Tax practitioners find, however, that auditing agents are asserting penalties in almost every situation, presumably with the idea that the penalty will be traded for a sustention
of some of the positions being taken in the revenue agents' reports.
In Streber, 138 F3d 216 (1998), rev'g TC Memo 1995-601, the court rejected the Tax Court's sustention
of the penalty in a factual contest in which the "substantial authority issue turns on evidence going both ways"
rate has also remained stable at approximately 30 percent of proposed deficiencies.
Finally, he briefly discussed several issues, including joint meetings between Appeals and Examination personnel, the sustention
rate in Appeals, process reviews, the role of Team Chiefs, and the importance of taxpayer involvement in the audit planning process.
Indeed, CEP taxpayers frequently voice concern that the Case Manager declines to become involved in technical issues and, as a result, the elimination of their experience and expertise contributes to the low sustention
(2) We continue to think the measurement system for the Examination function needs to be revised to take into account the ultimate sustention
rate, but that is an issue for another day (and another task force).
The draft report measures this standard based on agreement rates and Appeals sustention
rates of proposed adjustments and penalties.
(7) TEI agrees that the low sustention
rate is a matter of concern.