James Weldon Aaron - Page 10

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          we generally do not consider an issue that is raised for the                
          first time at trial.  See, e.g., Foil v. Commissioner, 92 T.C.              
          376, 418 (1989), affd. 920 F.2d 1196 (5th Cir. 1990); Markwardt             
          v. Commissioner, 64 T.C. 989, 997 (1975).  Respondent has offered           
          no explanation for not raising the issue of petitioner’s                    
          noncompliance earlier.  We do not consider this issue, nor does             
          it affect the outcome of this case.                                         
          Doubt as to Collectibility                                                  
               The Secretary may compromise a tax liability for doubt as to           
          collectibility when “the taxpayer’s assets and income are less              
          than the full amount of the assessed liability.”  Sec.                      
          301.7122-1(b)(2), Proced. & Admin. Regs.  Respondent determined             
          that the total value of petitioner’s interests in real property             
          exceeded the amount of his unpaid tax liabilities.  At trial,               
          petitioner stated he “had no problem” with respondent’s                     
          determination with respect to his real property interests.  He              
          also conceded that he had sufficient assets to pay his tax                  
          liabilities for the years at issue.  Accordingly, he is not                 
          entitled to compromise his tax liabilities on the basis of doubt            
          as to collectibility.                                                       
          Effective Tax Administration                                                
               The Secretary may compromise a liability on the ground of              
          effective tax administration when:  (1) Collection of the full              
          liability will create economic hardship; or (2) exceptional                 






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