Peter T. Storaasli - Page 22

                                       - 22 -                                         
          6654(d) sets forth the amount of the required estimated tax                 
          payments an individual must make to avoid the addition to tax               
          imposed by section 6654(a).                                                 
               Respondent determined that petitioner is liable for an                 
          addition to tax under section 6654(a) for the taxable years 1996            
          and 1999.  Petitioner contends that since the repeal of former              
          section 6015 in 1984, there is no “authority” to impose an                  
          addition to tax for failure to make estimated tax payments but              
          makes no other argument regarding the application of section                
          6654.                                                                       
               We rejected an identical argument in Rogers v. Commissioner,           
          T.C. Memo. 2001-20, affd. without published opinion 281 F.3d 1278           
          (5th Cir. 2001).  Former section 6015(d) required individual                
          taxpayers to file annual declarations of estimated income tax in            
          certain circumstances and was repealed by the Deficit Reduction             
          Act of 1984 (DEFRA), Pub. L. 98-369, sec. 412(a)(1), 98 Stat.               
          792, for taxable years beginning after 1984.  The obligation to             
          make estimated tax payments and the addition to tax for                     
          underpayment of the estimated tax remained in effect, however,              
          for subsequent taxable years pursuant to sections 411 and 412 of            
          DEFRA, 98 Stat. 788-793, which consolidated the rules pertaining            
          to the payment of estimated income tax into section 6654.                   
               Petitioner admits that he failed to make any payments of               
          estimated tax for 1996 or 1999, and no exception relieving him of           






Page:  Previous  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  Next

Last modified: May 25, 2011