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(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.
By her repeated refusals to provide substantiation of her
deductions and other claims, petitioner has unreasonably failed
to pursue available administrative remedies. Even if she had
belatedly produced acceptable substantiation, a penalty under
section 6673 might be appropriate. See Suri v. Commissioner,
T.C. Memo. 2004-71, affd. 96 AFTR 2d 2005-6526 (2d Cir. 2005);
Griest v. Commissioner, T.C. Memo. 1995-165. We are not imposing
a penalty at this time, because dismissal of the petitions is
sanction enough. However, inasmuch as petitioner has filed
another petition in this Court for 2003 (docket No. 10677-06),
she is hereby warned that the type of recalcitrance, obstruction,
and procrastination evident in these cases may result in an
additional sanction of up to $25,000.
To reflect the foregoing,
An appropriate order and
decision will be entered in
each case.
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Last modified: May 25, 2011