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section 72018 for 1990. As a former Federal prosecutor and
criminal defense lawyer, he should have been aware of the
implications of such a plea agreement. Moreover, because
petitioner pleaded guilty to an attempt to evade or defeat tax
pursuant to section 7201, he is collaterally estopped from
challenging respondent’s determination that there was an
underpayment for his 1990 taxable year due to fraud under section
6663(a). See Kisting v. Commissioner, 298 F.2d 264, 272 (8th
Cir. 1962) (not reversible error for the Court to admit
taxpayer's nolo contendere plea into evidence), affg. T.C. Memo.
1961-3; DiLeo v. Commissioner, 96 T.C. 858, 885-886; Stone v.
Commissioner, 56 T.C. 213, 221 (1971); Moore v. Commissioner,
T.C. Memo. 2001-77; see also Knoff v. Commissioner, T.C. Memo.
1992-624.
Based on the foregoing, we hold that respondent has clearly
and convincingly established that petitioner is liable for
penalties for fraud under section 6663(a) for the taxable years
in issue. Because section 6663(a) applies, we need not address
respondent’s alternative argument under section 6662(a). As
8SEC. 7201. ATTEMPT TO EVADE OR DEFEAT TAX.
Any person who willfully attempts in any manner to
evade or defeat any tax imposed by this title or the payment
thereof shall, in addition to other penalties provided by
law, be guilty of a felony and, upon conviction thereof,
shall be fined not more than $100,000 ($500,000 in the case
of a corporation), or imprisoned not more than 5 years, or
both, together with the costs of prosecution.
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