Tax Court affirms excess benefit taxes, penalties

In a rare case in which the imposition of excess benefit taxes is contested in court, the Tax Court has affirmed the imposition of nearly $300,000 in taxes and more in penalties.  With the defendant not represented, the opinion goes into great detail about the situation and the rationale for imposition of taxes and penalties.  It denied a claim for taxes on health insurance premiums that had been asserted by the Internal Revenue Service.