In the words of Oasis guitarist and songwriter Noel Gallagher’s 1996 hit “Champagne Supernova”, but not as far as Judge Wells is concerned; the Judge wants the taxpayer to tell IRS by internet, telephone, or at least use a USPS Form 3575 “Official Mail Forwarding Change of Address Form” when taxpayer changes his or her address.

The story is found in Robert P. Duplicki, 2012 T. C. Sum. Op. 117, filed 12/4/12. You can’t quote it, but you should know it.

Judge Wells isn’t buying it when Rob claims he didn’t get the mandated Section 6303(a) demand for balance due for the tax IRS assessed. Of course, Rob hadn’t filed returns for at least four years at that point. Rob moved from one house to another, but rented a P. O. Box in between, and that’s where the notice of assessment was sent, and from where the obliging USPS forwarded same to Rob’s new house.

When IRS drops a NFTL on him, Rob demands a CDP, whereat he claims he never got the aforesaid demand for balance due (demand), but that of course is irrelevant; actual receipt is not required, just mailing to last known address. Rob claims that the P.O. Box wasn’t his last known address.

Judge Wells: “The term ‘last known address’ is well defined in the tax law. A taxpayer’s last known address is the address that appears on the taxpayer’s most recently filed and properly processed Federal tax return, unless the IRS is given clear and concise notification of a different address. It is the address to which, in the light of all the surrounding facts and circumstances, the Commissioner reasonably believes the taxpayer wished notice to be sent.

“If the Government has become aware of a change of address, the Commissioner may not rely on the address listed on the last-filed tax return but must exercise reasonable care to discern the taxpayer’s correct address. Although the Commissioner must exercise reasonable diligence in ascertaining the taxpayer’s correct address, the burden is upon the taxpayer to keep the Commissioner informed of the taxpayer’s correct address.” 2012 T. C. Memo. 117, at pp. 7-8 (Citations omitted.)

But Rob had the burden of proof that IRS knew his whereabouts (he didn’t ask for a Section 7491 burden shift). He claims he never told IRS to use the P. O. Box. However, Reg. 301.6212-2(b)(2)(i) lets IRS mine data from the National Change of Address (NCOA) data base maintained by USPS, and if they find someone whose name and old address match someone whose name and new address show up there, that’s okay.

If Rob wanted IRS to use another address, he should have filed USPS Form 3575, or sent a “clear and concise notice” to IRS, or maybe best of all,  filed the returns he hadn’t filed for four years, using the address he wanted.