Opinion ID: 502693
Heading Depth: 2
Heading Rank: 3

Heading: Eastman's Abuse-of-Discretion Contention

Text: 35 Finally, we note that Eastman has argued, both here and in the district court, that if it be found that the IRS impliedly denied its request for an extension, that denial was an abuse of discretion and the requested extension should thus be treated as granted. In support of this contention, Eastman argues that the definition of underpayment with reference to timely filings was designed to reach conduct that is not at issue here, and it points out, inter alia, that Congress has amended Sec. 6653 to allow a taxpayer to avoid an unduly onerous penalty by establishing that some portion of the underpayment is not attributable to fraud. 26 U.S.C.A. Secs. 6653(b)(1)(A) and (b)(2) (West Supp.1987). The district court did not address Eastman's abuse-of-discretion contentions, and we leave them for consideration, if necessary, on remand.