§66632

We hold that petitioners did fail to report certain income for all years at issue, but only to the extent stated herein; (2) whether any part ofany ofpetitioners' underpayments oftax for 1999 through 2003 was due to fraud, such that under section 6501(c) tax may be assessed at any time.

(petitioner), of $70,239, $109,813, $109,557, and $130,967 and civil fraud penalties under section 66632 of $52,679.25, $82,359.75, $82,167.75, and $98,225.25 for 2004, 2005, 2006, and 2007, respectively.

SERVED AUG 2 8 2014 - 2 - [*2] MEMORANDUMFINDINGS OF FACT AND OPINION' LARO, Judge: The sole issue before the Court is whetherpetitioner is liable for a fraud penalty under section 66632 for 2005, 2006, 2007, and 2008 (years at issue).

OPINION Section 66632 imposes a penalty equal to 75% ofan underpaymentthat is attributable to fraud.

Prater is liable for section 66632 civil fraud penalties of $18,678.75, $62,809.50, and $328,083 for years 1991, 1992,- and 1993, respectively.

Prater is liable for section 66632 civil fraud penalties of $18,678.75, $62,809.50, and $328,083 for years 1991, 1992,- and 1993, respectively.

- 3 - Respondent filed a motion to amend his answer to assert the fraud penalty under section 66632 and made an oral motion to impose sanctions under section 6673 .

-2- report income and are liable for the section 66632 fraud or the section 6662 accuracy-related penalty.

-2- report income and are liable for the section 66632 fraud or the section 6662 accuracy-related penalty.

-2- report income and are liable for the section 66632 fraud or the section 6662 accuracy-related penalty.

AND OPINION GERBER, Judge: In a notice of deficiency addressed to petitioner, respondent determined deficiencies and penalties as follows: Penalty Year Deficiency Section 6663 1993 $8,798 $6,599 1994 34,661 25,996 1995 38,206 28,655 - 2 - After concessions,1 the issue for our consideration is whether petitioner is liable for fraud penalties under section 66632 for the 1993, 1994, and 1995 tax years.