Gary Don Erwin - Page 6

                                          5                                           
          Commissioner, 116 T.C. 438 (2001).  For the reasons stated                  
          forthwith, we hold that respondent has met this burden.                     
               In the absence of an extension, the last date for petitioner           
          to file his Federal income tax return for taxable year 2001 was             
          April 15, 2002.  Petitioner testified that he filed an extension            
          request, but he has been unable to produce any evidence that this           
          request was sent to the IRS.                                                
               Assuming, arguendo, that petitioner had timely submitted an            
          extension request, an extension would have provided petitioner              
          until October 15, 2002, to file his 2001 Federal income tax                 
          return.  Sec. 6081(a).  However, the only bearing a timely                  
          submitted extension request would have had on the instant case              
          would be in the calculation of the addition to tax.  Because we             
          are unpersuaded that a request for extension of time to file the            
          return was properly sought, we need not consider a recalculation            
          of the addition to tax under section 6651(a).                               
               “A failure to file a tax return on the date prescribed leads           
          to a mandatory penalty unless the taxpayer shows that such                  
          failure was due to reasonable cause and not due to willful                  
          neglect.”  McMahan v. Commissioner, 114 F.3d 366, 368 (2d Cir.              
          1997), affg. T.C. Memo. 1995-547; see sec. 6651(a).  A showing of           
          reasonable cause requires taxpayers to demonstrate that they                
          exercised “ordinary business care and prudence”, but were                   
          nevertheless unable to file the return within the prescribed                






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

Last modified: May 25, 2011