James Benson Dunham and Melanie A. Dunham - Page 5

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               anywhere on this, that there have been no                              
               determinations made with regard to James and Melanie                   
               Dunham.  I don’t know what the facts are in the cases                  
               and I’m not going to address each of these arguments in                
               any great exhausting detail, but there’s a reason why                  
               horse races are held, because you never know who’s                     
               going to win that race until the race is over.                         
               On February 27, 2002, a Notice of Determination Concerning             
          Collection Action(s) Under Section 6320 and/or 6330 was sent to             
          petitioners.  The notice indicated the frivolous nature of                  
          petitioners’ arguments and stated:                                          
                    All statutory, administrative and procedural                      
               requirements have been met by the Internal Revenue Service             
               prior to proposing the Notice of Levy.                                 
                    No viable alternatives to such action were established            
               during Appeals consideration; accordingly, such action is              
               not considered to be overly intrusive at this time.                    
               In the petition in this case, petitioners asserted:  (1) No            
          provision of the Internal Revenue Code makes them liable for the            
          income tax and penalties determined in the statutory notice; (2)            
          there was “no valid assessment” of taxes; (3) they did not                  
          receive a “notice and demand for payment” of the taxes at issue;            
          (4) they did not receive a valid notice of deficiency; and (5) at           
          the hearing they did not receive “verification from the Secretary           
          that the requirements of any applicable law or administrative               
          procedure have been met”.  The same arguments were repeated in              
          petitioners’ trial memorandum signed by Mr. Jewett and filed with           
          the Court.                                                                  








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