CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. US Bill Would Limit IRS Asset Seizures

US Bill Would Limit IRS Asset Seizures

by Mike Godfrey, Tax-News.com, Washington

06 September 2017


The National Taxpayers Union (NTU) has called on US lawmakers to support legislation to protect small businesses from "abusive" actions by the Internal Revenue Service (IRS).

The "Clyde-Hirsch-Sowers RESPECT Act" was introduced in May 2016 by Peter Roskam (R-IL) and Joseph Crowley (D-NY). It would prohibit the IRS from seizing bank accounts from business owners accused of committing violations unless the money is tied to a crime.

The NTU in a statement released on September 5 urged Congress to vote in favor of the bill, citing a 2015 report from the Institute for Justice that said the IRS seized USD242m in 2,500 cases between 2005-2012. Most of these cases were "structuring violations," it said, where the IRS suspected individuals of depositing cash in amounts under the proscribed USD10,000 threshold in order to avoid triggering their bank's mandatory reporting requirements. "In these instances, the IRS does not have to convict or even charge a victim with wrongdoing before seizing property and individuals face a costly, uphill battle to retrieve their assets," said the NTU.

If passed, the bill would require the IRS to show probable cause before seizing assets. The IRS claims it already does so, but the NTU insisted that "it is essential that taxpayer protections be codified in order to avoid exposing such fundamental rights to an administration's whims."

TAGS: individuals | tax | small business | business | legislation | United States | Tax

To see today's news, click here.

Leave a comment

Read our Posting Guidelines

 






Close

Password Reminder

Please enter your email address to receive a password reminder.

 






Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Tax-News+ Updates

Receive FREE daily updates from Tax-News.com, straight to your inbox. Register Now!

For a tailored solution, choose to receive selected news updates for your preferred jurisdictions and topics, with our enhanced Tax-News+ subscriber service. Read more...

 

Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »