- 12 - arguments through his posttrial brief. Apparently petitioner expects that, if he feigns sincere belief, he will avoid penalties. Petitioner is obviously intelligent and articulate, but he has persevered too long to have any credibility. Serious sanctions are necessary to deter him and others similarly situated. Under these circumstances, section 6673 provides in relevant part: SEC. 6673(a). Tax Court Proceedings.-- (1) Procedures instituted primarily for delay, etc.--Whenever it appears to the Tax Court that-- (A) proceedings before it have been instituted or maintained by the taxpayer primarily for delay, (B) the taxpayer’s position in such proceeding is frivolous or groundless, or (C) the taxpayer unreasonably failed to pursue available administrative remedies, the Tax Court, in its decision, may require the taxpayer to pay to the United States a penalty not in excess of $25,000. Petitioner was specifically warned by respondent and by the Court of the likelihood of a penalty under section 6673 if he persisted in his frivolous arguments, and he has persisted. He did so even when the Court ordered briefs limited to the question of fraud. See Granado v. Commissioner, 792 F.2d 91, 94 (7th Cir. 1986), affg. T.C. Memo. 1985-237. A penalty will be awarded to the United States in the amount of $20,000.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011