Estate of Stella Adler Wilson - Page 11

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          proceeding in which the Government is seeking to collect its                
          delinquent taxes or file a claim therefor."  Respondent does not            
          argue that decedent made an involuntary payment in this case.               
               In the same vein, if a taxpayer makes a voluntary payment              
          without directing application of funds, the IRS may make whatever           
          allocation it chooses.  See Estate of Baumgardner v.                        
          Commissioner, 85 T.C. 445, 459 (1985).  However, where a taxpayer           
          makes voluntary payments to the IRS, he does have a right to                
          direct the application of payments to whatever type of liability            
          he chooses.  See Muntwyler v. United States, 703 F.2d 1030, 1032            
          (7th Cir. 1983); Estate of Baumgardner v. Commissioner, supra at            
               Having postulated the foregoing principles, we must now                
          decide whether decedent did, in fact, designate the December 31,            
          1986, remittance as a payment of her 1980 income tax--i.e., the             
          type of liability decedent chose--and if so, whether respondent             
          was free on July 13, 1992, to reallocate some of the 1986                   
          payment, i.e., $32,597 thereof, to assessments for other years,             
          one of which--1989--was 3 years in the future at the time                   
          decedent made her 1986 payment.                                             
               We are satisfied that decedent designated her entire                   
          voluntary payment as a payment of income tax and interest for               
          1980.  A transcript of decedent's IRS account for 1980 reflects,            
          under date of 12/31/86, as a "Subsequent Payment" the amount of             

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