Corbett v. Commissioner
United States Tax Court
Held, statutory notice of deficiency in D's 1945 income tax for addition to tax under section 294(d)(1)(B), I.R.C. 1939, otherwise barred by limitations, was timely since D's return had falsely claimed a prepayment credit of estimated tax and was false and fraudulent with intent to evade tax. Held, further, fraud not established in respect of companion deficiency determined against D's wife, which was therefore barred.
1Opinion of the Court
OPINION
Raum, Judge:
Section 275(a) of the 1939 Code states that “except
as provided” in section 276 income taxes must be assessed within 3 years after the return was filed. Accordingly, the deficiency notices herein, dated November 25, 1957, were untimely unless the 1945 returns in question were “false or fraudulent * * * with intent to evade tax” within section 276(a).1 The question is one of fact, but it is well settled that the burden is upon the Government to prove fraud by clear and convincing evidence. However, since fraud depends upon a mental state it is rarely provable by direct…
2Cases cited3 opinions
- Simmons v. CommissionerUnited States Tax Court · 1956
- Estate of Roe v. CommissionerUnited States Tax Court · 1961
- Franklin v. CommissionerUnited States Board of Tax Appeals · 1936
3Cited by1 opinion
- Corbett v. CommissionerUnited States Tax Court · 1963