Donald A. Ramirez - Page 7

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          is incorrect.  Id.                                                           
               The parties stipulate that petitioner filed his 1998 tax                
          return 2 years late.  In addition, the parties stipulate that                
          petitioner has not fully paid his 1998 tax liability.  We find               
          that, on these facts, respondent met his burden of production                
          under section 7491(c).  As a result, petitioner must come forward            
          with evidence sufficient to persuade the Court that respondent’s             
          determination that petitioner is liable for the section                      
          6651(a)(1) and (a)(2) additions to tax is incorrect.                         
               A showing of reasonable cause requires the petitioner to                
          demonstrate that he exercised ordinary business care and                     
          prudence, but nevertheless was unable to file or pay the tax                 
          within the prescribed time.  Sec. 301.6651-1(c)(1), Proced. &                
          Admin. Regs.  For illness to constitute reasonable cause for                 
          failure to file, petitioner must show that it incapacitated him              
          to such a degree that he could not file his returns.  Williams v.            
          Commissioner, 16 T.C. 893, 905-906 (1951); see, e.g., Joseph v.              
          Commissioner, T.C. Memo. 2003-19 (“Illness or incapacity may                 
          constitute reasonable cause if the taxpayer establishes that he              
          was so ill he was unable to file.”); Black v. Commissioner, T.C.             
          Memo. 2002-307 (“[W]e are unpersuaded that illness is the cause              
          of petitioners’ continuing delinquency.”), affd. 94 Fed. Appx.               
          968 (3d Cir. 2004); Watts v. Commissioner, T.C. Memo. 1999-416               
          (“[A] taxpayer’s selective inability to perform his or her tax               






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