Replies

Mac,

I do want to follow the law perhaps you can help me in this. I received a code section 6651 failure to file perhaps at the end of this you can tell me what I should do and how it applies to following the law.

“Sec. 6651. - Failure to file tax return or to pay tax
(a) Addition to the tax

In case of failure -
(1) to file any return required under authority of subchapter A of chapter 61 (other than
part III thereof), subchapter A of chapter 51 (relating to distilled spirits, wines, and beer),
or of subchapter A of chapter 52 (relating to tobacco, cigars, cigarettes, and cigarette
papers and tubes), or of subchapter A of chapter 53 (relating to machine guns and certain
other firearms), on the date prescribed therefor (determined with regard to any extension
of time for filing), unless it is shown that such failure is due to reasonable cause and not
due to willful neglect, there shall be added to the amount required to be shown as tax on
such return 5 percent of the amount of such tax if the failure is for not more than 1 month,
with an additional 5 percent for each additional month or fraction thereof during which
such failure continues, not exceeding 25 percent in the aggregate…”

Parallel authorities for 26 USC 6651 (from CFR):
27 CFR (Alcohol, Tobacco Products and Firearm) part 24 (Wine)
27 CFR (Alcohol, Tobacco Products and Firearm) part 25 (Beer)
27 CFR (Alcohol, Tobacco Products and Firearm) part 70 (Procedure and administration)
27 CFR (Alcohol, Tobacco Products and Firearm) part 194 (Liquor dealers)

The parallel authorities for Section 6651 as applied to 27 USC Alcohol, Tobacco Products and Firearm are boldly apparent.

Q14) I have never been involved as a business owner in the sale of Alcohol, Tobacco Products and Firearms for any year including tax year 2000. If I am liable for any “income tax” (I have not been persuaded that I am) for tax year 2000, was the “Delq – IRC Section 6651(a) (1)” on Page 2 of 2, line 17 (a) (Penalties) of Form 4549 for $964.75 misapplied?

Answer: YES NO Circle your answer.

Q15) If NO is your answer, what is the implementing regulation for IRC Section 6651(a) (1) that makes anyone liable for this penalty other than for Alcohol, Tobacco Products and Firearms?

Answer: Implementing regulation - Code Section_____________ Page # IRC ___________

Q16) If answer to question 14) is N/A, N/F or None, what is the statute or Code Section that should have been applied by someone authorized to do so if I am liable for this penalty?

Answer: Code Section_____________ Page # IRC ___________
Parallel authorities for answer: ____CFR part______
Implementing regulation - Code Section_____________ Page # IRC ___________

Your input appreciated. However, it seems to me an administration and application problem the law seems to clearly tell who should receive this penalty.

Is this what happens when a "direct tax" is treated an "indirect tax" or the other way around? (It gets confusing doesn't it)
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‘IRS management does what it wants, to whom it wants, when it wants, how it wants with almost complete immunity,’ retired Internal Revenue Service official Tommy Henderson told the U.S. Senate Finance Committee.”