- 11 - section 6654 for 2003. Section 6654 imposes an addition to tax on an individual taxpayer who underpays his estimated tax. The addition to tax is calculated with reference to four required installment payments of the taxpayer’s estimated tax liability. Sec. 6654(c)(1); Wheeler v. Commissioner, supra. Each required installment of estimated tax is equal to 25 percent of the required annual payment. Sec. 6654(d)(1)(A). The required annual payment is generally equal to the lesser of (1) 90 percent of the tax shown on the individual’s return for that year (or, if no return is filed, 90 percent of his or her tax for such year), or (2) if the individual filed a return for the immediately preceding taxable year, 100 percent of the tax shown on that return. Sec. 6654(d)(1)(B); Wheeler v. Commissioner, supra. The due dates of the required installments for a calendar year taxpayer are April 15, June 15, and September 15 of the calendar year in question and January 15 of the following year. Sec. 6654(c)(2); Wheeler v. Commissioner, supra. Respondent produced evidence establishing that petitioner did not file a return for 2003 and that petitioner had an income tax liability of $9,619.40 for 2003. The evidence was sufficient to permit the Court to make the analysis required by section 6654(d)(1)(B)(i). See Wheeler v. Commissioner, supra. Because petitioner did not file a return for the preceding taxable year, 2002, respondent has met his burden of producing evidence thatPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011