James Dwain & Jill R. Haws - Page 15

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          ultimately determined that this circumstance had no relevance in            
          this collection proceeding because the installment agreement                
          could not limit petitioners’ 1992 tax liability to $1,455.                  
          Consequently, the Appeals Office sustained the proposed levy.               
               Pursuant to section 6331(k)(2)(C), however, no levy may be             
          made with respect to any unpaid tax during the period that an               
          installment agreement is in effect for payment of the tax.                  
          Consequently, Settlement Officer Stefanski (and we) having                  
          concluded that the installment agreement covered petitioners’               
          1992 tax year, the proposed levy action is inappropriate if the             
          installment agreement is still in effect.  There is no evidence             
          in the record to suggest that it is not.  By statute, respondent            
          is required to give petitioners at least 30 days’ notice before             
          terminating the installment agreement.  See sec. 6159(b)(5)(A).             
          There is no suggestion in the record that respondent ever gave              
          petitioners any such notice.  Mr. Haws’s unrefuted testimony is             
          that he stopped making installment payments on the advice of                
          Appeals Officer Baker, to await further deliberations by the                
          Appeals Office and not because the installment agreement was                
          terminated.                                                                 
               In these circumstances, we cannot agree that the Appeals               
          Office properly verified that the requirements of applicable law            
          or administrative procedure were met with respect to petitioners’           
          1992 tax liability.  Insofar as the installment agreement is                






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