Wednesday, September 28, 2005
The Second Circuit yesterday upheld the imposition of penalties (20% for substantial understatement of income and 40% for gross valuation misstatement) on Long-Term Capital Management for its tax shelter activities. Long-Term Capital Management v. United States, No. 04-5687-cv (2d Cir. 9/28/05) [Interestingly, the Second Circuit's decision is marked "THIS SUMMARY ORDER WILL NOT BE PUBLISHED IN THE FEDERAL REPORTER AND MAY NOT BE CITED AS PRECEDENTIAL AUTHORITY TO THIS OR ANY OTHER COURT."] Joe Kristan has more here.