U.S. Court of Appeals Rules IRS Cannot Apply Force Against A Tax Payer
Without A Court Order

Queensbury, NY – On January 25, 2005, the U.S. Court of Appeals for the Second Circuit held that taxpayers cannot be compelled by the IRS to turn over personal and private property to the IRS, absent a federal court order.

Quoting from the decision (Schulz v. IRS, Case No. 04-0196-cv),

“...absent an effort to seek enforcement through a federal court, IRS summonses apply no force to taxpayers, and no consequence whatever can befall a taxpayer who refuses, ignores, or otherwise does not comply with an IRS summons until that summons is backed by a federal court order…[a taxpayer] cannot be held in contempt, arrested, detained, or otherwise punished for refusing to comply with the original IRS summons, no matter the taxpayer's reasons, or lack of reasons for so refusing.”

Without declaring those provisions of the Code unconstitutional on their face, the court, in effect, nullified key enforcement provisions of the Internal Revenue Code, stripping the IRS of much of its power to compel compliance with its administrative demands for personal and private property. The court characterized IRS summonses issued under Section 7602 as mere “requests.”

The court went on to say that the federal courts are there to protect taxpayers from an “overreaching” IRS, and that the IRS must go through the federal courts before force can be applied on anyone by the IRS to turn over personal and private property to the IRS.

”ignoring IRS requests, including summonses… …is stupid behavior. It gains the taxpayer nothing, antagonizes the IRS people involved, and heightens their suspicion that the taxpayer has something to hide… …Taxpayers usually fare poorly when the IRS goes to the district court to enforce a summons...


…The We the People press release on Schulz implies that the Second Circuit’s reiteration of a rule that is at least 40 years old makes the IRS into a toothless tiger. In that, We the People demonstrate its lack of understanding of the system against which it makes its living protesting. The system is designed to give due process to those who take advantage of that opportunity. At the same time, the IRS power, even with the taxpayer’s ability to obtain judicial oversight of its exercise, is formidable. When the IRS seeks court enforcement of a summons, there is some, but very little, likelihood that the court will refuse to grant it. Taxpayers who wish to incur the expense and aggravation of testing that truth are welcome to proceed. It is their money. For our part, we find it is usually more effective to work with the IRS. When we do decline to furnish something, we do so respectfully, as one professional to another, and explain our reasons.” www.lawprofessorblogs.com

In other words, if you ignore an IRS summons, they will simply "seek enforcement through a federal court", and then they'll be especially mean to you. 'Tax Payers Free To Ignore An IRS Summons' is very bad advice.

This is basically pointless. All it says is that the IRS has to get a court order to get you to relinquish your stuff when you don't pay your taxes. So what? Cops have to get a court order to search your house, but it isn't going to slow them down if they think you have drugs in your house!

Saying this means you can ignore the IRS is like saying "Don't bother obeying the law, because the cops have to get a court order to search you anyway."

(BTW--Queensbury is the next town up from where I am from originally! Leave it to people in my home town to come up with this stuff )

"NN"
I enjoyed reading your link. It did make more sense, now that I think about it.
One saving grace was the part that said "For our part, we find it is usually more effective to work with the IRS. When we do decline to furnish something, we do so respectfully, and explain our reasons."

Thanks
Paul

You're welcome.