No, not the 1950’s quiz show, rather this is the story of Janetta Lee Perry, as told by The Judge With a Heart, STJ Armen, in the eponymous 2014 T. C. Memo. 231, filed 11/10/14.

This greeted me on my return from the Magnolia City and the Steel Magnolias resident therein, after a splendid visit with my nearest and dearest, punctuated by discussions of the infinite complexity of our tax law.

The clock plays the lead role in Janetta’s case. She started with a petition to reconsider the deficiency and penalty IRS bestowed upon her. Then, in a moment, in the twinkling of an eye, Janetta files bankruptcy.

STJ Armen: “On June 6, 2014, at 1:48 p.m. EDT, petitioner filed a petition for redetermination with this Court, which petition served to commence the instant case. See Rule 20(a). Later that same day, at 2:11 p.m. PDT, petitioner filed a voluntary petition with the U.S. Bankruptcy Court for the Northern District of California, which petition served to commence a bankruptcy case under chapter 7 of the Bankruptcy Code, 11 U.S.C. Thus, petitioner’s bankruptcy petition was filed approximately 3½ hours after petitioner’s Tax Court petition.” 2014 T. C. Memo. 231, at p. 3.

Now Janetta had been discharged and her case closed when IRS moves to dismiss, but note that the 60 days to petition after discharge and close per section 6213(f)(1) ends on Monday. So if IRS wins its motion, Janetta had best get en charette.

But IRS doesn’t win. The timing is as confusing as the recent switch from Daylight Savings Time to the winter blend, but basically Janetta filed her Tax Court petition at 10:48 a.m., her local (Northern California) time, and her bankruptcy petition at 2:11 p.m., her local time.

Those hard-laboring intake clerks at 400 Second Street, NW, flailing away with their date stamps, sure have helped the diligent petitioner. See my blogpost “What a Difference a Day Makes”, 11/1/11.

STJ Armen: “Petitioner filed her petition commencing the instant case with this Court before she filed her petition with the bankruptcy court, albeit by only a few hours. Because her case in this Court was commenced before the automatic stay came into effect, the automatic stay cannot serve to preclude its antecedent commencement. See 11 U.S.C. sec. 362(a)(8). Accordingly, the petition filed herein was not filed in violation of the automatic stay, and petitioner properly invoked this Court’s jurisdiction.” 2014 T. C. Memo. 231, at pp. 4-5 (Citation omitted).

Though timely commenced, Janetta’s case was stayed from going forward pursuant to 11 USC §362(a)(8) until issuance of the discharge and closure.

That happy event having occurred, IRS’s motion to dismiss is denied. Janetta can go ahead.