- 13 -
conclude that petitioner is liable for the section 6654(a)
addition to tax as determined by respondent.
Section 6673(a)(1) authorizes this Court to require a
taxpayer to pay a penalty not in excess of $25,000 whenever the
taxpayer’s position is frivolous or groundless or the taxpayer
has instituted or pursued the proceeding primarily for delay.
SEC. 6673. SANCTIONS AND COSTS AWARDED BY COURTS.
(a) Tax Court Proceedings.--
(1) Procedures instituted primarily for
delay, etc.--Whenever it appears to the Tax Court
that–-
(A) proceedings before it have been
instituted or maintained by the taxpayer
primarily for delay,
(B) the taxpayer’s position in such
proceeding is frivolous or groundless, or
(C) the taxpayer unreasonably failed to
pursue available administrative remedies,
the Tax Court, in its decision, may require the
taxpayer to pay to the United States a penalty not in
excess of $25,000.
The record demonstrates that petitioner advanced frivolous
and groundless arguments during the instant proceedings. We
shall not refute frivolous arguments with copious citation and
extended discussion. Williams v. Commissioner, 114 T.C. 136,
138-139 (2000) (citing Crain v. Commissioner, 737 F.2d 1417, 1417
(5th Cir. 1984)). The record is replete with warnings to
petitioner that a penalty could be imposed if petitioner
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011