183256P.pdf   02/12/2021  Judith Coffey  v.  CIR
   U.S. Court of Appeals Case No:  18-3256
                          and No:  18-3259
   United States Tax Court   
   [PUBLISHED] [Benton, Author, with Smith, Chief Judge, and Kobes, Circuit 
   Judge] 
   Civil case - Federal Tax Law. This opinion supersedes the opinion issued 
   on December 15, 2020, as rehearing by panel was granted on February 10, 
   2021. Taxpayers with U.S. Virgin Island-related income must file returns 
   with both the U.S. and the Virgin Islands unless they are bona fide Virgin 
   Island residents. It is undisputed that taxpayers were not bona fide 
   Virgin Island residents who filed only Virgin Island returns. The IRS 
   issued deficiency notices, and the taxpayers asserted the the defense of 
   the three-year statute of limitations, The Tax Court adopted their 
   position and the Commissioner appeals. Held: neither the Virgin Islands 
   Bureau of Internal Revenue's action in sending some of taxpayers' 
   documents to the IRS nor the taxpayers' act of filing the returns with 
   Virgin Islands alone meet their filing requirements under the Code; since 
   they had not filed a return with the U.S., they did not satisfy the 
   statute of limitations provisions set out in Code section 6501(a), and the 
   Tax Court's finding that they could assert the statute of limitations as a 
   defense to the deficiency notice is reversed. 
  
183256P.pdf   12/15/2020  Judith Coffey  v.  CIR
   U.S. Court of Appeals Case No:  18-3256
                          and No:  18-3259
   United States Tax Court   
   [PUBLISHED] [Benton, Author, with Smith, Chief Judge, and Kobes, Circuit 
   Judge] 
   Civil case - Appeal from the U.S. Tax Court. Taxpayers filed only U.S. 
   Virgin Island returns and claimed the Virgin Island's Economic Development 
   credit; The IRS audited the documents transmitted by the Virgin Islands 
   Bureau of Internal Revenue and determined that the taxpayers were never 
   bona fide Virgin Islands residents and could not claim the credit; in the 
   Tax Court, taxpayers asserted the three-year statute of limitations, and 
   the Tax Court granted their motion for summary judgment, concluding the 
   statute of limitations began to run when the IRS received documents from 
   the Virgin Islands Bureau of Internal Revenue. The IRS appeals. Held: the 
   Tax Court erred in granting taxpayers' motion for summary judgment; 
   because the taxpayers did not meticulously comply with the Internal 
   Revenue Code, the statute of limitations in section 6501(a) never began to 
   run; returns filed with the Virgin Islands Bureau of Internal Revenue are 
   not returns filed with the IRS; without a filing with the IRS, the 
   documents taxpayers submitted to the Virgin Islands Bureau of Internal 
   Revenue were not an honest and genuine attempt to satisfy the tax law of 
   the U.S. and were not filed returns.