- 13 - As it stands, to be entitled to the relief he seeks in this case, petitioner must establish that, in and of itself, respondent’s refusal to agree to the installment agreement that he proposed during the administrative hearing was an abuse of discretion. This he has failed to do. Accepting or rejecting an installment agreement proposed by a taxpayer is within the discretion of the Commissioner. See sec. 301.6159-1(b)(1)(i), Proced. & Admin. Regs. Discretionary decisions made in response to an installment agreement proposed by a taxpayer will not be upset unless it is demonstrated that the decision was arbitrary in one way or another and could not be supported in law and in fact. See Freije v. Commissioner, 125 T.C. 14 (2005); Schulman v. Commissioner, T.C. Memo. 2002-129. In this case, the settlement officer took into account petitioner’s outstanding tax liabilities and reviewed what financial information petitioner submitted. Based upon his review, the settlement officer noted that the installment agreement proposed by petitioner would not be sufficient to pay off petitioner’s outstanding tax liabilities within the applicable periods of limitation. After reviewing petitioner’s financial situation, the settlement officer also concluded that the installment agreement proposed by petitioner did not accurately represent petitioner’s ability to pay. We do not substitute our judgment for the settlement officer’s onPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NextLast modified: November 10, 2007