Wylie v. Commissioner

2001 T.C. Memo. 65, 81 T.C.M. 1368, 2001 Tax Ct. Memo LEXIS 82
CourtUnited States Tax Court
DecidedMarch 20, 2001
DocketNo. 6949-00L
StatusUnpublished

This text of 2001 T.C. Memo. 65 (Wylie v. Commissioner) is published on Counsel Stack Legal Research, covering United States Tax Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wylie v. Commissioner, 2001 T.C. Memo. 65, 81 T.C.M. 1368, 2001 Tax Ct. Memo LEXIS 82 (tax 2001).

Opinion

ALAN R. WYLIE, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
Wylie v. Commissioner
No. 6949-00L
United States Tax Court
T.C. Memo 2001-65; 2001 Tax Ct. Memo LEXIS 82; 81 T.C.M. (CCH) 1368; T.C.M. (RIA) 54279;
March 20, 2001, Filed

*82 An appropriate order and decision will be entered granting respondent's motion for summary judgment.

Thomas W. Roberts, for petitioner.
Karen Nicholson Sommers, for respondent.
Laro, David

LARO

MEMORANDUM OPINION

LARO, JUDGE: This case is based on a petition filed under section 6330(d). 1 Respondent moved for summary judgment under Rule 121(a) on November 6, 2000. The Court, by order dated November 8, 2000, required petitioner to respond to respondent's motion by November 29, 2000. Petitioner did not file a response. For convenience, we shall combine the facts, which are not in dispute, with our opinion.

Section 6331(a) provides that, if any person liable to pay any tax neglects or refuses to pay the tax within 10 days after notice and demand for payment, the Secretary may collect the tax by levy upon*83 the taxpayer's property. Section 6331(d) provides that the Secretary must provide the taxpayer with notice, including notice of the administrative appeals available to the taxpayer, before proceeding with collection by such a levy.

In 1998, Congress enacted section 6330 to provide protections for taxpayers in tax collection matters involving the imposition of a levy on a taxpayer's property. See Internal Revenue Service Restructuring and Reform Act of 1998, Pub. L. 105-206, sec. 3401, 112 Stat. 685, 746. Section 6330 generally provides that the Secretary cannot proceed with the collection of taxes by way of a levy until the taxpayer has been given notice and an opportunity for administrative review of the matter (in the form of an Appeals Office due process hearing). Judicial review of the administrative determination is available if the taxpayer petitions this Court or the appropriate U.S. District Court. See sec. 6330(d).

On February 23, 2000, respondent issued to petitioner a Final Notice of Intent to Levy and Notice of Your Right to a Hearing. The levy related to his unpaid liability for income tax assessments for 1993, 1994, and 1995. Petitioner requested and was granted a collection*84 due process hearing which was held on May 12, 2000. Other than objecting that the Form 4340, Certificate of Assessment and Payments, was not a proper basis to verify the assessments petitioner raised no other arguments and offered no collection alternatives. On May 19, 2000, respondent sent a "NOTICE OF DETERMINATION CONCERNING COLLECTION ACTION(S) UNDER SECTION 6320 AND/OR 6330" to petitioner (notice of determination). The notice of determination states: "The Collection enforcement action proposed is the appropriate action in this case."

Petitioner timely filed a petition seeking judicial review of that determination. Where the validity of the underlying tax liability is properly at issue, the Court will review the matter de novo. Where, as is here, the underlying liability is not at issue, the Court will review the Commissioner's administrative determination for abuse of discretion. See Sego v. Commissioner, 114 T.C. 604, 610 (2000).

Petitioner alleges in the petition that respondent made the following errors in making his determination:

   (a) The appeals officer failed to get proper verification from

   the Secretary that the service met the requirements*85 of any

   applicable law or administrative procedure as required by

   section 6330(c)(1), 26 CFR section 301.6320-T(e)(1)[sic] and 26

   CFR section 301.6330-T(e)(1)[sic].

   (b) The appeals officer failed to furnish requested

   documentation prior to the hearing and failed to properly

   schedule and notify the petitioners of the time and date of the

   hearing that petitioners requested.

   (c) These failures resulted in the Petitioner's and their

   authorized representative's inability to be present and present

   their case, examine documents or cross examine witnesses against

   them.

We have assumed that the intended reference in the petition is a

reference to section 301.6330-1T(e)(1), Temporary Proced. & Admin.

Regs., 64 Fed. Reg. 3411 (Jan. 22, 1999), 2 which provides:

*86    (e) Matters considered at CDP hearing

     (1) In general. Appeals has the authority to determine the

   validity, sufficiency, and timeliness of any CDP [collection due

   process] Notice given by the IRS and of any request for a CDP

   hearing that is made by a taxpayer. Prior to issuance of a

   determination, the hearing officer is required to obtain

   verification from the IRS office collecting the tax that the

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114 T.C. No. 37 (U.S. Tax Court, 2000)
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Bluebook (online)
2001 T.C. Memo. 65, 81 T.C.M. 1368, 2001 Tax Ct. Memo LEXIS 82, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wylie-v-commissioner-tax-2001.