Collection Due Process / IRM 5.1.9.3.9,

The Appeal Process - Requirement of Investigation

Did you know that a taxpayer can request a Collections Due Process or CDP hearing to verify procedures with respect to the filing of lien and notice regarding the purpose for the lien filing.You should be prepared to asked to clarify certain issues. The Appeal Process is explained under IRM 5.1.9.3.9,

A Judicial Review of Determination includes granting a taxpayer 30 days from the date of the notice of determination by the Appeals Officer to appeal. The determination must be appealed to the U. S. Tax Court. The Office of Appeals retains jurisdiction with respect to a lien determination, including subsequent hearings requested by the person who requested the original hearing on issues regarding the following:

(1) Collection actions proposed with respect to the Appeal determination, and changes in circumstances of the taxpayer that affect the Appeal determination after the person has exhausted all administrative remedies, i.e., CAP. [See IRM 5.1.9.3.12, Jurisdiction Retained by Appeals, for additional information.]

Under 5.12.1.2.4 (01-09-2009) are the requirments for Suspension of Collection Period of Limitations. As set forth , if a hearing is timely requested, the running of the period of limitation will be suspended starting on the date the hearing request is received. The suspension will end when the decision of the Appeals office becomes final, i.e., 30 days after issuance of the determination if it is not appealed to the Tax Court. If appealed to the Tax Court, the suspension ends when the decision in the case becomes final. Notwithstanding the above, the period of limitation for collection will not expire before 90 days after a determination becomes final.

As for garnishment or levy, a Levy action is not required to be suspended during a lien hearing. Levy action is, however, generally suspended pending the Appeals determination. Levy action can be taken if it is determined that collection is at risk.

 

For more information see IRM 5.1.9.3.5(5) and Treasury Reg. §301.6320-1(g).