Investment Research Associates, Inc. - Page 12

                                       - 12 -                                         
          Petitioner counters that section 301.6320-1(b)(1) and (2),                  
          Proced. & Admin. Regs., is an interpretative regulation                     
          promulgated under section 7805(a)4 that is entitled to very                 
          little deference and, in any event, the regulation is                       
          inconsistent “with the letter and the spirit of Section 6320.”              
               It is well settled that an interpretative Treasury                     
          Department regulation is valid if it implements a congressional             
          mandate in a reasonable manner.  See Natl. Muffler Dealers                  
          Association, Inc. v. United States, 440 U.S. 472, 476-477 (1979)            
          (citing United States v. Cartwright, 411 U.S. 546, 550 (1973)).             
          An interpretative Treasury Department regulation is reasonable              
          under Natl. Muffler Dealers Association, Inc. v. United States,             
          supra, if it "harmonizes with the plain language of the statute,            
          its origin, and its purpose."  Id. at 477; see also United States           
          v. Vogel Fertilizer Co., 455 U.S. 16, 26 (1982).                            
               As previously discussed, the language of section 6320 does             
          not address explicitly the precise point we must decide in this             
          case.  Where a statute is ambiguous or silent, we may look to the           
          statute’s legislative history to determine congressional intent.            
          See, e.g., Burlington N. R.R. v. Okla. Tax Commn., 481 U.S. 454,            
          461 (1987).  In this case, Congress directly addressed the                  
          question at issue in the legislative history underlying section             

               4  Sec. 7805(a) provides in pertinent part that “the                   
          Secretary shall prescribe all needful rules and regulations for             
          the enforcement of this title”.                                             





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

Last modified: May 25, 2011