“A recently released report identifies that on several occasions the Internal Revenue Service (IRS) did not comply with its own statutory requirements in taxpayer property seizures,” said Los Angeles Income Tax Planning and Tax Litigation Attorney Bruce Givner. Released by the Treasury Inspector General for Tax Administration (TIGTA), the TIGTA reviewed a random selection of 50 seizures from the 747 seizures conducted by the IRS from July 1, 2010 through June 30, 2011.
“Though the IRS complied with legal and internal guidelines when conducting most of the property seizures, TIGTA identified 14 occurrences, almost 30%, where the agency did not comply,” added Givner.
- Five times the sale of the seized property was not properly advertised. (I.R.C. § 6335(b)).
- Four times the notice of seizure provided to the taxpayer listed an incorrect amount of tax liability owed. (I.R.C. § 6335(a)).
- Three times the proceeds resulting from the seizure were not properly applied to the taxpayer’s account. (I.R.C. § 6342(a)).
- Two times the required information relating to the sale of the seized property was either incorrect or not provided to the taxpayer. (I.R.C. § 6340(c)).
The IRS is revising the Internal Revenue Manual to specifically require that the Notice of Sale contain the same information as the advertisement.
Givner & Kaye focuses on sophisticated income tax planning and compliance, tax litigation and procedure, and asset protection plans for individuals and businesses in Beverly Hills, Calabasas, West Los Angeles, Hollywood, and other areas of Los Angeles County. Call Los Angeles Income Tax and Asset Protection Plan Attorneys Givner & Kaye at (310) 207-8008 today.