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agreement under the provisions of section 7121.4 Holland v.
Commissioner, 70 T.C. 1046, 1048-1049 (1978), affd. 622 F.2d 95
(4th Cir. 1980); Hudock v. Commissioner, 65 T.C. 351, 362 (1975).
The statutory procedure is ordinarily the exclusive method by
which the Commissioner may be finally and conclusively bound.
Botany Worsted Mills v. United States, 278 U.S. 282, 288 (1929);
Estate of Meyer v. Commissioner, 58 T.C. 69, 70-71 (1972). "The
very fact that Congress has provided a way in which the Internal
Revenue Department may bind itself, precludes the possibility of
its being bound by some other procedure." Knapp-Monarch Co. v.
Commissioner, 139 F.2d 863, 864 (8th Cir. 1944), affg. 1 T.C. 59
(1942).
It is also well established that the Commissioner is not
bound by the unauthorized and erroneous actions of his employees
where the law dictates a different result. See Keystone Auto.
Club Cas. Co. v. Commissioner, 40 B.T.A. 291 (1939), as
supplemented 42 B.T.A. 356 (1940), affd. 122 F.2d 886 (3d Cir.
1941); see also Bagnell v. Commissioner, T.C. Memo. 1993-378 (and
cases cited therein). We have reviewed the April 9, 1997, report
and find that it erroneously used "head of household" filing
status to compute petitioner's tax liability.
4 Sec. 7121(b) provides an exception to this rule upon a
showing of fraud, or malfeasance or misrepresentation of a
material fact.
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