Cir

MEMORANDUM

Petitioners Thomas J. and Bonnie F. Ratke appeal a decision of the United States Tax Court denying their request for administrative and litigation costs as a prevailing party under 26 U.S.C. § 7430 and denying their request for sanctions pursuant to 26 U.S.C. § 6673 (a)(2). We have jurisdiction pursuant to 26 U.S.C. § 7482 (a)(1), and we affirm.

1. We review for abuse of discretion the Tax Court’s decision whether to award § 7430 costs. Huffman v. Comm’r, 978 F.2d 1139, 1143 (9th Cir. 1992). We “reverse under the abuse of discretion standard only when the [lower] court reaches a result that is illogical, implausible, or without support in the inferences that may be drawn from the record.” Kode v. Carlson, 596 F.3d 608, 612 (9th Cir. 2010) (per curiam). The Tax Court did not abuse its discretion because the IRS’s position had a reasonable basis in law and fact. We have held that an amount shown as owing on a tax return is not a deficiency and, therefore, may be assessed under 26 U.S.C. § 6201 , even while there is a pending deficiency proceeding regarding the same tax year. Fayeghi v. Comm’r, 211 F.3d 504, 607 (9th Cir. 2000). The record shows that the parties…