Rothkamm v. United States

Plaintiff filed suit for wrongful levy after the IRS levied her account at a bank, which she asserts was her separate property, when her husband incurred a tax liability. The district court dismissed the suit for lack of subject matter jurisdiction. The court concluded that plaintiff, as the person who paid a tax assessed against another person, is a “taxpayer” under the Internal Revenue Code’s default definition, and nothing in the Taxpayer Assistance Order (TAO) statute, 26 U.S.C. 7811, redefines or is manifestly incompatible with that definition. Further, the court concluded that her TAO application tolled the running of the statute of limitations under the plain language of section 7811(d). Accordingly, the court reversed and remanded for further proceedings. View "Rothkamm v. United States" on Justia Law