- 5 -
liability.
Shortly after receiving the 1993-96 returns in January 2000,
respondent assessed the amounts reported as tax on those returns,
applied the 1993 withholding ($13,883) and the 1994 remittance
($125,000) to the 1993 assessment ($88,662), and, contrary to
petitioners’ instructions as expressed in their 1994-96 returns,
posted the remaining amount ($50,221) to “excess collections”.
On August 3, 2000, respondent issued to petitioners a Notice
of Intent to Levy with respect to their 1994-96 taxable years.
Petitioners timely filed Form 12153, Request for a Collection Due
Process Hearing, with an attached letter from their C.P.A.
explaining their position (the C.P.A. letter). The C.P.A. letter
bears the letterhead of Mike Wellman, C.P.A., with an address in
Longview, Texas.3 The sole argument raised in the C.P.A. letter
in opposition to the proposed levy is that, contrary to what
petitioners understood respondent’s position to be, the 1994
remittance was a deposit rather than a payment. If accepted,
that argument would have the effect of negating the applicability
of section 6511(b)(2)(A), the provision which precludes the
refund or credit of any amount “paid” more than 3 years (plus the
period of any filing extension) prior to the date such credit or
refund is claimed.
3 Mr. Wellman’s signature also appears on the preparer’s
signature line on each of the 1993-96 returns filed in January
2000, with the same address that appears on the C.P.A. letter.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011