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instances, Mr. Renbarger was told that he would have to
personally guarantee the loan, which he refused to do.
Respondent mailed the estate a notice of deficiency and the
estate timely filed a petition for redetermination.
OPINION
Section 6651(a)(2) provides for an addition to tax5 for
failure to pay taxes shown on a return on or before the payment
due date. The addition to tax under section 6651(a)(2) does not
apply, however, if the failure to pay is due to reasonable cause
and not due to willful neglect. United States v. Boyle, 469 U.S.
241, 245 (1985); Jackson v. Commissioner, 864 F.2d 1521, 1527
(10th Cir. 1989), affg. 86 T.C. 492 (1986); Crocker v.
Commissioner, 92 T.C. 899, 912 (1989); sec. 301.6651-1(a)(2),
Proced. & Admin. Regs.
The taxpayer bears the burden of proof as to reasonable
cause and willful neglect.6 Charlotte’s Office Boutique, Inc. v.
Commissioner, 121 T.C. 89, 110 (2003); Higbee v. Commissioner,
5The addition to tax is one-half percent of the amount shown
as tax on a return for each month or fraction thereof during
which the failure to pay continues, not exceeding 25 percent in
the aggregate. Sec. 6651(a)(2).
6The Commissioner has the burden of production under sec.
7491(c) as to the addition to tax. Sec. 7491(c); Higbee v.
Commissioner, 116 T.C. 438, 446 (2001). Sec. 7491(c) only
applies, however, to individuals. Even if we assume arguendo
that sec. 7491(c) applies to the estate in this case, the estate
has conceded that it failed to pay the Federal estate tax timely,
and so respondent has met his burden of production.
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