Opinion
10882-19S
09-20-2022
KENNETH JAMES CARLISLE, JR., Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER AND DECISION
Travis A. Greaves, Judge
This case involves petitioner's Federal income tax liability for 2016. On February 8, 2022, the Court issued an order granting respondent's motion for summary judgment, filed June 4, 2021, and therein ordered the parties to provide computations in accordance with its Order by April 11, 2022. On March 25, 2022, respondent filed his computations, and on April 28, 2022, petitioner filed his computations along with a supporting memorandum. In that memorandum petitioner contends that he made certain payments towards his "2016 taxes."
The Form 3623, Statement of Account, attached to respondent's computation for entry of decision, shows that certain payments referenced in petitioner's computation for entry of decision have been applied as a credit to petitioner's 2016 tax liability. Contrary to petitioner's argument, such payments do not change the deficiency amount. "Deficiency" is a term of art that does not necessarily equate to the taxpayer's outstanding liability or "balance due" for a particular year. Rather, a "deficiency" is the amount by which the tax imposed exceeds the sum of the "amount shown as the tax by the taxpayer upon his return" and the "amounts previously assessed (or collected without assessment) as a deficiency." I.R.C. § 6211(a).
ORDERED AND DECIDED that there is a deficiency in income tax due from petitioner in the amount of $10,688 for the taxable year 2016, and that there is a $2,137.60 penalty due from petitioner under the provisions of I.R.C. § 6662 for the taxable year 2016.