- 12 - regard to any extension of time for filing), unless it is shown that such failure is due to reasonable cause and not due to willful neglect. The amount of the addition is equal to 5 percent of the amount required to be shown as tax on the delinquent return for each month or fraction thereof during which the return remains delinquent up to a maximum addition of 25 percent for returns more than 4 months delinquent. For the reasons discussed in section II, supra, we find, based upon a preponderance of the evidence, that petitioner did not file a timely 1995 return. Therefore, unless that failure to file was due to reasonable cause and not due to willful neglect, respondent’s section 6651(a) determination must be sustained.10 Petitioner retains the burden of proving reasonable cause for her failure to file. Higbee v. Commissioner, 116 T.C. 438, 446 (2001). Petitioner argues that she typically relied upon Mr. Quarterman to prepare and file their tax returns including, in particular, a 1995 Federal joint income tax return. Such reliance is insufficient to establish reasonable cause for a failure to file. “The failure to make a timely filing of a tax return is not excused by the taxpayer’s reliance on an agent, and such reliance is not ‘reasonable cause’ for a late filing under � 6651(a)(1).” United States v. Boyle, 469 U.S. 241, 252 (1985). 10 By providing persuasive evidence of petitioner’s failure to file a timely 1995 return, respondent has obviously satisfied the burden of production imposed on him by sec. 7491(c) with respect to his sec. 6651(a) determination.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011