Robert M. St. John, Margaret E. St. John v. United States of America, Robert M. St. John, Margaret E. St. John v. United States
Opinion
Opinion
The government appeals the district court’s order denying its motion for judgment notwithstanding the verdict. It argues the district court erred in holding the government must assess a deficiency in a taxpayer’s tax within a reasonable period of time, and therefore in submitting to the jury an interrogatory asking whether the government had done so in the St. John’s case. Taxpayers cross-appeal, claiming the jury erred in finding against them on two other interrogatories.
I
Internal Revenue Code § 6501(a) provides that taxes must be assessed within three years after the return is filed. An exception is allowed where the IRS and the taxpayer have consented in writing to assessment after the expiration of the three years. I.R.C. § 6501(c)(4). Form 872-A was drafted pursuant to this exception.
Form 872-A provides the extension of the limitations period will terminate 90 days after any one of three events occur: (A) the IRS mails a Form 872-T, Notice of Termination of Special Consent to Extend the Time to Assess Tax, to the taxpayer; (B) the IRS office considering the case receives a Form 872-T from the taxpayer; or (C) the IRS mails a notice of deficiency to the taxpayer. The…