Michael Cipolla - Page 12

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          the amount of $25,000.  In pertinent part, section 6673(a)(1)               
          authorizes the Court to require a taxpayer to pay to the United             
          States a penalty in an amount not to exceed $25,000 whenever it             
          appears to the Court that a proceeding before it was instituted             
          or maintained primarily for delay, sec. 6673(a)(1)(A), or that              
          the taxpayer’s position in such a proceeding is frivolous or                
          groundless, sec. 6673(a)(1)(B).                                             
               As evidenced by the petition and petitioner’s subsequent               
          arguments, petitioner’s legal arguments are frivolous and he has            
          no grounds justifying his claim that the Appeals officer erred in           
          any manner.  We can see no reason for the petition but to delay             
          the collection of the 1997 income tax owing from petitioner.                
          Petitioner has not only wasted his time, but he has wasted the              
          time of respondent’s agents, officers, and counsel, not to                  
          mention the waste of the Court’s time in disposing of this case.            
          We shall not penalize petitioner in the amount, $25,000,                    
          requested by respondent, but we do believe that petitioner                  
          deserves a significant section 6673 penalty.  We shall therefore            
          require petitioner pursuant to section 6673(a)(1) to pay to the             
          United States a penalty in the amount of $7,500.                            
               To reflect the foregoing,                                              
                                                  An appropriate order and            
                                             decision will be entered.                








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