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by Mr. Ford’s testimony and finds that petitioners have failed to
show that any of the underpayment of tax was not due to fraud.
D. Period of Limitations Under Section 6501(c)
After a return is filed, the Commissioner generally has 3
years within which to assess a deficiency in a civil tax case.
Sec. 6501(a)(1). However, in the case of a false or fraudulent
return that is filed with the intent to evade tax, the tax may be
assessed at any time. Sec. 6501(c). Since we conclude that
petitioners’ 1986 return was such a return, we also conclude the
period for assessment remains open. Id.; see also Considine v.
United States, 683 F.2d at 1288.
IV. Estoppel
Petitioners urge in their opening brief that the Court apply
judicial or equitable estoppel to overturn respondent’s
determination. Neither estoppel argument is timely presented.
Rule 39 requires that all affirmative defenses be set forth in
the pleadings. Fazi v. Commissioner, 105 T.C. 436, 444-446
(1995). Rule 34(b)(4) requires that concise assignments of error
be stated in the initial pleadings for each error asserted and
states that any issue not raised in the assignments of error
shall be deemed to be conceded. Because petitioners have failed
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