Ten-Year Statute of Limitations Not Extended; Installment Agreement in Place When Waiver Was Solicited (Rosenbloom, TCM)

A settlement officer abused her discretion when she sustained a notice of levy against an attorney because the taxpayer had an installment agreement in place at the time a waiver of the ten-year statute of limitations for collecting overdue taxes was solicited. The taxpayer was able to produce a copy of the installment agreement. IRS tax transcripts established that the installment agreement had not been terminated but, rather, control of the installment agreement had been transferred to a local IRS office. Further, there was no jeopardy termination of the installment agreement prior to a bank levy initiated by the original revenue officer because the levy occurred after the revenue officer had received the taxpayer’s updated financial information that he requested.

M.L. Rosenbloom, TC Memo. 2011-140, Dec. 58,670(M)

Other References:

Code Sec. 6502

CCH Reference – 2011FED ¶39,028.20

Code Sec. 6159

CCH Reference – 2011FED ¶37,181.60

CCH Reference – 2011FED ¶37,181.75

Tax Research Consultant

CCH Reference – TRC IRS: 30,252

CCH Reference – TRC IRS: 51,056.30

AUTHOR

Wolters Kluwer Tax and Accounting

Wolters Kluwer Tax and Accounting is a leading provider of software solutions and local expertise that helps tax, accounting, and audit professionals research and navigate complex regulations, comply with legislation, manage their businesses and advise clients with speed, accuracy and efficiency. Wolters Kluwer Tax and Accounting is part of Wolters Kluwer N.V. (AEX: WKL), a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services. Wolters Kluwer reported 2016 annual revenues of €4.3 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide. Wolters Kluwer shares are listed on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).

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