Grunsted v. Commissioner
United States Tax Court
P filed late purported income tax returns for 2002, 2003 and 2004 showing zero income and seeking refunds for taxes withheld. R notified P that two of the purported returns would not be accepted for lack of sufficient information and that they were based on frivolous positions. P resubmitted substantially identical purported tax returns for those two years. R assessed five frivolous return penalties under sec. 6702, I.R.C., against P for those years.
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P filed late purported income tax returns for 2002, 2003 and 2004 showing zero income and seeking refunds for taxes withheld. R notified P that two of the purported returns would not be accepted for lack of sufficient information and that they were based on frivolous positions. P resubmitted substantially identical purported tax returns for those two years. R assessed five frivolous return penalties under sec. 6702, I.R.C., against P for those years. P failed to pay the penalties. R then commenced collection action against P. P argues that R may not proceed with the proposed collection action…
1Opinion of the Court
OPINION
Kroupa, Judge:
This collection review matter is before the Court on respondent’s motion for summary judgment under Rule 121. The first issue for decision is whether petitioner is liable for the five frivolous return penalties assessed for the 2002, 2003 and 2004 tax years (the years at issue). We find that he is liable. The second issue for decision is whether respondent’s determination to proceed with the proposed collection action is an abuse of discretion. We hold it is not.
Background
Petitioner resided in Hayden, Idaho at the time he filed the collection review petition. Petitioner…
2Cases cited14 opinions
- Sego v. CommissionerUnited States Tax Court · 2000
- Sundstrand Corporation v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1994
- Sundstrand Corp. v. CommissionerUnited States Tax Court · 1992
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- Glenn Crain v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1984
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