Internal Revenue Code §6326.
ADMINISTRATIVE APPEAL OF LIENS.
6326(a) IN GENERAL. --In such form and at such time as the Secretary
shall prescribe by regulations, any person shall be allowed to appeal to
the Secretary after the filing of a notice of a lien under this
subchapter on the property or the rights to property of such person for
a release of such lien alleging an error in the filing of the notice of
such lien.
6326(b) CERTIFICATE OF RELEASE. --If the Secretary determines that the filing of
the notice of any lien was erroneous, the Secretary shall expeditiously
(and, to the extent practicable, within 14 days after such
determination) issue a certificate of release of such lien and shall
include in such certificate a statement that such filing was erroneous.
§301.6326-1. Administrative appeal of the erroneous filing of notice of federal tax
lien
(a) In general. --Any person may appeal to the district director of the
district in which a notice of federal tax lien was filed on the property
or rights to property of such person for a release of lien alleging an
error in the filing of notice of lien. Such appeal may be used only for
the purpose of correcting the erroneous filing of a notice of lien, not
to challenge the underlying deficiency that led to the imposition of a
lien. If the district director determines that the Internal Revenue
Service has erroneously filed the notice of any federal tax lien, the
district director shall expeditiously, and, to the extent practicable,
within 14 days after such determination, issue a certificate of release
of lien. The certificate of release of such lien shall include a
statement that the filing of notice of lien was erroneous.
(b) Appeal alleging an error in the filing of notice of lien. --For
purposes of paragraph (a) of this section, an appeal of the filing of
notice of federal tax lien must be based on any one of the following
allegations:
(1) The tax
liability that gave rise to the lien, plus any interest and additions to
tax associated with said liability, was satisfied prior to the filing of
notice of lien;
(2) The tax
liability that gave rise to the lien was assessed in violation of the
deficiency procedures set forth in section 6213 of the Internal Revenue
Code;
(3) The tax
liability that gave rise to the lien was assessed in violation of Title
11 of the United States Code (the Bankruptcy Code); or
(4) The
statutory period for collection of the tax liability that gave rise to
the lien expired prior to the filing of notice of federal tax lien.
(c) Notice of federal tax lien that lists multiple liabilities. --When
a notice of federal tax lien lists multiple liabilities, a person may
appeal the filing of notice of lien with respect to one or more of the
liabilities listed in the notice, if the notice was erroneously filed
with respect to such liabilities. If a notice of federal tax lien was
erroneously filed with respect to one or more liabilities listed in the
notice, the district director shall issue a certificate of release with
respect to such liabilities. For example, if a notice of federal tax
lien lists tax liabilities for years 1980, 1981 and 1982, and the entire
liabilities for 1981 and 1982 were paid prior to the filing of notice of
lien, the taxpayer may appeal the filing of notice of lien with respect
to the 1981 and 1982 liabilities and the district director must issue a
certificate of release with respect to the 1981 and 1982 liabilities.
(d) Procedures for appeal
(1) Manner. --An appeal of the filing of notice of federal tax lien shall
be made in writing to the district director (marked for the attention of
the Chief, Special Procedures Function) of the district in which the
notice of federal tax lien was filed.
(2) Form. --The appeal shall include the following information and documents:
(i)
Name,
current address, and taxpayer identification number of the person
appealing the filing of notice of federal tax lien;
(ii)
A copy of
the notice of federal tax lien affecting the property, if available; and
(iii)
The grounds
upon which the filing of notice of federal tax lien is being appealed.
(A) If the
ground upon which the filing of notice is being appealed is that the tax
liability in question was satisfied prior to the filing, proof of full
payment as defined in paragraph (e) of this section must be provided.
(B) If the
ground upon which the filing of notice is being appealed is that the tax
liability that gave rise to lien was assessed in violation of the
deficiency procedures set forth in section 6213 of the Internal Revenue
Code, the appealing party must explain how the assessment was erroneous.
(C) If the
ground upon which the filing of notice is being appealed is that the tax
liability that gave rise to the lien was assessed in violation of Title
11 of the United States Code (the Bankruptcy Code), the appealing party
must provide the following:
(1) The
identity of the court and the district in which the bankruptcy petition
was filed; and
(2) The
docket number and the date of filing of the bankruptcy petition.
(3)
Time. --An
administrative appeal of the erroneous filing of notice of federal tax
lien shall be made within 1 year after the taxpayer becomes aware of the
erroneously filed tax lien.
(e) Proof of full payment. --As used in paragraph (d)(2)(iii) of this section, the
term "proof of full payment" means:
(1) An
internal revenue cashier's receipt reflecting full payment of the tax
liability in question prior to the date the federal tax lien at issue
was filed;
(2) A
canceled check to the Internal Revenue Service in an amount which was
sufficient to satisfy the tax liability for which release is being
sought; or
(3) Any other
manner of proof acceptable to the district director.
(f) Exclusive remedy. --The appeal established by section 6326 of the Internal
Revenue Code and by this section shall be the exclusive administrative
remedy with respect to the erroneous filing of a notice of federal tax
lien.
(g) Effective date. --The provisions of this section are effective July 7, 1989.
[Reg. §301.6326-1.]
.01 Historical Comment: Proposed 5/6/89. Adopted 4/30/91
by T.D.
8347.
