VEG Corp, Inc. v. United States of America

Filing 12

ORDER Granting 11 Motion to Extend Time Re: 1 Motion to Quash. Responses due by 5/22/2018. Signed by Magistrate Judge Nancy J. Koppe on 3/8/2018. (Copies have been distributed pursuant to the NEF - ADR)

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RICHARD E. ZUCKERMAN
Principal Deputy Assistant Attorney General

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HENRY C. DARMSTADTER
Trial Attorney, Tax Division
U.S. Department of Justice
P.O. Box 683, Ben Franklin Station
Washington, D.C. 20044-0683
Telephone: [phone]
Facsimile: [phone]
E-mail: [e-mail]

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Of Counsel
STEVEN W. MYHRE
Acting United States Attorney

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Attorneys for the United States of America

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IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF NEVADA
SOUTHERN DIVISION

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VEG CORP., INC,

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Petitioner,

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v.

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UNITED STATES OF AMERICA,

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Respondent.

Case No. 2:17-CV-02893-JCM-NJK
JOINT MOTION FOR A SECOND
SIXTY-DAY EXTENSION FOR
RESPONSE TO PETITION
SECOND REQUEST
LR IA 6-1, 6-2 and 7-1

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COMES now Petitioner Veg. Corp., Inc. and Respondent United States of America, by

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and through their undersigned counsel, and submit a Second Joint Motion to extend the time in

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which the United States has to respond to the Petition for an additional period of sixty (60) days

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up until May 22, 2018. This extra time period is sought because after the filing of the prior Joint

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Motion, Petitioner located and produced to the IRS a substantial quantity of additional

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documentation or records which are currently being reviewed by the IRS examination agents:

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1.

On November 17, 2017, Veg Corp., Inc. (“Veg Corp.”) filed its Petition to quash

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a Formal Document Request issued by the Internal Revenue Service (“IRS”) to Petitioner with

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respect to foreign-based documentation in accordance with 26 U.S.C. (IRC) § 982(c)(2).

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2.

The IRS is conducting an audit examination of Veg Corp.’s corporate income tax

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return for the year 2013. In connection with the examination, the IRS issued several Information

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Document Requests (“IDR”) to Veg Corp.

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3.

On August 21, 2017, the IRS issued a Formal Document Request to Veg Corp.

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under IRC § 982 in which it contended that Veg Corp.’s responses to the IDRs were insufficient

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or incomplete. On November 15, 2017, the IRS granted Veg Corp an extension until December

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15, 2017 in which to respond to the Formal Document Request.

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4.

Veg Corp. thereafter filed this Petition to quash the Formal Document Request in

accordance with IRC § 982(c)(2) for the reasons stated in its Petition.

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5.

Following service of process of the Petition on the United States, the parties filed

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a (First) Joint Motion to provide the United States with a sixty-day extension up to March 23,

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2018 in which to respond to the Petition (ECF No. 9). On December 22, 2017, the Joint Motion

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was granted by the Court (ECF No. 10).

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6.

On January 2, 2018, Petitioner submitted to the IRS thousands of additional newly

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discovered documents regarding its business activities for the periods under audit. These records

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were apparently discovered after the filing of this proceeding. The documents were originally

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produced in a format which was not easily accessible by the IRS exam team. On February 27,

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2018, the Petitioner sent the records to the IRS in another electronic format. These records are

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now currently under review by the IRS exam team. The additional time sought herein will also

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provide more time for the parties to further discuss narrowing or clarifying the issues involved

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herein.

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The parties therefore seek a second sixty-day extension up until May 22, 2018 in

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which the United States has to respond to the Petition.

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DATED: March 8, 2018

/s/HENRY C. DARMSTADTER
HENRY C. DARMSTADTER
Trial Attorney, Tax Division
U.S. Department of Justice
P.O. Box 683 Ben Franklin Station
Washington, D.C. 20044-0683
[phone]

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Of Counsel
STEVEN W. MYHRE
Acting United States Attorney

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Attorneys for the United States

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GREENBERG TRAURIG, LLP
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DATED: March 8, 2018

/s/DONALD L. PRUNTY, ESQ.
MARK E. FERRARIO, ESQ.
DONALD L. PRUNTY, ESQ.
3773 Howard Hughes Parkway
Suite 400N
Las Vegas, Nevada 89169

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Attorneys for Petitioner
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IT IS SO ORDERED.

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IT IS SO ORDERED:

Dated: March 8, 2018

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UNITED STATES DISTRICT COURT
JUDGE
_________________________________
UNITED STATES MAGISTRATE JUDGE
DATED:

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