Modern Computer Games, Inc. v. Commissioner

Summary

The United States Tax Court considered whether Carl D. Rader was authorized to file a petition for readjustment on behalf of Modern Computer Games, Inc., an S corporation, during the 90-day period following issuance of a final S corporation administrative adjustment. The court held that Rader was the proper party to file the petition because he was eligible to be designated as the tax matters person and had been specifically authorized by the corporation to act in that capacity, and it denied the Commissioner's motion to dismiss.

Holdings

1. Carl D. Rader was the proper party to file the petition on behalf of Modern Computer Games, Inc. because he was eligible to be designated as the tax matters person and had been specifically authorized by the corporation to act in that capacity before filing the petition.
2. The lack of an express designation of Rader or another shareholder as tax matters person under the Commissioner's regulations did not require dismissal where Rader was otherwise eligible and had been specifically authorized by the corporation to file the petition.

Questions Presented

1. Whether Carl D. Rader was authorized to file a petition on behalf of Modern Computer Games, Inc. during the 90-day period provided by Internal Revenue Code section 6226(a)(1).
2. Whether the absence of an express regulatory designation of a tax matters person required dismissal of the petition for lack of jurisdiction.

Disposition

writ_denied