- 20 -
As discussed with Mr. Orum at the section 6330 hearing, Ms.
Vuicich found the information provided on petitioners’ Form 433A
to be incomplete and unverified. We find that the Appeals
officer could have reasonably rejected an installment agreement
proposal by petitioners on the basis of petitioners’ failure to
make the required monthly payments on the initial January 5,
2001, installment agreement that was terminated, and petitioners’
failure to timely provide the requested information to Ms.
Vuicich in order for her to consider another installment
agreement.
Additionally, respondent’s determination not to enter into
an offer-in-compromise agreement with petitioners was not an
abuse of discretion. Section 7122(a) authorizes the Secretary to
compromise any civil case arising under the internal revenue
laws. The regulations set forth three grounds for the compromise
of a liability: (1) Doubt as to liability; (2) doubt as to
collectibility; or (3) promotion of effective tax administration.
Sec. 301.7122-1T(b), Temporary Proced. & Admin. Regs., 64 Fed.
Reg. 39024 (July 21, 1999);4 see sec. 7122(c)(1). Doubt as to
liability is not at issue in the instant case.
The Secretary may compromise a liability on the ground of
doubt as to collectibility when “the taxpayer’s assets and income
4 Final regulations under sec. 7122 were promulgated
effective for offers-in-compromise pending on or submitted on or
after July 18, 2002. Sec. 301.7122-1(k), Proced. & Admin. Regs.
Page: Previous 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 NextLast modified: May 25, 2011