Tax Notes Quotes Mark Allison on Supreme Court Ruling in COBRA Tax Shelter Case
Mark D. Allison is quoted by Tax Notes concerning the Supreme Court's March 25 grant of certiorari in U.S. v. Gary Woods, and the Court's direction for the parties to argue whether the district court had jurisdiction under section 6226 to consider the substantial valuation misstatement penalty for Woods, who in 1999 participated in a COBRA tax shelter developed by Jenkens & Gilchrist and Ernst & Young LLP. To read the complete article, please go to Tax Notes' website.
Excerpt taken from the article "Supreme Court to Hear Valuation Misstatement Case, Requests Briefs on Jurisdiction" by Shamik Trivedi for Tax Notes
Mark D. Allison of Caplin & Drysdale said, "There are a number of cases in Tax Court in which the penalty jurisdiction issue is front and center, and as a result, a number have been placed on the back-burner, pending the disposition of Petaluma and Tigers Eye." Resolution of those cases in the D.C. Circuit or the Supreme Court "might be beneficial to all parties," he said.
"Otherwise, they're just lingering with no particular direction at this point," Allison said. Because Woods is a Fifth Circuit case, the Court has an opportunity to resolve the cases on the jurisdictional and penalty issues and avoid the continuing circuit split, he said. "This would resolve all of that, potentially, in one package decision. And that might be a very efficient resolution by the Supreme Court," Allison said.