Jerry and Patricia A. Dixon, et al. - Page 18

                                       - 18 -                                         
          contained in the Equal Access to Justice Act and incorporated by            
          reference in sec. 7430(c)(4)(A)(ii)).  Reasonable attorney’s fees           
          may not exceed the rate of $125 per hour (as adjusted for                   
          inflation) unless “a special factor, such as the limited                    
          availability of qualified attorneys for such proceeding, the                
          difficulty of the issues presented in the case, or the local                
          availability of tax expertise, justifies a higher rate.”  Sec.              
          7430(c)(1)(B)(iii).15                                                       
               Respondent publishes the inflation-adjusted rate cap on an             
          annual basis.  The hourly rate cap for fees incurred in 2001 (the           
          earliest year for which petitioners claim fees) is $140.  Rev.              
          Proc. 2001-13, 2001-1 C.B. 337, 341.  The hourly rate cap for               
          fees incurred between 2002 and 2005 is $150.  Rev. Proc. 2001-59,           
          2001-2 C.B. 623, 628; Rev. Proc. 2002-70, 2002-2 C.B. 845, 850;             
          Rev. Proc. 2003-85, 2003-2 C.B. 1184, 1190; Rev. Proc. 2004-71,             
          2004-2 C.B. 970, 976.  The hourly rate cap for fees incurred in             
          2006 is $160.  Rev. Proc. 2005-70, 2005-47 I.R.B. 979, 985.                 
               B.   Tax Court’s Authority To Award Appellate                          
                    Fees Under Section 7430                                           
               Before we evaluate petitioners’ appellate fee requests under           
          section 7430, we address the threshold issue of our authority to            


          15 The latter two examples of special factors were added by                 
          the Internal Revenue Service Restructuring and Reform Act of                
          1998, Pub. L. 105-206, sec. 3101(a)(2), 112 Stat. 727, effective            
          for costs incurred after Jan. 18, 1999, id. sec. 3101(g), 112               
          Stat. 729.  All of the costs sought by petitioners were incurred            
          after Jan. 18, 1999.                                                        




Page:  Previous  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  Next

Last modified: May 25, 2011