- 8 - reflecting the 15-year-old liabilities, and that he wanted to fix the matter. Petitioner’s challenge lacks any substance, and the underlying tax liabilities stand as assessed by respondent. Levy Action Having established that petitioner’s tax liabilities were as determined by respondent under our de novo review standard, we now review respondent’s determination to proceed with collection under an abuse of discretion standard. Under this standard, a determination will be affirmed unless action was taken that was arbitrary or capricious, lacks sound basis in fact, or is not justifiable in light of the facts and circumstances. Mailman v. Commissioner, 91 T.C. 1079, 1084 (1988). In the case before us, petitioner did not expressly challenge the Appeals officer’s determination with respect to collection, so we must first decide whether this determination is even properly before the Court. In his petition, petitioner checked the box for redetermination of a deficiency and explicitly only raised the issue of his tax liabilities. While Rule 331(b)(4) provides that any issue not raised in the petition is deemed conceded, the circumstances in this case allow us to consider the issue. Consideration of the issue is proper so long as petitioner’s failure to provide notice to respondent did not prejudice respondent. See Pagel, Inc. v. Commissioner, 91 T.C. 200, 212 (1988), affd. 905 F.2d 1190 (8th Cir. 1990); Martin v.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 NextLast modified: November 10, 2007