John R. Toney, (2003)

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John R. Toney, (2003)

T.C. Memo. 2003-333

UNITED STATES TAX COURT JOHN R. TONEY, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 10683-01. Filed December 4, 2003.

P reported taxable income of 'zero' on his 1986 tax return, claiming he was not liable for tax due as no section of the Internal Revenue Code imposed a tax upon him. P was charged with, and subsequently pleaded guilty to, one count of criminal tax evasion for 1986 in violation of 26 U.S.C. sec. 7201 (2000).

R determined a deficiency of $14,611, additions to tax for fraud pursuant to sec. 6653(b), I.R.C., and an addition to tax for substantial understatement pursuant to sec. 6661, I.R.C. On Feb. 10, 2003, R moved for summary judgment.

Held: R's motion for summary judgment is granted in full.

Held, further, P is liable for a deficiency in the amount of $14,611 for 1986 based on his deemed admission.

Held, further, P is liable for the additions to tax for fraud pursuant to sec. 6653(b), I.R.C. Based on the doctrine of collateral estoppe...

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