IRS Backtracks On Penalties And Seeks To Settle Case Involving Backdated Documents

On September 7, 2023, the IRS and the taxpayer in Lakepoint Land II, LLC v. Commissioner filed a Joint Motion for Continuance of Trial (Motion). In the Motion, the parties jointly requested the Tax Court to remove the case from the special trial session scheduled to commence in Atlanta, Georgia, on October 2, 2023, explaining that they had reached a basis for settlement on all issues in the case.

The parties outlined the relevant procedural history, noting that the Court granted, in part, Petitioner's Motion to Impose Sanctions. The parties further noted that the Court had determined that the IRS is liable for fees and expenses incurred by the taxpayer, with the amount to be determined at a later date, which we discussed in a prior post.