Donald Ertz - Page 26

                                       - 26 -                                         
          the IRM was improper; and (3) respondent failed to consider                 
          petitioner’s other “equitable facts”.                                       
               1.   Longstanding Case                                                 
               Petitioner asserts that the legislative history requires               
          respondent to resolve “longstanding” cases by forgiving penalties           
          and interest which would otherwise apply.  Petitioner argues                
          that, because this is a longstanding case, respondent abused his            
          discretion by failing to accept his offer-in-compromise.                    
               Petitioner’s argument is essentially the same one considered           
          and rejected by the Court of Appeals for the Ninth Circuit in               
          Fargo v. Commissioner, 447 F.3d at 711-712.  See also Keller v.             
          Commissioner, T.C. Memo. 2006-166; Barnes v. Commissioner, supra.           
          We reject petitioner’s argument for the same reasons stated by              
          the Court of Appeals.  We add that petitioner’s counsel                     
          participated in the appeal in Fargo as counsel for the amici.  On           
          brief, petitioner suggests that the Court of Appeals knowingly              
          wrote its opinion in Fargo in such a way as to distinguish that             
          case from the cases of counsel’s similarly situated clients                 
          (e.g., petitioner), and to otherwise allow those clients’                   
          liabilities for penalties and interest to be forgiven.  We do not           
          read the opinion of the Court of Appeals in Fargo to support that           
          conclusion.  See Keller v. Commissioner, supra; Barnes v.                   
          Commissioner, supra.                                                        







Page:  Previous  16  17  18  19  20  21  22  23  24  25  26  27  28  29  30  31  32  33  34  35  Next

Last modified: May 25, 2011