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“merits” of the controversy); Erickson v. United States, supra at
768 (same); Krueger v. Commissioner, 48 T.C. 824, 828-829 (1967)
(same).
The Court concludes that the circumstances of the instant
case meet all prerequisites for application of res judicata and
that petitioner is precluded under the doctrine from challenging
his underlying liability for 1985 in this proceeding. Hence,
petitioner’s challenge to the validity of the assessment provides
no defense to the proposed collection action, and we need not
reach respondent’s alternative contention that failure to raise
the issue during the Appeals hearing process would likewise
foreclose its consideration before this Court.13
13 Additionally, the Court notes that petitioner’s stated
contention that, pursuant to sec. 6330(c)(1), it was the
responsibility of the Appeals officer to determine whether
relevant law and procedure had been complied with in the
assessment and collection process does not here warrant a
departure from application of res judicata. First, since
petitioner has at no time throughout the administrative
proceeding or this litigation produced any evidence establishing
the specific dates or circumstances of his bankruptcy action, to
accept his contention as sufficient to invalidate the
determination would work a significant broadening of the
verification requirement beyond the parameters suggested in this
Court’s prior jurisprudence. See Lunsford v. Commissioner, 117
T.C. 183, 186-188 (2001) (upholding use of IRS transcripts for
purposes of complying with the verification requirement until the
taxpayer provides evidence of irregularity in assessment
process). Second, although the Secretary retained authority to
abate the challenged assessment in these circumstances if he
concluded it was procedurally defective, that authority is
discretionary, not mandatory. Given petitioner’s earlier
opportunity to raise this challenge in his deficiency case and
his signing of a stipulated decision to the contrary, the Court
(continued...)
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