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(1994). Personal income taxes are due on the date the return is
required to be filed. Sec. 6151(a); Holywell Corp. v. Smith, 503
U.S. 47, 58 (1992); Pan Am. Van Lines v. United States, 607 F.2d
1299, 1301 (9th Cir. 1979). Because the liability for the 1994
income tax arose after the commencement of the case in
bankruptcy, the assessment of that tax was not subject to the
bankruptcy stay. The Court finds the bankruptcy stay did not bar
the assessment of petitioner’s 1994 income tax liability.
Petitioner asserts the assessments for the years at issue
were untimely. Section 6501(a) generally provides that an
assessment of income tax liability is to be made within 3 years
after the tax return was filed. The Court finds petitioner’s
income tax for each of the years at issue was assessed within 3
years of the date the tax return for that year was filed.
Petitioner asserts penalties should be abated because they
accumulated due to respondent’s delays and payment will cause an
undue hardship because of his limited financial resources.
Section 6651(a)(2) imposes an addition to the tax for failure to
pay the amount shown as tax on the return by the prescribed date.
To avoid the addition to tax, petitioner must make an affirmative
showing the failure to pay was due to reasonable cause. Sec.
301.6651-1(c), Proced. & Admin. Regs. A showing of reasonable
cause requires the taxpayer to demonstrate he exercised ordinary
business care and prudence in providing for the payment of his
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