                              T.C. Memo. 2015-37



                        UNITED STATES TAX COURT



    HARTLAND MANAGEMENT SERVICES, INC., ET AL.,1 Petitioners v.
        COMMISSIONER OF INTERNAL REVENUE, Respondent*



      Docket Nos. 3275-13, 3279-13,              Filed March 9, 2015.
                  3610-13.



      Reggie L. Wegner, for petitioners.

      George W. Bezold, for respondent.




      1
       Cases of the following petitioners are consolidated herewith: Craig J.
Kunkel and Kim M. Kunkel, docket No. 3279-13; and Integra Engineering, LTD,
docket No. 3610-13.
      *
       This opinion supplements our previously filed opinion in Hartland Mgmt.
Servs., Inc. v. Commissioner, T.C. Memo. 2015-8. All Rule references are to the
Tax Court Rules of Practice and Procedure.
                                          -2-

[*2]              SUPPLEMENTAL MEMORANDUM OPINION


       COHEN, Judge: Our Memorandum Opinion, T.C. Memo. 2015-8, was filed

January 12, 2015. On January 22, 2015, the parties filed a joint motion for

reconsideration of findings or opinion pursuant to Rule 161, in which they reveal

for the first time in the record that (1) the deficiencies, penalties, and interest for

the taxable years ended May 31, 2010, and May 31, 2011, for Hartland

Management Services, Inc., for the years 2009 and 2010 for Craig J. Kunkel and

Kim M. Kunkel, and for the taxable years ended November 30, 2009, and

November 30, 2010, for Integra Engineering, LTD, were assessed by the Internal

Revenue Service and paid by petitioners, the latter having filed suits, still pending,

with respect to those years in the U.S. District Court for the Eastern District of

Wisconsin; and (2) after submitting this matter to this Court with respect to the

period of limitations issue for earlier years, the parties reached an agreement that

would result in a calculation of deficiencies different from those in the statutory

notice for the earlier year for each petitioner.

       We concluded in our Memorandum Opinion that petitioners had conceded

certain issues by failing to raise them. However, it now appears that the issues

other than the period of limitations were not before the Court and that sustaining
                                        -3-

[*3] the determinations in the statutory notice is contrary to the previously

undisclosed agreement of the parties. Thus, all references to Hartland

Management Services, Inc.’s 2010 and 2011 taxable years, Craig J. Kunkel and

Kim M. Kunkel’s 2009 and 2010 tax years, and Integra Engineering, LTD’s 2009

and 2010 taxable years and their related deficiencies and penalties should be

disregarded, and the decisions for the remaining years should be consistent with

the agreement of the parties rather than decisions for respondent consistent with

the statutory notices.

      To reflect the foregoing,


                                                 Appropriate decisions will

                                          be entered.
