Opinion
2439-17
09-28-2021
Andrew Wickham & Keisha Wickham Petitioners v. Commissioner of Internal Revenue Respondent
ORDER
Maurice B. Foley Chief Judge
On January 30, 2017, petitioners filed the petition to commence this case, seeking review of a notice of deficiency issued for their 2013 tax year. On January 29, 2018, respondent filed a notice of proceeding in bankruptcy advising the Court that, after petitioners filed the petition to commence this case, petitioners filed a Chapter 13 bankruptcy case in the United States Bankruptcy Court for the Northern District of Florida. By Order dated January 30, 2021, the Court stayed the proceedings in this case while the automatic stay imposed under 11 U.S.C. section 362(a)(8) was in place. On June 28, 2021, respondent filed a status report indicating that, on October 28, 2020, the United States Bankruptcy Court for the Northern District of Florida entered an order of discharge with respect to petitioners. Respondent attached to his status report a copy of petitioners' order of discharge. By Order issued August 4, 2021, the Court directed that the stay in this deficiency case be lifted.
Currently pending before the Court is petitioners' motion to determine dischargeability of income taxes for 2013. Therein, petitioners contend that their income tax liability for tax year 2013 was discharged in their above-described bankruptcy proceeding. Respondent has filed a response in opposition to petitioners' motion, asserting that in a deficiency case this Court lacks subject matter jurisdiction to determine whether the amounts set forth in the notice of deficiency were discharged in a bankruptcy proceeding. Although the Court directed petitioners to file a reply to respondent's response on or before September 22, 2021, petitioners have not done so.
Petitioners' contention in their motion would certainly be relevant if the present proceeding were a lien or levy action (collection action) under Internal Revenue Code (I.R.C.) section 6320 or 6330. See Washington v. Commissioner, 120 T.C. 114 (2003). The present proceeding, however, is an action under section 6213(a) to redetermine a deficiency determined by respondent in a notice of deficiency. See generally I.R.C. secs. 6211-6215. In an action to redetermine a deficiency, we have consistently held that we lack jurisdiction to determine whether a deficiency determined by the Commissioner has been discharged in a bankruptcy proceeding. Neilson v. Commissioner, 94 T.C. 1, 9 (1990); Graham v. Commissioner, 75 T.C. 389, 399 (1980); see Swanson v. Commissioner, 65 T.C. 1180, 1184 (1976); Fotochrome, Inc. v. Commissioner, 57 T.C. 842, 847 (1972). Accordingly, we will deny petitioners' motion.
Upon due consideration, it is
ORDERED that petitioners' motion to determine dischargeability of income taxes for 2013, filed June 28, 2021, is denied.