- 5 - the ability to pay his tax liabilities in full.2 The notice of determination does not include an estimate of petitioner’s assets and liabilities. However, the record contains an undated document titled “Appeals Case Memorandum” (the Appeals memorandum). This document states that petitioner “has a credit line of $4,200” and “retirement funds of more than $2,300. These two assets total $6,500 (which is more than the amount [petitioner] offered).” Neither the notice of determination nor the Appeals memorandum includes an estimate of petitioner’s future income. Discussion Section 6321 imposes a lien in favor of the United States on all property and rights to property of a person when a demand for the payment of the person’s liability for taxes has been made and the person fails to pay those taxes. Such a lien arises when an assessment is made. Sec. 6322. Section 6323(a) requires the Secretary to file a notice of Federal tax lien if the lien is to be valid against any purchaser, holder of a security interest, mechanic’s lienor, or judgment lien creditor. Lindsay v. Commissioner, T.C. Memo. 2001-285, affd. 56 Fed. Appx. 800 (9th Cir. 2003). 2 The notice of determination includes other grounds in support of respondent’s position. Based on our resolution of issue for decision infra, we do not address these additional grounds.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011