Franklin and Janetta Hubbart - Page 6

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          While Ms. Cochran normally required documents to be submitted               
          before the section 6330 hearing, she extended petitioner’s                  
          deadline for producing information to April 9, 2004.                        
               On April 9, 2004, petitioners submitted to Ms. Cochran a               
          Form 656, Offer in Compromise, a Form 433-A, Collection                     
          Information Statement for Wage Earners and Self-Employed                    
          Individuals, one letter explaining the offer amount and other               
          payment considerations, and three letters setting out in detail             
          petitioners’ position regarding the offer-in-compromise.                    
          Petitioners’ letters included several exhibits.                             
               The Form 656 indicated that petitioners were seeking an                
          offer-in-compromise based alternatively on doubt as to                      
          collectibility with special circumstances or effective tax                  
          administration.  Petitioners offered to pay $60,400 to compromise           
          their outstanding tax liability for 1981 through 1996.  At the              
          time of the section 6330 hearing, $345,145 had been assessed                
          against petitioners with respect to their 1981 through 1996 tax             
          years.                                                                      
















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