Ballard v. Commissioner of Internal Revenue

Summary

The Court held that Tax Court Rule 183 does not authorize the practice of withholding a special trial judge’s initial report from the record on appeal when the Tax Court judge adopts a revised version. The Court reversed the Seventh and Eleventh Circuits, finding the concealment impedes appellate review of whether deference was given to the trial judge’s credibility findings. Justice Rehnquist dissented, arguing for deference to the Tax Court’s interpretation of its rules. Justice Kennedy concurred, noting factual questions on remand about whether the initial report was altered.