- 17 -
T.C. 555, 560 (1991). If the Commissioner assesses a deficiency
before a notice of deficiency has been issued, a “premature
assessment” occurs, which the Commissioner is authorized to
“abate” or reverse. Sec. 6404(a)(3); see Pavich v. Commissioner,
T.C. Memo. 2006-167. The abatement of a premature assessment
does not represent an estimated tax payment or tax benefit, nor
does it prevent the Commissioner from later issuing a notice of
deficiency. See, e.g., Serv. Bolt & Nut Co. Profit Sharing Trust
v. Commissioner, 724 F.2d 519, 524 (6th Cir. 1983), affg. 78 T.C.
812 (1982); Connell Bus. Co. v. Commissioner, T.C. Memo.
2004-131.
The abatement of the premature assessment for 2001 does not
in any sense constitute a payment of tax that can be applied to
2002. Rather, the abatement reversed the erroneous recording of
a tax liability against the Hunters. The abatement did not
prevent the Commissioner from later determining a deficiency
against the Hunters, which the Commissioner did and which was
sustained in Hunter v. Commissioner, T.C. Memo. 2005-219.
Mr. Hunter’s position is wholly without merit.
3. Claimed Inadequacy of Administrative Hearing
Mr. Hunter’s next argument is that he was denied an
administrative hearing. He contends that respondent “obstructed”
his efforts to resolve the case and that “a bureaucratic book
* * * [was] slammed in * * * [his] face”.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011