Opinion
8426-19
01-28-2022
Dalwon Kang & Sonyo Shin Petitioners v. Commissioner of Internal Revenue Respondent
ORDER AND DECISION
Elizabeth A. Copeland Judge
This case was called and recalled from the calendar of the Court's November 1, 2021, remote trial session for which Houston, Texas was the designated place of trial. The place of trial was for administrative purposes only. Petitioner Dalwon Kang appeared and was heard. Petitioner Sonyo Shin did not make an appearance.
Mr. Kang met with volunteer attorneys who were assisting at the calendar call and negotiated a settlement with respondent's counsel on behalf of him and his wife, Mrs. Shin. The settlement lowered the deficiency of Mrs. Shin from $50,104 to $45,418, prior to the application of combined withholding credits, and eliminated all additions to tax. It increased the deficiency of Mr. Kang, but also eliminated his additions to tax. The settlement recognized an overpayment of $3,170 that could not be refunded due to the running of the statute of limitations on such refunds. The terms of the settlement were read into the record and Mr. Kang indicated that he agreed to those terms. Mrs. Shin did not appear to separately prosecute her case. The Court ordered decision documents by January 3, 2022.
On January 3, 2022, respondent filed with the Court a Motion for Entry of Decision which indicated that respondent had timely sent to petitioners the proposed settlement stipulation and proposed decision document, but petitioners were non-responsive to repeated attempts to contact them regarding the agreed settlement and signing the applicable decision documents. Thus respondent requested, pursuant to the provisions of Tax Court Rule 50, that the Court enter a decision in this case which reflects a deficiency in tax due from petitioners for the taxable year 2014 in the amount of $45,418.00; the barred overpayment for the taxable year 2014 in the amount of $3,170.00 under the provisions of I.R.C. § 6511(b)(2); and no additions to tax due from petitioners for the taxable year 2014 under the provisions of I.R.C. §§ 6651(a)(1) or (a) (2).
After due consideration, and for cause, it is
ORDERED that respondent's Motion for Entry of Decision, filed January 3, 2022, is granted. It is further
ORDERED AND DECIDED: That there is a deficiency in income tax due from petitioners for the taxable year 2014 in the amount of $45,418.00, which reflects an increased deficiency in tax from petitioner Dalwon Kang in the amount of $38,550.00 pursuant to the provisions of I.R.C. § 6214(a) and a reduced deficiency from petitioner Sonyo Shin in the amount of $4,686; and
That there are no additions to tax due from petitioners for the taxable year 2014, under the provisions of I.R.C. §§ 6651(a)(1) or 6651(a)(2); and
That petitioners have unassessed prepayment credits in the amount of $48,588.00, for the taxable year 2014; and
That there is no overpayment in income tax for the taxable year 2014 because overpayment is barred under the provisions of I.R.C. § 6511(b)(2).