- 10 - for installment payments that apprised it of the allocations between tax and interest proposed by the Commissioner). Moreover, respondent’s application of petitioners’ payments was reasonable. The letter that confirmed the installment agreement between petitioners and respondent is the executed written installment agreement.8 Sec. 301.6159-1(b)(2), Proced. & Admin. Regs. We found the installment agreement to be silent as to whether petitioners were able to designate the application of the payments to certain years. As a result, it was reasonable for respondent to apply the payments to the TFRP liabilities first, pursuant to its own procedures. See Rev. Rul. 73-305, 1973-2 C.B. 43. Further, the Court of Appeals for the Sixth Circuit, to which this case would be appealable but for section 7463, has held that estoppel against the Government also requires “some affirmative misconduct by a government agent”. United States v. Guy, 978 F.2d 934, 937 (6th Cir. 1992).9 The evidence does not 8 Sec. 301.6159-1(b)(2), Proced. & Admin. Regs. provides, in relevant part: (2) Form of installment agreement. A written installment agreement may take the form of * * * a written confirmation of an agreement entered into by the taxpayer and the director that is mailed or personally delivered to the taxpayer. 9 To define “affirmative misconduct”, the Court of Appeals for the Sixth Circuit stated that the party claiming equitable estoppel against the Government must establish “%more than mere negligence, delay, inaction, or failure to follow an internalPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011