Schlabach - CFC Sustains 1 of 2 FrivPens

[jcolvin2]

http://www.uscfc.uscourts.gov/sites/def ... 121911.pdf

[Dr. Caligari]

Short version: 18-year-old doofus listens to his father and files a CTC return; gets hit with a frivolous return penalty; files a correct amended return and asks for a CDP Hearing; gets hit with a second frivolous penalty for the hearing request. The court correctly holds that the first penalty was correct and the second not.

[Quixote]

The TP's amended CDP hearing request was identical to the boilerplate CDP hearing request being touted by some of our favorite tax deniers. The court appears to have believed, or pretended to believe, the petitioner when he stated in his amended CDP request that "I have not nor would intend on making any arguments that are not base[d] on the law." Was the court gullible or just merciful.

I would prefer that Congress allow the IRS or the courts waive the penalty when the taxpayer files a corrected return, sees the error of his ways and shows contrition.

[Pottapaug1938]

"I have not nor would intend on making any arguments that are not base[d] on the law."

Translation: "I do not define 'the law' as the IRS or the corrupt courts define it. I define the law as I understand it, as informed by the principles underlying Cracking the Code."

The proper response: "Then, throw your copy of Cracking the Code into your wastebasket, and get legal and tax advice from someone who is willing to follow that law as it really is."

[Dr. Caligari]

The proper response: "Then, throw your copy of Cracking the Code into your wastebasket, and get legal and tax advice from someone wjho is willing to follow that law as it really is."

Here, the kid had already filed a correct amended return at the time he filed his CDPH request. So I think the court was right to give him the benefit of the doubt.

[LPC]

Here, the kid had already filed a correct amended return at the time he filed his CDPH request. So I think the court was right to give him the benefit of the doubt.

That's my read on it also, and I'm also inclined to agree with the court, particularly since the IRS was found to be sloppy in its processing of returns and submissions, and its record-keeping.

Incidentally, there was another thread on this same taxpayer, and I think this same case, in which the court refused to enjoy the possible imposition of a third penalty.

[jcolvin2]

Incidentally, there was another thread on this same taxpayer, and I think this same case, in which the court refused to enjoy the possible imposition of a third penalty.

Enjoin?
Freudian slip?

[wserra]

Incidentally, there was another thread on this same taxpayer, and I think this same case, in which the court refused to enjoy the possible imposition of a third penalty.

Enjoin?
Freudian slip?

Commendable absence of schadenfreude, a/k/a "schadenfreudian slip".