Rogan C. Bird - Page 7

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          in such proceeding is frivolous or groundless.  In Pierson v.               
          Commissioner, 115 T.C. 576, 581 (2000), we issued a warning                 
          concerning the imposition of a penalty under section 6673(a)(1)             
          on those petitioners abusing the protections afforded by sections           
          6320 and 6330 through the bringing of dilatory or frivolous lien            
          or levy actions.  The Court has since repeatedly disposed of                
          cases premised on arguments akin to those raised herein summarily           
          and with imposition of the section 6673 penalty.3  See, e.g.,               
          Craig v. Commissioner, 119 T.C. at 264-265 (and cases cited                 
          therein).                                                                   
               Respondent has not sought a section 6673 penalty in the                
          instant case; however, the Court considers this issue sua sponte.           
          Petitioner was warned by respondent that his arguments were                 
          frivolous.  Petitioner referred to the penalty in his response to           
          respondent’s motion for summary judgment.4  Petitioner clearly is           
          aware of section 6673, yet raised frivolous arguments during the            


               3We note that on Dec. 20, 2006, Congress enacted the Tax               
          Relief and Health Care Act of 2006, Pub. L. 109-432, div. A, sec.           
          407, 120 Stat. 2960, which, through amendments to secs. 6702 and            
          6330, instructs the Secretary to prescribe a list of positions              
          identified as frivolous.  A request for a sec. 6330 hearing based           
          on any such position may then be disregarded and is not subject             
          to further administrative or judicial review.  The new provisions           
          are effective only for issues raised after the Secretary                    
          prescribes the list of frivolous positions.                                 
               4The closing line of petitioner’s response reads:                      
          “Petitioner asks this Court to deny Respondent’s Motion for                 
          Summary Judgment, abate the additions to tax determined by                  
          Respondent and refuse any penalty at 26 U.S.C. [section] 6673.”             





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