Alice Perkins & Fredrick Perkins v. Commissioner

150 T.C. No. 6

UNITED STATES TAX COURT ALICE PERKINS AND FREDRICK PERKINS, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 28215-14. Filed March 1, 2018. Ps claimed that income they earned from selling gravel mined from Seneca Nation land was exempt from tax under the General Allotment Act, the Canandaigua Treaty, and the Treaty of 1842 because the income was derived from Indian land. R adjusted Ps’ income to include the gravel income. R also determined that Ps were liable for additions to tax and penalties under I.R.C. sections 6651(a)(1) and 6662(a). Held: Income…