Division Counsel (Small Business/Self-Employed)

The Small Business/Self Employed legal function is headed by the Division Counsel (SB/SE), who reports to, and who is supervised by, the Deputy Chief Counsel (Operations). Two Deputies Division Counsel report to, and are supervised by, the Division Counsel (SB/SE). The Division Counsel (SB/SE), together with his or her Deputies, supervise four Assistant Division Counsel and nine Area Counsel (who are responsible for the work in the field and who, in turn, supervise Associate Area Counsel), as well as technical, planning, and administrative staff, as depicted on the organizational chart in Exhibit 30.3.2-13.

The Division Counsel (SB/SE) is the principal legal advisor to the Division Commissioner, SB/SE. The Division Counsel (SB/SE) is also the principal legal advisor to the field components of the Wage & Investment Division, the Taxpayer Advocate Service, and the SB/SE function of the Appeals Division. The Division Counsel (SB/SE) oversees all docketed and non-docketed tax litigation matters involving taxpayers within the jurisdiction of the Division Commissioner, SB/SE.

The Division Counsel (SB/SE) also oversees, in coordination with the Division Counsel, Wage & Investment, all docketed and non-docketed tax litigation matters involving taxpayers within the jurisdiction of the Division Commissioner, Wage & Investment. Tax litigation matters may include pre-filing, filing, and post-filing tax issues.

The Division Counsel (SB/SE), is responsible for providing legal advice and opinions, upon request, to the Division Commissioner, SB/SE, or to other functions of the Service having jurisdiction over collection matters, in any matter relating to the collection of taxes. The Division Counsel (SB/SE) is also responsible for handling legal work relating to collection actions, including bankruptcies. The Division Counsel (SB/SE) oversees a headquarters office consisting of a deputy, program managers, and a staff of attorneys.

The Division Counsel (SB/SE) has primary responsibility for providing advice on legal issues relating to individuals who file Schedules C, E, F, or Forms 2106, and corporations, "S" corporations and partnerships with assets less than $10 million. The Division Counsel (SB/SE) also has responsibility, in coordination with the Division Counsel (W&I), for providing advice on legal issues relating to individuals classified as Wage & Investment taxpayers. The Division Counsel (SB/SE) has responsibility for all docketed Tax Court litigation involving SB/SE and W&I taxpayers. The Division Counsel (SB/SE) has responsibility over all collection matters involving taxpayers regardless of their taxpayer classification within the Service.

The Division Counsel (SB/SE) performs the following functions with respect to tax litigation matters involving:

Docketed Cases. To process and handle cases docketed in the Tax Court involving SB/SE or W&I taxpayers.

Statutory Notices. To perform the duties and functions relating to the consideration and review, prior to issuance, of proposed statutory notices of deficiency and statutory notices of claim disallowance prepared by SB/SE or W&I

Subpoenas. To approve on behalf of the Chief Counsel actions to be taken with respect to Tax Court subpoenas and disclosure of information in Tax Court litigation within the jurisdiction of the division.

Adverse Decisions. To make recommendations to the Chief Counsel respecting adverse Tax Court decisions within the jurisdiction of the division.

Cases in the Tax Court. To dispose of Tax Court cases within the jurisdiction of the division by trial, settlement, or dispositive motion.

Refund Matters. To authorize or sanction counterclaims, third-party complaints, or the commencement of collection suits with respect to refunds suits of taxpayers within the jurisdiction of SB/SE or W&I pending in the district courts or the Court of Federal Claims and to perform necessary legal services on behalf of the Service as directed in connection with taxpayer suits for refund of taxes.

The Division Counsel (SB/SE) performs the following functions with respect to general litigation matters involving:

Legal Advice and Opinions. Upon request, to furnish collection advice and opinions to SB/SE personnel or other functions of the Service responsible for collection matters in any matter (court and noncourt).

Actions. To advise SB/SE Field personnel, handle the legal work, and assist US Attorneys in cases involving:

• Federal and state receiverships or other insolvencies

• Assignments for the benefit of creditors

• Corporate dissolutions

• Administration of estates and decedents or incompetents

• Civil enforcement of summonses

• Tax liens, mortgage foreclosures, and actions to quiet title

• Injunctions to restrain the assessment or collection of taxes

• Actions seeking the return of property seized by levy

• Actions for the perpetuation of testimony

• Actions by taxpayers for review of jeopardy assessment or jeopardy levy procedures

• Civil remedies against tax return preparers, including the handling of refund suits, brought by tax return preparers on their own behalf

• Actions including refund suits relating to civil penalties for frivolous returns, and the filing of false statements with respect to withholding

• Actions relating to civil penalties for aiding and abetting understatements of tax liabilities and the filing of false statements with respect to withholding

• Motions to quash formal document requests

Bankruptcy Matters. To handle legal work pertaining to the collection and protection of tax claims and liens of the United States in proceedings under the bankruptcy law.

Bankruptcy Plans. To accept or reject plans where the United States is a creditor or equity security holder, including municipal debt adjustment plans, reorganization plans, and railroad reorganization plans (11 U.S.C. §§ 901(a) and 1126(a)). This covers proceedings where the United States possesses solely an IRS claim (a Treasury claim), as well as proceedings in which there are other claims of the United States in addition to the claim of the IRS. A non-Treasury claim of the United States includes any department, agency, federally chartered corporation, or instrumentality of the United States. To the extent that an agreement cannot be reached between the Chief Counsel, IRS, and the holder of a non-Treasury claim of the United States, the matter will be referred to the General Counsel of the Treasury for resolution.

Suits. To determine what civil actions shall be brought by the Government in connection with the collection with the collection of internal revenue taxes and to authorize or sanction commencement of such actions.

Offers-in-Compromise. To review and dispose of offers-in-compromise.

Leases, Bonds, and Escrow Agreements. To handle legal matters arising within the regions with respect to leases, bonds, escrow agreements, and other similar matters relating to the collection of taxes.

Appeals. To make recommendations to the Chief Counsel respecting appeals of court decisions in general litigation matters.

Disclosure of Information. To assist, when called upon, Service field personnel in matters involving the disclosure of information. The Associate Chief Counsel (P&A), Branches 6 and 7, however, retains primary responsibility for disclosure matters.

Jeopardy and Termination Assessments and Jeopardy Levies. To approve in writing the making of jeopardy and termination assessments and jeopardy levies. This authority may be redelegated no lower than Associate Area Counsel.

Summons Matters. To review, upon request, proposed summonses, and to recommend enforcement or defense in summons litigation matters, involving SB/SE & W&I taxpayers.

Writs of Entry. To review, upon request, proposed writs of entry, and to recommend the filing of motions to obtain writs of entry in collection matters.

Writs Ne Exeat. To review, upon request, and to recommend the filing of writs ne exeat in collection matters.

The Assistant Division Counsel (Abusive Tax Avoidance Transactions) reports directly to the Division Counsel and Deputy Division Counsel (SB/SE) and is responsible for formulating, implementing, and executing a comprehensive plan for addressing abusive tax avoidance transactions (ATAT), which includes examination, assessment, and collection matters. The Assistant Division Counsel (Abusive Tax Avoidance Transactions) provides guidance to and serves as the principal legal advisor and contact point on ATAT matters with Division field attorneys, other components of the Office of Chief Counsel, the SB/SE Operating Division, Treasury, and the Department of Justice. The Assistant Division Counsel (Abusive Tax Avoidance Transactions) is the line supervisor of attorneys assigned to the headquarters ATAT function, and has functional responsibility for oversight of ATAT matters throughout the Division.

The Assistant Division Counsel (General Litigation) reports directly to the Division Counsel and Deputy Division Counsel (SB/SE) and is responsible for formulating, implementing, and executing a comprehensive plan for supporting the SB/SE Operating Division and Chief Counsel goals in General Litigation (GL) matters (which includes collection matters). The Assistant Division Counsel (General Litigation) provides guidance to and serves as the principal legal advisor and contact point on such matters with Division field attorneys, other components of the Office of Chief Counsel, the SB/SE Operating Division, Treasury, and the Department of Justice. The Assistant Division Counsel (General Litigation) is the line supervisor of attorneys assigned to the headquarters GL function, and has functional responsibility for oversight of GL matters throughout the Division.

The Assistant Division Counsel (Prefiling) reports directly to the Division Counsel and Deputy Division Counsel (SB/SE) and is responsible for providing guidance on pre-filing and filing matters. The Assistant Division Counsel (Prefiling) serves as the principal legal advisor and contact point on pre-filing and filing matters with Division field attorneys, other components of the Office of Chief Counsel, the SB/SE Operating Division, Treasury, and the Department of Justice. The Assistant Division Counsel (Prefiling) serves as principal legal advisor to the SB/SE Communications Division, contact point on electronic filing/electronic compliance and taxpayer identification number issues, and a principal contact point on employment tax issues. The Assistant Division Counsel (Prefiling) assists that Office in the formulation of policies and programs, and performs special assignments of a case or project nature.

The Assistant Division Counsel (Tax Litigation) reports directly to the Division Counsel and Deputy Division Counsel (SB/SE) and is responsible for formulating, implementing, and executing a comprehensive national tax litigation program in all substantive tax, non-abusive tax avoidance transaction (ATAT) areas. The Assistant Division Counsel (Tax Litigation) is responsible for ensuring that SB/SE attorneys consistently apply law and policy in tax litigation matters, including nondocketed cases, and cases docketed in the U.S. Tax Court, U.S. District Courts, and the Court of Federal Claims. The Assistant Division Counsel (Tax Litigation) provides guidance to and serves as the principal legal advisor and contact point on non-ATAT tax litigation matters with Division field attorneys, other components of the Office of Chief Counsel, the SB/SE Operating Division, Treasury, and the Department of Justice. The Assistant Division Counsel (Tax Litigation) is the line supervisor of any attorneys assigned to the headquarters Tax Litigation function, and has functional responsibility for oversight of Tax Litigation matters throughout the Division. The Assistant Division Counsel (Tax Litigation) serves as principal legal advisor to the Examination function in the SB/SE Operating Division on procedural issues involving tax litigation matters. In addition, the Assistant Division Counsel (Tax Litigation) serves as principal legal advisor and contact point on anti-money laundering (AML) issues and for the National Fraud Program.

There are nine Area Counsel within the office of Division Counsel (SB/SE) who report to the Division Counsel. Each Area Counsel has a deputy and a staff of Associate Area Counsel who act as first-line managers of SB/SE attorneys and paralegals. Each Area Counsel is assigned a geographic area to coincide with one or more SB/SE compliance areas of the Service:

Area 1, Manhattan

Area 2, Philadelphia

Area 3, Jacksonville

Area 4, Chicago

Area 5, Denver

Area 6, Dallas

Area 7, San Francisco

Area 8, Los Angeles

Area 9, Kansas City

The Area Counsel are the principal legal advisors to one or more SB/SE Area Compliance Directors. The Area Counsel are also the principal legal advisors to various other Field executives within the Customer Accounts Service (CAS) and Taxpayer Education and Communication (TEC) offices of the Division Commissioner, SB/SE, and to other designated Field executives and managers within the components of the Wage & Investment Division, the Taxpayer Advocate Service, and the SB/SE function of the Appeals Division, within their geographic areas.

The Area Counsel share the subject matter responsibility of the Division Counsel (SB/SE) for matters within their geographical area. The Area Counsel oversee all docketed and non-docketed tax litigation matters involving SB/SE and W&I taxpayers within their jurisdiction. The Area Counsel are responsible for providing legal advice and opinions, upon request, to personnel of the Division Commissioner, SB/SE, and to other functions of the Service having jurisdiction over collection matters, in any matter relating to the collection of taxes within their geographical areas. The Area Counsel are also responsible for handling legal work relating to collection actions, including bankruptcies, within their geographical areas.

The Associate Area Counsel (SB/SE) are the first-line managers of SB/SE attorneys and paralegals. The Associate Area Counsel report to the Area Counsel responsible for their geographic area. The locations of the Associate Area Counsel are depicted on the organizational chart in Exhibit 30.3.2-13.