Charles G. and Elizabeth A. Fargo - Page 6

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          round-the-clock nursing care.  They claim that such care is so              
          expensive (almost $90,000/year, by their estimate) that it would            
          cause them to wholly consume their liquid assets in 10 years.               
          They argue that respondent should have accepted their offer as a            
          viable alternative to a levy because of this foreseeable economic           
          hardship.                                                                   
               As we already noted, we look to respondent’s determination             
          for anything that runs counter to established law or suggests the           
          lack of a “sound basis in fact or law.”  In that light, we                  
          decline to second-guess his determination that petitioners’                 
          resources are sufficient to warrant collection of the entire                
          outstanding liability.  The record compiled by respondent                   
          indicates that petitioners possess substantial wealth--over a               
          million dollars in total assets (if equity in real estate is                
          counted) and a large income even in their retirement.  While                
          petitioners certainly present a legitimate view of their possible           
          future needs, we do not find that the record shows respondent to            
          have abused his discretion in concluding that petitioners can pay           
          their debt without suffering substantial economic hardship.                 
          B.   Exceptional Circumstances                                              
               Petitioners also renew here the arguments in favor of a                
          finding of “exceptional circumstances” that they made to                    
          respondent.  First, they contend the IRS had no justification for           
          its extraordinary delay in assessing their unpaid tax liability             






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