Opinion
4524-22S
04-06-2023
GEORGE HAROLD GASSER, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Kathleen Kerrigan Chief Judge
By Order to Show Cause served January 9, 2023, the Court directed petitioner to show cause in writing why the Court should not issue an order directing that the small tax case designation be removed in this case.
On February 13, 2023, petitioner filed a Response. In his Response, petitioner argues that, after accounting for income tax withheld and estimated tax payments, the amount due for the taxable year 2017 does not exceed $50,000. On that basis, petitioner argues, this case should retain the small tax case designation.
However, under the Internal Revenue Code, estimated taxes and amounts withheld from wages do not affect the amount of a taxpayer's deficiency. See I.R.C. § 6211(a), (b)(1); see also Feller v. Commissioner, 135 T.C. 497, 506 (2010) ("In calculating the deficiency, estimated tax payments and withholding credits are ignored."). The amount of the deficiency placed in dispute for the taxable year 2017 exceeds $50,000. Accordingly, this case is ineligible for the small tax case procedures. See I.R.C. § 7463(a)(1); Rules 170 and 171, Tax Court Rules of Practice and Procedure.
Upon due consideration of the foregoing, it is ORDERED that the Court's Order to Show Cause is hereby made absolute. It is further
ORDERED that the docket number of this case is amended by deleting the letter "S" therefrom, and the Clerk of the Court is hereafter directed to process this case to trial or other disposition as a regular tax case.