- 6 -
and the accuracy-related penalty under section 6662(a).
Section 6651(a)(1) imposes an addition to tax for failure to
timely file a tax return, unless failure to do so is due to
reasonable cause and not willful neglect. The taxpayer must
prove both reasonable cause and lack of willful neglect. Crocker
v. Commissioner, 92 T.C. 899, 912 (1989). “Reasonable cause”
requires the taxpayer to demonstrate that he exercised ordinary
business care and prudence. United States v. Boyle, 469 U.S.
241, 246 (1985). Willful neglect is defined as a “conscious,
intentional failure or reckless indifference.” Id. at 245.
Respondent presented the Certificate of Assessments,
Payments, and Other Specified Matters for petitioner’s 2000 tax
account, which showed that petitioner’s 2000 tax return was filed
on April 28, 2001. Thus, respondent has satisfied his burden of
production with respect to the addition to tax under section
6651(a)(1). Sec. 7491(c).
Petitioner presented no evidence that his failure to timely
file his 2000 tax return was due to reasonable cause and not
willful neglect. On this record, we conclude that petitioner is
liable for the addition to tax under section 6651(a)(1), as
determined by respondent.
Section 6662(a) imposes a 20-percent penalty on the portion
of any underpayment of tax attributable to negligence or
disregard of rules or regulations. Sec. 6662(b)(1). Negligence
Page: Previous 1 2 3 4 5 6 7 8 9 Next
Last modified: May 25, 2011