Michael L. Lennox and Glenda J. Lennox v. Commissioner of Internal Revenue

BARKSDALE, Circuit Judge:

In reviewing the Tax Court’s denial of costs to the Lennoxes, after the government conceded their challenge to its notice of deficiency, we consider for the first time the definition of the “position of the United States” on “the date of the notice” as contained in 26 U.S.C. § 7430(e)(7)(B)(ii), as amended by the Technical and Miscellaneous Revenue Act of 1988, Pub.L. No. 100-647, § 6239(a), 102 Stat. 3342, 3743. Concluding that a determination of the reasonableness of that position must include a review of the actions leading to its establishment, we hold that the…