United States of America v. Lee et al

Filing 33

STIPULATION AND ORDER TO WITHDRAW 28 MOTION FOR SUMMMARY JUDGMENT filed by United States of America; AND REQUEST TO SCHEDULE CASE MANAGEMENT CONFERENCE. Further Case Management Conference set for 7/10/2009 at 01:30 PM. Updated joint cmc statement due by 7/2/9. Signed by Judge Joseph C. Spero on 6/11/09. (klhS, COURT STAFF) (Filed on 6/11/2009)

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JOSEPH RUSSONIELLO (CSBN 44332) United States Attorney THOMAS MOORE (ASBN 4305-O78T) Assistant United States Attorney Chief, Tax Division CYNTHIA STIER (DCBN 423256) Assistant United States Attorney 9th Floor Federal Building 450 Golden Gate Avenue, Box 36055 San Francisco, California 94102 Telephone: [phone] Attorneys for the United States of America

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF CALIFORNIA SAN FRANCISCO DIVISION UNITED STATES OF AMERICA, Plaintiff, v. RICHARD D. LEE, et al., ) ) ) ) ) ) ) ) ) ) ) ) ) ) No. C 08-2595 JCS STIPULATION TO WITHDRAW MOTION FOR SUMMARY JUDGMENT AND REQUEST TO SCHEDULE CASE MANAGEMENT CONFERENCE

16 17 18 19 20 21 22 23 24 25 26 27 28 Defendants.

Date: July 10, 2009 Time: 1:30 Place: 15th Floor, Courtroom A

Plaintiff, United States of America and Defendant, Richard Lee (hereinafter, "Lee"), hereby stipulate and agree, subject to the Court's approval, that the Motion for Summary Judgment filed by the United States be withdrawn without prejudice and request that the Court schedule a Case Management Conference for July 10, 2009, at 1:30 p.m. As grounds for this request, the United States and Lee submit the following: 1. For tax years 1992 through 2004, Lee received income from his business,

AirCharter World. For tax years 1992 and 1993, Lee failed to file his federal income tax returns and the IRS assessed federal income taxes against him based on Substitutes for Returns prepared by the IRS pursuant to Section 6020(b) of the Internal Revenue Code (26 U.S.C.), which

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authorizes the Secretary to prepare tax returns for persons required to file tax returns but who fail to do so. These tax returns reported income from AirCharter World on Lee's federal income tax returns. For tax years 1994, 1995, 1996, 1997, 2003 and 2004, Lee filed federal income tax returns reporting income from AirCharter World on his federal income tax returns filed with the IRS. 2. The United States filed this action to reduce the tax assessments to judgment and

to foreclose its federal tax liens upon certain real property owed by Lee. 3. The United States moved for summary judgment against Lee. Lee opposes the

government's motion for summary judgment on the grounds that the income from AirCharter World was incorrectly reported as income on his federal income tax returns. Lee contends that AirCharter World, a C corporation, was required to file its own income tax returns. Lee contends that the federal income tax returns incorrectly report the AirCharter World income on his personal federal income tax returns for all years at issue in this lawsuit. 4. Lee does not dispute that he had income from AirCharter World, only that the

amount of the tax assessments, based on the Substitutes for Return and the personal income tax returns he filed, are incorrect. 5. AirCharter World has not filed federal income tax returns nor has Lee filed

amended federal income tax returns to properly report his income. 6. For the reasons set forth above, the United States and Lee agree that the

government's motion for summary judgment may be withdrawn without prejudice and they request that the Court schedule a status conference for July 10, 2009.

Respectfully submitted, JOSEPH RUSSONIELLO United States Attorney Dated: June 10, 2009 : /s/ Cynthia Stier CYNTHIA STIER Assistant U.S. Attorney Attorneys for the United States of America
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1 2 Dated: June 10, 2009 : 3 4 5 Attorney for Richard Lee 6 7 ORDER 8 For good cause shown, the Motion for Summary Judgment filed by the United States is 9 dismissed without prejudice and a case management conference is scheduled for July 10, 2009, at 10 1:30 p.m. The parties are required to file a case management statement by July 2, 2009. In 11 addition, the Court orders: 12
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/s/ David Porter DAVID PORTER Wood & Porter, P.C. 333 Sacramento Street San Francisco, CA 94111

14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 June 11, 2009 Dated:_________________

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C RN THE HONORABLE JOSEPH C. SPERO F D I S T MAGISTRATE JUDGE TO UNITED STATES R I C

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