U.S. District Court, Dist. Ida.; CV 04-446-S-MHW, February 3, 2006.

[ Code Sec. 6330]

Tax liens: Collection Due Process hearing: Abuse of discretion: IRS officer: Balancing test analysis: Installment agreement: Employment tax liability. –

An IRS Appeals officer’s refusal to enter into an installment agreement with an individual and her decision to uphold an IRS proposed collection action did not constitute an abuse of discretion. The taxpayer did not suffer undue hardship as a result of a lien and levy. The officer considered the taxpayer’s arguments and properly balanced the interest of pursuing the least intrusive method of collection with the need to efficiently administer the tax laws in the collection of revenue and found that the tax lien against the taxpayer’s accounts was the proper collection method. Further, the IRS’s refusal to enter into an installment agreement with the taxpayer was not erroneous because the taxpayer had not made her estimated tax payments for two years. Finally, the court lacked jurisdiction to consider her allegations that the IRS lien unjustifiably slandered her credit and precluded her from operating her business because these issues had not been raised at her Collection Due Process hearing. 

Case at:  http://www.taxsos.com/collectiondueprocesscases.htm