Peter P. Baltic and Karen R. Baltic - Page 7

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          a collection alternative that a taxpayer may raise at the                   
          hearing.  We have, however, already come very close to holding              
          that OIC-DATLs are a prohibited challenge to the underlying tax             
          liability.  In Hajiyani v. Commissioner, T.C. Memo. 2005-198, we            
          wrote in a footnote that an OIC-DATL “would address the merits of           
          the underlying liability.  Since petitioner is precluded from               
          questioning the underlying liabilities, his offer would not                 
          provide him any relief....”  But the Baltics are right in noting            
          that Hajiyani--in the text--held that the Commissioner was                  
          justified in not considering an OIC-DATL because the taxpayers              
          hadn’t even submitted one before the notice of determination came           
          out.  The same is true of the taxpayers in Jones v. Commissioner,           
          T.C. Memo. 2007-142, and in Kindred v. Commissioner, 454 F.3d               
          688, 696 (7th Cir. 2006) (affirming an unpublished order granting           
          the Commissioner summary judgment).                                         
               We’ve also held that the Commissioner didn’t abuse his                 
          discretion in rejecting an OIC-DATL where the underlying tax                
          liability was previously stipulated in a Tax Court decision,                
          because a stipulated tax liability can’t validly be considered a            
          “doubtful liability” under the applicable regulation.  Sec.                 
          301.7122-1(b)(1), Proced. & Admin. Regs.; Oyer v. Commissioner,             
          T.C. Memo. 2003-178, affd. 97 Fed. Appx. 68 (8th Cir. 2004).                
               We recognize that the Baltics’ case is a bit different.                
          They plausibly distinguished their situation from cases like                

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