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Larsen v. Comm'r of Internal Revenue

United States Tax Court
Aug 11, 2022
No. 22885-21S (U.S.T.C. Aug. 11, 2022)

Opinion

22885-21S

08-11-2022

ERIC W. LARSEN & DEBORAH M. LARSEN, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent


ORDER

Kathleen Kerrigan, Chief Judge.

On June 23, 2021, petitioners filed the petition to commence this case, seeking review of a notice of deficiency issued for their 2018 tax year. On June 13, 2022, respondent filed a Motion to Dismiss for Failure to Properly Prosecute (motion to dismiss) with respect to petitioner Deborah M. Larsen. In his motion respondent states that: (1) after the petition was filed, Ms. Larsen died on September 19, 2021, (2) there is currently no duly appointed fiduciary to act on behalf of decedent's estate, (3) respondent concedes all proposed adjustments set forth in the notice of deficiency on which this case is based, and (4) petitioner Eric W. Larsen does not object to the granting of respondent's motion to dismiss with respect to decedent. A copy of decedent's death certificate is attached to respondent's motion to dismiss.

The Court may dismiss a case at any time and enter a decision against the taxpayer for failure properly to prosecute his or her case, failure to comply with the Rules of this Court or any order of the Court, or for any cause which the Court deems sufficient. Rule 123(b); Stearman v. Commissioner, 436 F.3d 533, 535-537 (5th Cir. 2006), aff'g T.C. Memo. 2005-39; Bauer v. Commissioner, 97 F.3d 45, 48-49 (4th Cir. 1996); Edelson v. Commissioner, 829 F.2d 828, 831 (9th Cir. 1987), aff'g T.C. Memo. 1986-223. When a petitioner dies, the Court generally will order that a representative or successor be substituted as the proper party. Rule 63(a). In the event that no representative of a decedent comes forward to prosecute the decedent's case before this Court, the procedural means for bringing the case to a close is the Commissioner's filing of a motion to dismiss for failure to properly prosecute. See Nordstrom v. Commissioner, 50 T.C. 30, 32 (1968); see also Wyler v. Commissioner, T.C. Memo. 1990-285, 1990 WL 74410, at *3 (1990).

The Court is satisfied, on the basis of the representations in respondent's motion, that respondent's motion to dismiss should be granted. As noted, there is no representative or fiduciary currently authorized to act on behalf of decedent's estate, respondent concedes all proposed adjustments set forth in the notice of deficiency on which this case is based, and petitioner Eric W. Larsen does not object to decedent's dismissal from this case. Accordingly, respondent's motion to dismiss is the proper procedural means to bring decedent's case to a close.

However, in view of the fact that the Court may enter only one decision in any case, we will hold in abeyance action on respondent's motion to dismiss and enter a decision as to both petitioners once all issues in this case have been resolved. In furtherance of such a resolution, we will direct respondent and petitioner Eric W. Larsen to file a stipulation of settled issues. Because there is no one to sign any proposed stipulated decision on behalf of decedent, respondent and Mr. Larsen must file a stipulation of settled issues rather than a proposed stipulated decision.

Upon due consideration of the foregoing, it is

ORDERED that the caption of this case is amended to read: "Eric W. Larsen and Deborah M. Larsen, Deceased, Petitioners v. Commissioner of Internal Revenue Service, Respondent". It is further

ORDERED that, on or before September 9, 2022, the parties shall file a stipulation of settled issues. It is further

ORDERED that action on respondent's Motion to Dismiss for Failure to Properly Prosecute as to Deborah M. Larsen shall be held in abeyance until the parties file the above-referenced stipulation of settled issues.


Summaries of

Larsen v. Comm'r of Internal Revenue

United States Tax Court
Aug 11, 2022
No. 22885-21S (U.S.T.C. Aug. 11, 2022)
Case details for

Larsen v. Comm'r of Internal Revenue

Case Details

Full title:ERIC W. LARSEN & DEBORAH M. LARSEN, Petitioners v. COMMISSIONER OF…

Court:United States Tax Court

Date published: Aug 11, 2022

Citations

No. 22885-21S (U.S.T.C. Aug. 11, 2022)