Opinion
36236-21
04-26-2024
WILLIAM E. WATSON & WANDA R. WATSON, Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Cary Douglas Pugh Judge
On April 5, 2024, respondent filed a Motion for Continuance, and on April 22, 2024, respondent filed a Motion to Dismiss for Lack of Prosecution as to petitioner Wand Watson. Respondent advised in the motion, and attached supporting documentation, that Ms. Watson died after the filing of the petition in this case. Respondent further advised that Ms. Watson did not leave a will and there is no duly authorized representative available to act on behalf of the estate.
When a taxpayer dies after timely filing a petition for redetermination of a deficiency, "the Court, on motion of a party or the decedent's successor or representative or on its own initiative, may order substitution of the proper parties." Rule 63(a), Tax Court Rules of Practice and Procedure. Pursuant to Tax Court Rule 60(c), a decedent's estate may be represented by someone acting in a fiduciary capacity such as an executor, administrator, or personal representative of the decedent's estate. Local law is applied to determine who has the capacity to be substituted as a party. Fehrs v. Commissioner, 65 T.C. 346, 349 (1975). It is well settled that the Court's jurisdiction over a case continues unimpaired by the death of the petitioner, Nordstrom v. Commissioner, 50 T.C. 30, 31-32 (1968). But the deceased taxpayer must be represented by a person lawfully authorized to act on behalf of the deceased petitioner's estate who can continue to prosecute the case. Otherwise, dismissal for lack of prosecution is appropriate. Id. at 32. In accordance with the principles established in Nordstrom, we will provide petitioner's heirs at law the opportunity to secure a fiduciary or other representative to represent petitioner's estate in this litigation. Upon due consideration and for cause, it is hereby
ORDERED that respondent's Motion for Continuance, filed April 5, 2024, is granted and this case is stricken from the Court's May 6, 2024, New Orleans, Louisiana trial session and continued, and jurisdiction is retained by this Division of the Court. It is further
ORDERED that, on or before May 28, 2024, the petitioner's heirs-at-law shall file an objection, if any, to respondent's Motion to Dismiss for Lack of Prosecution. It is further
ORDERED that, in addition to regular service on the parties, the Clerk of the Court shall serve copies of this Order and respondent's Motion to Dismiss for Lack of Prosecution on petitioner's heirs-at-law identified in respondent's Motion to Dismiss for Lack of Prosecution.