DocketNumber: Docket No. 4804-09L.
Citation Numbers: 2011 U.S. Tax Ct. LEXIS 57
Judges: \"Maurice B. Foley\"
Filed Date: 5/13/2011
Status: Non-Precedential
Modified Date: 11/21/2020
This matter is before the Court on Respondent's Motion For Summary Judgment, filed October 30, 2009, and Petitioner's Objection to Motion For Summary Judgment, filed January 4, 2010.
On April 15, 2007, petitioner signed and submitted Form 1040, U.S. Individual Income Tax Return, relating to 2006 on which he claimed a refund of all income tax withheld in that year. Petitioner attached thereto seven pages of explanatory material, signed by petitioner, wherein he espouses copious reasons why he is not liable for income tax. His contentions revolve around his belief that only corporate profits, not wages, are subject to Federal income tax, that he did not earn any corporate profits, and that he is therefore not subject to any income tax. On receipt of petitioner's tax return, respondent issued Letter 3176 (1) notifying petitioner that his tax return was considered a frivolous submission subject to sanction pursuant to
On March 14, 2008, respondent issued petitioner a Final Notice Of Intent To Levy And Notice Of Your Right To A Hearing with respect to the frivolous submission penalty relating to 2006. Petitioner timely submitted a Form 12153, Request For A Collection Due Process or Equivalent Hearing, in which he asserted that the Internal Revenue Service (IRS) "did not follow law -
On November 3, 2008, an officer of the IRS Office of Appeals sent petitioner a letter advising him that the contentions raised in his hearing request were frivolous and that a face-to-face hearing would not be granted unless petitioner set forth, in writing, the non-frivolous issues he wanted to discuss at his hearing. On December 4, 2008, petitioner sent respondent's Appeals officer a letter declining a telephonic hearing. On January 22, 2009, respondent issued petitioner a Notice Of Determination Concerning *59 Collection Action(s) Under
On October 30, 2009, respondent filed the motion for summary judgment presently before the Court. By Order dated November 12, 2009, petitioner was directed to file an objection, if any, thereto. In his objection, petitioner relies on the same arguments raised in his tax return and in the petition.
Summary judgment may be granted with respect to all or any part of the legal issues in controversy "if the pleadings, answers to interrogatories, depositions, admissions, and any other acceptable materials, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that a decision may be rendered as a matter of law."
Petitioner did not receive a notice of deficiency *60 or have a prior opportunity to challenge the frivolous return penalty, and thus is entitled to challenge the assessment.
The IRS may impose a penalty for filing a frivolous tax return if three requirements are met: (1) The taxpayer files a purported tax return, (2) the purported return either does not contain information on which the substantial correctness of the self-assessment may be judged or contains information which on its face indicates that the self assessment is substantially incorrect, and (3) the conduct is either based on a position the secretary has identified as frivolous or reflects a desire to delay or impede the administration of Federal tax laws.
On petitioner's 2006 tax return, petitioner took the position that he had zero wage income, no taxable income, and no tax liability for that year. Petitioner, however, concedes that he received wages during 2006. In addition, the Form 1040 that petitioner submitted does not contain information on which the substantial correctness of *61 the self-assessment may be judged. See
Petitioner contents that the Appeals officer was not impartial.
We also reject petitioner's contention that the Appeals officer failed to obtain verification from the Secretary that the requirements of all applicable laws and administrative procedures were met as required by
Petitioner has not alleged any irregularity in the assessment procedure that would raise a question about the validity of the assessment or the information contained in the computerized transcripts of account. See
Petitioner *63 has failed to make a valid challenge to the appropriateness of respondent's intended collection action, or offer alternative means of collection. These issues are now deemed conceded.
Upon due consideration of the foregoing, it is
ORDERED that Respondent's Motion For Summary Judgment, filed October 30, 2009, is granted. It is further,
ORDERED AND DECIDED that respondent may proceed with the collection action as determined in the Notice of Determination relating to 2006.
ENTERED:
1. All section references are to the Internal Revenue Code of 1986, as amended, and all Rule references are to the Tax Court Rules of Practice and Procedure.↩