United States Second Circuit

Orders of the Tax Court upholding accuracy-related penalties against petitioners under Internal Revenue Code section 6662A for understatements attributable to their involvement in the Benistar 419 Plan and Trust are affirmed, where: 1) the Benistar Plan is substantially similar to the listed tax-avoidance transaction identified by the Internal Revenue Service in Notice 95-34, and so the Commissioner of Internal Revenue's assessment of accuracy-related penalties against petitioners under section 6662A was proper; and 2) petitioners had adequate notice of the potential for penalties under section 6662A and that the increased penalty rate under section 6662A(c) applied.

Appellate Information

• Decided 02/04/2015
• Published 02/04/2015

Judges

• Droney

Court

• United States Second Circuit

Counsel