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Post Date:  1/16/2014
Last Updated:  1/16/2014

Summary
Cross References
- Pezzo, IRS Office of Chief Counsel, December 18, 2013

The IRS has disbarred a CPA from practice for Circular 230 violations. John J. Pezzo has engaged in practice before the IRS as a CPA. The following violations are listed as reasons for the disbarment:
- Failure to file his individual federal income tax return (Form 1040) for tax years 2008 through 2010.
- Failure to file his S corporation federal income tax return for tax years 2007 through 2011.
- Failure to file the S corporation's Form 940 for tax years 2008 through 2011.
- Failure to file the S corporation's Form 941 for ten quarters in 2008 through 2011.
- Failure to respond to letters from the Office of Professional Responsibility (OPR) concerning the failure to file the above tax returns.
- Failure to use a Preparer Tax Identification Number (PTIN) on returns he prepared for clients during 2012.

The complaint against Mr. Pezzo mentions a prior history of failure to file tax returns for the years 2000 through 2006. It also mentions bounced checks he issued to the IRS for his tax obligations during the years 2007 through 2009 with a combined total value of about $58,000. The bounced checks indicate a pattern of non-compliance that resulted in the IRS spending additional resources to conduct two collection investigations to collect his unpaid taxes.

Mr. Pezzo filed an appeal stating that he is currently becoming compliant with all tax filings and payments and is working with a revenue agent to accomplish this task. He said he had deaths in the family and had been emotionally unable to comply with the requirements. He did not contest the factual allegations as to any of the alleged Circular 230 violations.

The appeals officer for OPR said Mr. Pezzo's arguments are irrelevant and without merit. He engaged in willful conduct that was in violation of Circular 230. Therefore, his appeal is denied and he is disbarred from practice before the IRS. Any reinstatement is conditioned on his becoming compliant with all tax filings and payments and not having violated any other provision contained in Circular 230.

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