Joyce M. Thomas - Page 7

                                        - 7 -                                         
         come forward with evidence sufficient to persuade the Court that             
         respondent’s determination is incorrect.  Id.                                
              2.   Petitioner Is Liable for Section 6651(a)(1) Additions              
                   to Tax                                                             
              Section 6651(a)(1) imposes an addition to tax for failure to            
         file a return on the date prescribed (determined with regard to              
         any extension of time for filing), unless petitioner can                     
         establish that such failure is due to reasonable cause and not               
         due to willful neglect.  Respondent submitted and the Court                  
         received into evidence Forms 4340, Certificates of Assessments,              
         Payments, and Other Specified Matters (respondent’s Forms 4340),             
         applicable to petitioner for the years in issue.  Respondent’s               
         Forms 4340 indicate that petitioner did not file income tax                  
         returns for the years in issue, which petitioner confirmed in her            
         testimony at trial.  We find that respondent has met his burden              
         of production.                                                               
              To show reasonable cause, petitioner must show that she                 
         “exercised ordinary business care and prudence and was                       
         nevertheless unable to file the return within the prescribed                 
         time”.  Sec. 301.6651-1(c)(1), Proced. & Admin. Regs.  For                   
         illness or incapacity to constitute reasonable cause, petitioner             
         must show that she was incapacitated to such a degree that she               
         could not file her returns.  Williams v. Commissioner, 16 T.C.               
         893, 905-906 (1951); see, e.g., Joseph v. Commissioner, T.C.                 

Page:  Previous  1  2  3  4  5  6  7  8  9  10  Next

Last modified: May 25, 2011