Federal Tax Day - Current, J.1, Individual Not Entitled to Continue Collection Due Process Challenge (Dunn, TCM), (Jan 8, 2026)

An individual was not entitled to continue a collection due process (CDP) challenge under Code Sec. 6330 after requesting voluntary dismissal. The Tax Court granted dismissal without prejudice, finding that the case was no longer being pursued and the IRS would not suffer legal prejudice.

The individual requested a CDP hearing in response to a proposed levy but failed to appear for a scheduled conference or respond to follow-up correspondence. The Appeals Office sustained the proposed levy and issued a Notice of Determination under Code Sec. 6330(c)(3). A timely petition was filed, followed by a motion to dismiss without cause.

The Court allowed voluntary dismissal due to absence of any legal prejudice. Although Code Sec. 6330(d)(1) provides a 30-day petition period, the Court noted under established precedent that the deadline is non-jurisdictional and subject to equitable tolling.

J. Dunn, TC Memo. 2026-2, Dec. 62,802(M)