Opinion
9830-22L
12-13-2022
CHRISTINE NSAJJA, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
ORDER
Kathleen Kerrigan, Chief Judge
On May 3, 2022, petitioner filed a petition to commence this case, seeking to dispute respondent's denial of an offer in compromise made with respect to "Form 1040 Income Tax for years 2018 and 2019, and Civil Penalty (Trust Fund) for periods ended 03/2016, 06/2016, 12/2016, 03/2017, 06/2017 and 12/2017". The only notice attached to the petition was a notice of determination sustaining a levy for petitioner's taxable year 2018.
On June 22, 2022, respondent filed a motion to dismiss all periods put into dispute by petitioner other than taxable year 2018 on the ground respondent has not made any determination with respect to these other periods that would confer jurisdiction on the Court in this case. Petitioner, objecting to the granting of respondent's motion, argues that "the Court is authorized to consider any relevant issue relating to the proposed levy," including those other periods.
Petitioner is partly correct in that the Court's jurisdiction includes review of the exercise of discretion by respondent's appeals officer in rejecting offers that include liabilities that the Court does not independently have jurisdiction to review. See Sullivan v. Commissioner, T.C. Memo. 2009-4; Flynn v. Commissioner, T.C. Memo. 2022-5. As we explained in Sullivan and as relevant to the instant case, "although this Court has no jurisdiction to adjudicate… the trust fund penalties, nor to halt respondent's collection of those penalties, the Court nonetheless can and must consider the trust fund penalties (and their inclusion in the OIC) as a fact in determining the reasonableness of the offer" under review. But that does not give the Court jurisdiction over periods for which no notice of determination was issued, and respondent's motion must be granted.
This Court is a court of limited jurisdiction. We may exercise jurisdiction only to the extent expressly provided by statute. Naftel v. Commissioner, 85 T.C. 527, 529 (1985); Breman v. Commissioner, 66 T.C. 61, 66 (1976). In a case seeking review of collection activity such as this one, our jurisdiction depends, in part, upon the issuance of a valid notice of determination for the period(s) at issue. Orum v. Commissioner, 123 T.C. 1 (2004), aff 'd 412 F.3d 819 (7th Cir. 2005). 1 The only period in this case for which a notice of determination was issued was taxable year 2018.
Therefore, and upon due consideration, it is
ORDERED that respondent's motion is granted in that so much of this case as pertains to petitioner's taxable year 2019, and civil trust fund penalties for periods ended March 31, 2016, June 30, 2016, December 31, 2016, March 31, 2017, June 30, 2017, and December 31, 2017, is dismissed for lack of jurisdiction. 2