7th Circuit Also Upholds Reg. That Limit Discussion of Tax Liability at CDP Hearings.

The Court of Appeals for the Seventh Circuit, in Our Country Home Enterprises, Inc., (CA 7 5/3/2017) 119 AFTR 2d ¶ 2017-729, affirmed the Tax Court and agreed with similar holdings by the Fourth and Tenth Circuits, has held that a portion of Reg. § 301.6330-1(e)(3) is a reasonable interpretation of the Code.

That portion specifies that a conference with the Appeals Office is a prior opportunity for purposes of the rule that precludes a taxpayer from raising the issue of his tax liability at a collection due process (CDP) hearing if he had a prior opportunity to dispute that liability.

Under § 6330(c)(4)(A)'s plain language, because Our Country Home raised the issue of its liability in a prior hearing before the Appeals Office, and because Our Country Home participated meaningfully in that hearing, Our Country Home could not contest its liability again in its CDP hearing.