Zapara, et al. v. Comm'r of Internal Revenue, No. 08-74173 (9th Cir. 2011)
Annotate this CaseThis case stemmed from the over $450,000 petitioners owed to the IRS for failing to report income derived from a fraudulent check-cashing scheme. At issue, inter alia, was whether the Tax Court had jurisdiction in a hearing conducted pursuant to 26 U.S.C. 6330 to review the IRS's failure to comply with its statutory mandate under 26 U.S.C. 6335(f). The court held that the Tax Court had jurisdiction under section 6330 to review the IRS's failure during a collection due process hearing to comply with its mandate under section 6335(f). When the IRS violated its statutory mandate, it assumed the risk of devaluation in the levied property, and the Tax Court appropriately ordered it to credit petitioners' outstanding tax liabilities. Because this relief was a specific remedy, 26 U.S.C. 7433 did not preempt the award. Accordingly, the judgment of the Tax Court was affirmed.
Some case metadata and case summaries were written with the help of AI, which can produce inaccuracies. You should read the full case before relying on it for legal research purposes.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.