United States Fifth Circuit

In an appeal arising from the IRS's proposed levy against a personnel staffing company for unpaid taxes, interest, and penalties, a ruling sustaining the levy is affirmed where: 1) the company failed to exercise ordinary business care and prudence in the timely discharge of its payroll tax obligations; 2) its failure to do so was not the result of a reasonable cause; and 3) the company was not entitled to an abatement of penalties even when assuming arguendo that, under some circumstances, penalties for failure to file, pay, and deposit payroll taxes could be abated for financial hardship.

Appellate Information

• Decided 03/23/2007
• Published 03/23/2007

Judges

• WIENER, Circuit Judge:, Before GARWOOD, WIENER, and CLEMENT, Circuit Judges.

Court

• United States Fifth Circuit

Counsel

• For Appellant:
  
• David Overholt Stevens (argued), Houston, TX, for Plaintiff-Appellant.


• For Appellees:
  
• Carol A. Barthel (argued), Thomas J. Clark, U.S. Dept. of Justice, Tax Div. Appellate Section, Washington, DC, Christopher R. Egan, U.S. Dept. of Justice, Tax Div., Dallas, TX, for Defendant-Appellee.