-9-
OPINION
We decide whether the estate is liable for the additions to
tax respondent determined under section 6651(a)(1) and (2). The
coadministrators filed the estate tax return late and paid much
of the related tax late. Petitioner argues that the
coadministrators exercised ordinary business care and prudence in
trying to file the return timely and to pay the tax timely. As
to the untimely filing, petitioner argues that Seltzer lacked the
knowledge to file the return timely, that Seltzer therefore
relied on Gershon to file the return timely, and that Gershon’s
hip fracture resulted in the return’s untimely filing.
Petitioner also argues that Seltzer’s reliance on Gershon to file
the return timely was reasonable because Cal. Prob. Code sec.
16012 (West Supp. 2006) allowed Seltzer to delegate the duty of
filing the return to Gershon as long as Seltzer regularly
monitored Gershon’s actions underlying that filing. Petitioner
argues as to the untimely payment that Gershon’s hip fracture
also resulted in the late payment and that Seltzer could not pay
any of the estate tax owed until Gershon calculated the amount of
estate tax due.
We disagree with petitioner that there was reasonable cause
for either the late filing or the late payment.
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Last modified: May 25, 2011