In Uncategorized on 10/22/2021 at 15:39

Rule 155 beancounts are exactly that. It’s all about numbers, to the exclusion of all else. It’s not about rehashing arguments or coming up with fresh ones; it’s not a substitute for recon or vacation. Rules 161 and 162 deal with those, and the CCAs are there if an appeal is sought.

It’s just another tax prep session. What does the revised return look like, and, most importantly, what is the bottom line per the opinion?

An example of a proper objection to  IRS’ numbers at a Rule 155 is to be found today in Savino Cruz, Docket No. 16268-16, filed 10/22/21*. And even though Judge Nega overrules Savino’s objection, he makes sure that the Child Tax Credit Savino wants is folded into the bottom line.

Savino filed his objection within the ninety-day widow for filing computations, agreed or unagreed. Then Savino moved to amend his objection, and Judge Nega lets it in. IRS filed and responded accordingly.

“Petitioner argues that respondent’s computation failed to include a $1,000 Child Tax Credit for his son therefore, is inconsistent with the Court’s opinion in this case. Accordingly, petitioner requests that this Court correct the inconsistency and adjust the balance due from petitioner… from $8,308 to $7,308. Respondent counters that the proposed computation does, in fact, provide petitioner a $1,000 Child Tax Credit in accordance with the Court’s Opinion. Respondent explained that the Form 4549, Income Tax Examination Changes, attached to the notice of deficiency included a $1,000 Child Tax Credit on line 8a, however, respondent failed to subtract that credit on line 13a to reflect his belief that petitioner was not entitled to the credit. As a result, respondent asserts that the Form 4549 essentially provided petitioner a $1,000 Child Tax Credit that respondent did not believe petitioner was previously entitled to at the time. However, since the Court later determined that petitioner was entitled to the credit, respondent explained that his computation left the Child Tax Credit the way it had been reported on the Form 4549.

“Upon review of the record, the Court is satisfied that respondent’s computation included a $1,000 Child Tax Credit that petitioner was entitled to for the 2014 taxable year therefore, is consistent with our opinion.” Order, at p. 2.

A Taishoff “Good Job” to Savino’s trusty attorney, Andy.

*Savino Cruz 16268-16 10 22 21


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