Judge Rose E. (“Cracklin'”) Jenkins answers that by saying it doesn’t matter in Anthony J. Eidem, Docket No. 15479-24L, filed 10/24/25, incidentally wiping out a predecessor order which remanded Anthony back to Appeals for reconsideration of abating adds-ons, after IRS showed it had already remitted a bunch, leaving only $73 thereof outstanding. Order, at p. 2, footnote 2.

It seems the AO’s notes didn’t show separate consideration of Anthony’s claims about abating the late file and late pay add-ons, only abating interest. On that score, that Anthony was in jail and in CNC didn’t entitle him to abatement of interest on his self-reporteds doesn’t mean his add-on claims shouldn’t have been considered, although that’s harmless error.

“However, given that all of the additions to tax under section 6651(a)(1) and (2) had been abated and that there is nothing to indicate that petitioner was entitled to a waiver of the additions to tax under section 6654 for [Year One and Year Two], the AO’s apparent failure to appropriately consider abatement is harmless error.” Order, at p. 9. (Citation omitted).

There were four (count ’em, four) years at issue, all self-reported and unpaid. IRS filed a NFTL when it put Anthony in CNC, as for the back two years Anthony was in and out of jail and claimed he had neither income nor assets. Anthony had also gotten first-time abatement before.

All Anthony has for abatement of interest is incarceration, and that’s not reasonable cause for nonpayment.

“… incarceration alone does not give rise to reasonable cause, see Llorente v. Commissioner, 74 T.C. 260, 268–269 (1980), aff’d in part and rev’d in part on another issue 649 F.2d 152 (2d Cir. 1981), even if the taxpayer was incarcerated at the time the return was due, which, as respondent notes, is not clear was true for petitioner for all of the years at issue.” Order, at p. 8.