- 6 - Respondent sought to reassure petitioner by letter that Appeals was independent of other offices in the IRS. Respondent explained that petitioner could openly discuss matters with Appeals, that he had the right to legal representation at a conference, and/or he could be accompanied by another person. Again, petitioner refused respondent’s gesture and insisted upon a written record of communication. Petitioner raised his offer in compromise again, this time to the full amount of the Brauns’ tax liabilities for 1994 and 1997, excluding interest.8 Petitioner’s amended offer also required that respondent admit to having committed errors. Investment Account Information During consideration of petitioner’s offers, Appeals requested the “current value” of petitioner’s 401(k) account.9 Twice petitioner sent respondent the current “vested” amount rather than the “current value.” Respondent’s Taxpayer Advocate (the TA) later explained the distinction to petitioner. The TA also told petitioner that respondent should have requested “all” 8At that time, petitioner computed his full tax liability, less interest, at $5,180.12. Petitioner later stated that his full tax liability, less interest, was $4,586.27. Each time that petitioner amended his offer in compromise, he did so by letter to respondent, rather than by submitting an updated Form 656, Offer in Compromise. 9On Mar. 25, 2002, petitioner replied that the current vested balance in his 401(k) account was $1,671.59 as of Dec. 31, 2001. Later, petitioner reported that the current vested balance in his 401(k) account was $4,384.54 as of Oct. 30, 2002.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011