be substantial for it to have a deterrent effect. See Takaba v. Commissioner, 119 T.C. 285, 295 (2002) (citing Coleman v. Commissioner, supra at 71). Consequently, a penalty under section 6673 will be awarded to the United States in the amount of $15,000. The amounts of the deficiencies resulting from the corrected amounts of petitioner’s business income as conceded by respondentPage: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
Last modified: May 25, 2011