Opinion
2981-23S
05-05-2023
CARLOS PALACIOS & NICOLA KEMMERER, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Kathleen Kerrigan Chief Judge
By Order served April 10, 2023, the Court directed Brian Prztstup and respondent each to file a response setting forth and discussing fully whether Mr. Prztstup should be permitted to intervene in this case. To date, Mr. Prztstup has failed to file a response. On May 3, 2023, respondent filed a Response as directed. In his Response, respondent asserts that Mr. Prztstup is not a proper party and not entitled to intervene in this case.
We agree with respondent. The record in this case indicates that Mr. Prztstup is petitioners' accountant. Moreover, a review of the Court's records further indicates that Mr. Prztstup is not admitted to practice before this Court and accordingly cannot be recognized as representing petitioners in this case. Consequently, Mr. Prztstup is not entitled to intervene in this case and will not be associated with it.
Petitioners and Mr. Prztstup are informed that the U.S. Tax Court, which is separate and independent from the Internal Revenue Service (IRS), has certain requirements that must be met before an individual can be recognized as representing taxpayers before the Court. Petitioners and Mr. Prztstup are encouraged to review the publication, "Representing a Taxpayer Before the U.S. Tax Court," a copy of which will be attached to this Order.
In view of the foregoing, Mr. Prztstup's Notice of Intervention will be stricken from the Court's record in this case.
As noted, Mr. Prztstup failed to respond to the Court's Order; however, on April 24, 2023, the Court received and filed a letter by petitioners. Therein, petitioners state: "We would like to petition the Court to 'withdraw' our case from the docket a[nd] place [it] into 'mediation.' How do we go about this[?] Thank you kindly."
The Answer in this case was filed on April 28, 2023, and the case is thus not yet at issue. See Rule 124(b), Tax Court Rules of Practice and Procedure (motions for voluntary nonbinding mediation may be made at any time after a case is at issue and before the decision in the case is final). If at this time petitioners would prefer to attempt to reach a settlement with respondent (i.e., the IRS), they may contact the attorney representing respondent in this case. The name and contact information for that attorney is included on page two of the Answer. If the parties reach a settlement, they may file a proposed stipulated decision resolving the case without a trial.
For further information, petitioners may consult "Guidance for Petitioners" under the "Rules & Guidance" tab on the Court's website at www.ustaxcourt.gov.
Upon due consideration and for cause, it is
ORDERED that the Clerk of the Court shall attach to this Order a copy of the Court's publication, "Representing a Taxpayer Before the U.S. Tax Court." It is further
ORDERED that, in addition to regular service, the Clerk of the Court shall serve a copy of this Order (with the attachment noted above) on Brian Prztstup at the return mailing address listed for him on the envelope bearing petitioners' letter filed on April 24, 2023. It is further
ORDERED that the Notice of Intervention, filed March 30, 2023, by Brian Prztstup is hereby deemed stricken from the Court's record in this case.
REPRESENTING A TAXPAYER BEFORE THE U.S. TAX COURT
The United States Tax Court, which is separate and independent from the Internal Revenue Service (IRS), has certain requirements that must be met before someone can represent another person or entity before the Court. Unlike the IRS, the Court does not recognize powers of attorney.
Who can represent me in my Tax Court case?
You may represent yourself or hire an attorney or other person who is admitted to practice before the Court. You will know that a person is admitted to practice before the Court because that individual will have a Tax Court bar number. All representatives who practice before the Tax Court are subject to the American Bar Association's Model Rules of Professional Conduct.
What if the person I want to represent me is not admitted to practice before the Court?
• If your representative is an attorney, he or she may submit an application to seek admission to the Court's bar. Upon admission, the attorney will be assigned a Tax Court bar number and can then represent you in the case.
• If your representative is not an attorney, that person can only be admitted to practice before the Court by taking a written examination given every two years and by meeting other Court requirements. Information concerning the application for admission and the Court's nonattorney exam may be found on the Court's website, www.ustaxcourt.gov.
May I represent the estate or trust of a deceased taxpayer before the Court without hiring a representative?
Yes, if you are a duly authorized fiduciary or representative of the deceased taxpayer. For example, a state court of competent jurisdiction may appoint an individual as an executor, administrator, or personal representative of a deceased person. If you are a fiduciary, you should file a "Motion for Substitution of Party and to Change Caption" and attach a copy of the state court-issued letters of administration or letters testamentary. The motion must list the case name and docket number.
May I represent an incompetent or incapacitated taxpayer before the Court?
Yes, if you are a fiduciary duly appointed under state law, such as a guardian or conservator. If you have been appointed to serve as a conservator or guardian of the petitioner, you may file a Motion to Substitute Party and attach a copy of any documents providing proof of your appointment. The motion must list the case name and docket number.
In the alternative, the Court may permit you to be recognized as petitioner's "next friend" by filing a Motion to Be Recognized as Next Friend stating:
1. that petitioner cannot prosecute this case without assistance;
2. that the person seeking appointment as next friend would like to be recognized as petitioner's next friend, he or she has a significant relationship with petitioner, and would represent petitioner's best interests;
3. that there is no other person better suited to serve as next friend; and
4. the names and addresses of persons (e.g., spouse, parent, or siblings) who may have an interest in this matter.
You must include as an attachment to the motion a current statement from the petitioner's personal physician (or equivalent support) indicating that the petitioner is not competent to prosecute his or her case without assistance. You must also state in the motion whether anyone is known to have an objection to the Court's recognition of you as the petitioner's next friend. The motion must list the case name and docket number.
Please visit the Court's website, www.ustaxcourt.gov, for additional resources and information.