Opinion
18446-21
01-31-2024
ANDRZEJ POZNIAK & EWA POZNIAK, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER OF DISMISSAL AND DECISION
ALBERT G. LAUBER JUDGE.
With respect to petitioners' 2016-2018 tax years, the Internal Revenue Service (IRS or respondent) determined deficiencies of $83,769, $111,446, and $213,177, respectively; section 6651(a)(1) additions to tax of $8,377, $27,862, and $53,294, respectively; and section 6662(a) penalties of $16,754, $22,289, and $42,635, respectively.The deficiencies result primarily from the IRS's adjustments to the gross receipts and expenses that petitioners reported on Schedules C, Profit or Loss from Business, and to the amounts of income they reported on Schedules E, Supplemental Income and Loss.
Unless otherwise indicated, statutory references are to the Internal Revenue Code, Title 26 U.S.C., in effect at all relevant times. We round all monetary amounts to the nearest dollar.
Petitioners timely petitioned this Court in May 2021, and the case was calendared on the Court's October 30, 2023, Chicago, Illinois, trial session. On October 10, 2023, respondent filed a status report in which he represented that petitioner wife had died after the Petition was filed and that petitioner husband and respondent had reached a basis for settlement of the case. By Order served October 13, 2023, we continued the case to allow the parties to finalize the documents necessary to implement the settlement.
On January 26, 2024, respondent concurrently filed a Motion to Dismiss for Lack of Prosecution as to petitioner Ewa Pozniak, deceased, and a Stipulation of Settlement that resolves all issues in the case. In the Motion respondent represents that petitioner Andrzej Pozniak is the survivor of petitioner Ewa Pozniak, deceased, but that no representative or fiduciary had been appointed to act on behalf of her estate. See Nordstrom v. Commissioner, 50 T.C. 30 (1968). Respondent also represents that petitioner Andrzej Pozniak does not object to the granting of the Motion.
Upon due consideration and for cause, it is
ORDERED that the caption of this case is hereby amended to read: "Andrzej Pozniak and Ewa Pozniak, Deceased, Petitioners v. Commissioner of Internal Revenue, Respondent." It is further
ORDERED that the Motion to Dismiss for Lack of Prosecution, filed January 26, 2024, is granted, and petitioner Ewa Pozniak, deceased, is dismissed from this case. It is further
ORDERED AND DECIDED that there are deficiencies in Federal income tax due from petitioner Andrzej Pozniak for the taxable years 2016-2018 in the amounts of $60,510.00, $64,932.00, and $79,340.00, respectively; and
That, under the provisions of I.R.C. § 6651(a)(1), there are additions to tax due from petitioner Andrzej Pozniak for the 2016-2018 taxable years in the amounts of $6,051.00, $15,661.00, and $19,835.00, respectively; and
That, under the provisions of I.R.C. § 6662(a), there are penalties due from petitioner Andrzej Pozniak for the 2016-2018 taxable years in the amounts of $6,051.00, $6,493.20, and $7,934.00, respectively.