Opinion
3041-23
07-10-2024
MICHAEL B. JOHNSON, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER OF DISMISSAL AND DECISION
Albert G. Lauber, Judge
This case was calendared on the Court's April 15, 2024, Washington, D.C., trial session. Petitioner did not file timely Federal income tax returns for 2017 or 2018. The Internal Revenue Service (IRS or respondent) prepared, pursuant to section 6020(b), substitutes for return (SFRs) on the basis of third-party reports. On November 7, 2022, the IRS issued petitioner notices of deficiency based on the SFRs. These notices determined deficiencies of $129,192 and $121,324 for 2017 and 2018, respectively, plus additions to tax under sections 6651(a)(1), 6651(a)(2), and 6654. Petitioner timely petitioned this Court, noting that he had engaged the services of a tax professional who had prepared on his behalf delinquent returns for 2017 and 2018.
Unless otherwise, indicated, statutory references are to the Internal Revenue Code, Title 26 U.S.C., in effect at all relevant times.
On March 19, 2024, at docket entry #10, respondent filed a Motion to Dismiss for Lack of Prosecution, representing that he had been in communication with petitioner's counsel but that petitioner's counsel had been unable to contact his client. Respondent also confirmed his agreement to reduced deficiencies for 2017 and 2018, corresponding to the amounts shown as due on the delinquent returns petitioner had filed, plus appropriately reduced additions to tax.
When the case was called from the calendar on April 15, 2024, there was no appearance by or on behalf of petitioner. Respondent's counsel appeared and represented that petitioner's counsel had still been unable to contact his client. By Order served April 18, 2024, at docket entry #14, we ordered petitioner to show cause in writing by May 16, 2024, why his case should not be dismissed for lack of prosecution. In our Order we advised petitioner that, if he did not file a response, the Court would dismiss this case and enter a decision against him for the reduced deficiencies and additions to tax set forth in respondent's Motion. Petitioner did not file a response to the Motion or to our Order by May 16 or subsequently. It is accordingly
ORDERED that, respondent's Motion to Dismiss for Lack of Prosecution, filed March 19, 2024, at docket entry #10, is granted. It is further
ORDERED that the Court's April 18, 2024, Order to Show Cause is hereby made absolute. It is further
ORDERED and DECIDED that there are deficiencies in income tax due from petitioner for the taxable years 2017 and 2018 in the amounts of $38,223.00 and $29,550.00, respectively; and
There are additions to tax due from petitioner for the taxable years 2017 and 2018 under the provisions of I.R.C. § 6651(a)(1) in the amounts of $8,600.17 and $6648.75, respectively;
There are additions to tax due from petitioner for the taxable years 2017 and 2018 under the provisions of I.R.C. § 6651(a)(2) in the amounts of $9,555.75 and $7,239.75, respectively; and
There are additions to tax due from petitioner for the taxable years 2017 and 2018 under the provisions of I.R.C. § 6654 in the amounts of $915.00 and $958.00, respectively.