- 2 - 1986.1 Petitioners argue that Appeals was required to accept their offer of $100,000 to compromise what they estimate is their approximately $275,000 Federal income tax liability for 1982 through 1996.2 We decide whether Appeals abused its discretion in rejecting that offer.3 We hold it did not. FINDINGS OF FACT4 The parties filed with the Court stipulations of fact and accompanying exhibits. The stipulated facts are found accordingly. When the petition was filed, petitioners resided in Benton City, Washington. 1 Unless otherwise indicated, section references are to the applicable versions of the Internal Revenue Code. Dollar amounts are rounded. 2 While the proposed levy related only to 1982 through 1986, petitioners offered to compromise their liability for 1987 through 1996 as well. 3 Petitioners also dispute respondent’s determination that they are liable for increased interest under sec. 6621(c). This interest relates to deficiencies attributable to “computational adjustments”, see secs. 6230(a)(1) and 6231(a)(6), made following the Court’s decision in Shorthorn Genetic Engg. 1982-2, Ltd. v. Commissioner, T.C. Memo. 1996-515. As to this dispute, the parties have agreed to be bound by a final decision in Ertz v. Commissioner, docket No. 20336-04L, which involves a similar issue. 4 Following a trial of this case, the Court ordered each party to file an opening brief of no more than 25 pages. Petitioners filed a 25-page opening brief that attempts to circumvent the Court’s order by incorporating (1) lengthy arguments made in their 40-page pretrial memorandum and (2) 90 paragraphs of stipulated facts. To the extent that an argument or proposed finding of fact is not specifically set forth in petitioners’ opening brief, we decline to consider it.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011