Richard John Florance, Jr. - Page 8

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          collection action, or offer alternative means of collection.                
          These issues are now deemed conceded.  See Rule 331(b)(4).                  
               Accordingly, we conclude that respondent did not abuse his             
          discretion, and we sustain respondent’s determination to proceed            
          with collection.                                                            
               III. Section 6673                                                      
               Section 6673(a)(1) authorizes this Court to require a                  
          taxpayer to pay to the United States a penalty not to exceed                
          $25,000 if the taxpayer took frivolous or groundless positions in           
          the proceedings or instituted the proceedings primarily for                 
          delay.  A position maintained by the taxpayer is “frivolous”                
          where it is “contrary to established law and unsupported by a               
          reasoned, colorable argument for change in the law.”  Coleman v.            
          Commissioner, 791 F.2d 68, 71 (7th Cir. 1986); see also Hansen v.           
          Commissioner, 820 F.2d 1464, 1470 (9th Cir. 1987) (section 6673             
          penalty upheld because taxpayer should have known claim was                 
               Petitioner filed frivolous documents and motions with the              
          Court.  Petitioner has advanced shopworn arguments characteristic           
          of tax-protester rhetoric that has been universally rejected by             
          this and other courts.3  Wilcox v. Commissioner, 848 F.2d 1007              

               3  Petitioner advanced similar frivolous arguments in                  
          Florance v. Commissioner, T.C. Memo. 2005-60 (docket No. 11782-             
          03).  That case also was on the Court’s Dallas, Texas, session              
          beginning Dec. 6, 2004.                                                     

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