Kevin P. Burke - Page 12

                                       - 12 -                                         
                    pending if the underlying tax liability is not at                 
                    issue in the appeal and the court determines that                 
                    the Secretary has shown good cause not to suspend                 
                    the levy.                                                         
               In sum, section 6330(e)(1) sets forth the general rule that            
          respondent may not proceed with collection by levy if an                    
          administrative hearing is timely requested under section                    
          6330(a)(3)(B) and while any appeals from such administrative                
          hearing are pending.6  The Court is vested with jurisdiction to             
          enjoin an improper collection action so long as a timely petition           
          has been filed with the Court and then only in respect of the               
          proposed levy that is the subject of such petition.  Section                
          6330(e)(2) provides an exception to the suspension of the levy              
          imposed under subsection (e)(1) if the person’s underlying tax              
          liability is not at issue in the appeal and the Court determines            
          that good cause is shown not to suspend the levy.7                          
               We further observe that, in the absence of any other                   
          limiting language, the “court” referred to in section 6330(e)(2)            
          is best read as a reference to the court to which a collection              


               6 See sec. 301-6330-1(g)(2), Q&A-G1, Proced. & Admin. Regs.            
          (“The suspension period continues until * * * the Notice of                 
          Determination resulting from the CDP hearing becomes final upon             
          either the expiration of the time for seeking judicial review or            
          upon exhaustion of any right to appeals following judicial                  
          review.”).                                                                  
               7  Much like the statute, the legislative history of section           
          6330 simply states that “Levies will not be suspended during the            
          appeal if the Secretary shows good cause why the levy should be             
          allowed to proceed.”  H. Conf. Rept. 105-599, at 266 (1998),                
          1998-3 C.B. 747, 1020.                                                      




Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  Next

Last modified: May 25, 2011