Craig I. Smith and Mary Lou Smith - Page 11
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a “determination” for purposes of section 6330. See Craig v.
Commissioner, 119 T.C. 252 (2002).
Section 6159 authorizes the Secretary to enter into
installment agreements and to terminate an installment agreement
where the taxpayer fails to timely pay any installment when it is
due or to pay any other tax liability when it is due. Sec.
6159(b)(4). Termination by the Secretary requires notice to the
taxpayer, not later than 30 days before the date of termination,
explaining why the Secretary intends to terminate the installment
agreement. Sec. 6159(b)(5). The Secretary is required to
establish procedures for an independent administrative review of
termination of installment agreements for taxpayers who request
such review. Sec. 6159(d).
If an installment agreement is terminated by the Secretary,
the Secretary may pursue collection of the unpaid balance of the
tax liability. Sec. 301.6159-1(e), Proced. & Admin. Regs. If
the installment agreement is terminated by the Secretary, no levy
can be made for 30 days immediately following the termination.
If within 30 days following the termination by the Secretary of
an installment agreement the taxpayer files an appeal with the
IRS Office of Appeals, no levy can be made while the termination
is being considered by Appeals. Sec. 6331(k)(2)(D); sec.
301.6331-4(a)(1), Proced. & Admin. Regs. However, where a
taxpayer receives a Letter 1058, but does not timely request a
hearing, a second notice of intent to levy sent after termination
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Last modified: November 10, 2007