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individual.” Sec. 6654(a). Subject to certain statutory
exceptions, the addition to tax is applied if the amount of
withholding and estimated tax payments does not equal statutorily
designated amounts. Niedringhaus v. Commissioner, 99 T.C. 202,
222 (1999). The section 6654 addition to tax is mandatory unless
the taxpayer comes within one of the limited statutory
exceptions. Sec. 6654(e); see Recklitis v. Commissioner, 91 T.C.
874 (1988). Petitioner’s only argument as to why she did not
make any estimated payments was that she did not earn taxable
income. Petitioner does not qualify for any of the listed
exceptions. Sec. 6654(e). She is, therefore, liable for the
section 6654 addition to tax for each of the years at issue.
At trial, respondent filed a written motion for the penalty
under section 6673(a). Section 6673 allows the Court to impose a
penalty, in an amount up to $25,000, on a taxpayer if the
position or positions asserted by the taxpayer in the case are
frivolous or groundless. Sec. 6673(a)(1)(B).
Petitioner’s positions were those of a classic tax
protester. Before, during, and after trial, petitioner flooded
respondent and this Court with exhibits and inflammatory
affidavits advancing her position that the U.S. tax system is
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Last modified: May 25, 2011