Administrative Remedies

[weishaupt1776]

Have You exhausted them prior to alleging the unlawful collection activity?

• 26 USC 7422
  (a) No suit prior to filing claim for refund
  
  
  No suit or proceeding shall be maintained in any court for the
  
  
  recovery of any internal revenue tax alleged to have been
  
  
  erroneously or illegally assessed or collected, or of any penalty
  
  
  claimed to have been collected without authority, or of any sum
  
  
  alleged to have been excessive or in any manner wrongfully
  
  
  collected, until a claim for refund or credit has been duly filed
  
  
  with the Secretary, according to the provisions of law in that
  
  
  regard, and the regulations of the Secretary established in
  
  
  pursuance thereof.
  
  Civil damages for failure to release lien
  7432(d)(1)
  (d) Limitations
  
  
  (1) Requirement that administrative remedies be exhausted
  
  
  A judgment for damages shall not be awarded under subsection
  
  
  (b) unless the court determines that the plaintiff has exhausted
  
  
  the administrative remedies available to such plaintiff within
  
  
  the Internal Revenue Service.
  
  Civil damages for certain unauthorized collection
  7433(d)(1)d) Limitations
  
  
  (1) Requirement that administrative remedies be exhausted
  
  
  A judgment for damages shall not be awarded under subsection
  
  
  (b) unless the court determines that the plaintiff has exhausted
  
  
  the administrative remedies available to such plaintiff within
  
  
  the Internal Revenue Service.
  
  United States as defendant
  28 USC Sec. 1346
  (a) The district courts shall have original jurisdiction,
  
  
  concurrent with the United States Court of Federal Claims, of:
  
  
  (1) Any civil action against the United States for the recovery
  
  
  of any internal-revenue tax alleged to have been erroneously or
  
  
  illegally assessed or collected, or any penalty claimed to have
  
  
  been collected without authority or any sum alleged to have been
  
  
  excessive or in any manner wrongfully collected under the
  
  
  internal-revenue laws;

The biggest hurdle is the case law (not enacted law) which sets precedent for the second admin "remedy"(bullsh!t) which is "pay now, litigate later"

• 28 USC Sec. 2410 Actions affecting property on which United States has lien

Allows a taxpayer to sue the United States to "quiet title" to property on which the government has placed a lien


McMillen v. United States Department of Treasury, 960 F.2d 187 (1st Cir. 09/03/1991)

• the "pay first and litigate later" rule limits Section 2410's waiver of sovereign immunity to cases where the taxpayer contests only the procedural validity of the lien, see, e.g., Robinson v. United States, 920 F.2d 1157, 1161, 67 A.F.T.R.2d (P-H) 393 (3d Cir. 1990) (IRS filed lien without sending notice of deficiency to taxpayer); Ringer v. Basile, 645 F. Supp. 1517, 1525-26 , 59 A.F.T.R.2d (P-H) 588 (D.Colo. 1986) (IRS seized property in violation of its own procedures), Rodriguez v. United States, 629 F. Supp. 333 , 57 A.F.T.R.2d (P-H) 1228 (N.D.Ill. 1986) (IRS levied on property without sending a notice of deficiency), or where the taxpayer has already paid the assessment, Overton v. United States, 925 F.2d 1282, 1285, 67 A.F.T.R.2d (P-H) 614 n.1 (10th Cir. 1991), or contends that some extrinsic event has rendered the lien unenforceable. See, e.g., Roberts v. United States, 436 F. Supp. 560, 561 , 40 A.F.T.R.2d (P-H) 5426 (E.D.Tex. 1977) (expiration of statute of limitations barred enforcement of lien)

26CFR301.6402-2

• (b) Grounds set forth in claim. (1) No refund or credit will be
  allowed after the expiration of the statutory period of limitation
  applicable to the filing of a claim therefor except upon one or more of
  the grounds set forth in a claim filed before the expiration of such
  period. The claim must set forth in detail each ground upon which a
  credit or refund is claimed and facts sufficient to apprise the
  Commissioner of the exact basis thereof. The statement of the grounds
  and facts must be verified by a written declaration that it is made
  under the penalties of perjury. A claim which does not comply with this
  paragraph will not be considered for any purpose as a claim for refund
  or credit.