IRS Properly Sustained Levy Given Missing Taxpayer Documentation

The IRS didn’t abuse its discretion by sustaining its notices of intent to levy for a couple’s 2004 and 2005 federal tax years because it gave due consideration to their claimed net-operating loss carrybacks before disallowing them, the US Tax Court said Monday.

Allen and Sharon Davison argued they are entitled to NOL carrybacks and carryforwards that would have eliminated their 2004 and 2005 liabilities, but they failed to present “any records or other evidence” to substantiate that conclusion, the Tax Court said. The court granted summary judgment for the IRS, saying that because the Davisons didn’t produce required Form ...