CHAPTER 76—JUDICIAL PROCEEDINGS SUBCHAPTER A. Civil actions by the United States. SUBCHAPTER C. The Tax Court. SUBCHAPTER D. Court review of Tax Court decisions. Subchapter A-Civil Actions by the United States Sec. 7401. Authorization. Sec. 7402. Jurisdiction of district courts. Sec. 7403. Action to enforce lien or to subject property to payment of tax. Sec. 7404. Authority to bring civil action for estate taxes. Sec. 7405. Action for recovery of erroneous refunds. Sec. 7406. Disposition of judgments and moneys recovered. SEC. 7401. AUTHORIZATION. No civil action for the collection or recovery of taxes, or of any fine, penalty, or forfeiture, shall be commenced unless the Secretary or his delegate authorizes or sanctions the proceedings and the Attorney General or his delegate directs that the action be commenced. SEC. 7402. JURISDICTION OF DISTRICT COURTS. (a) TO ISSUE ORDERS, PROCESSES, and JUDGMENTS.-The district courts of the United States at the instance of the United States shall have such jurisdiction to make and issue in civil actions, writs and orders of injunction, and of ne exeat republica, orders appointing receivers, and such other orders and processes, and to render such judgments and decrees as may be necessary or appropriate for the enforcement of the internal revenue laws. The remedies hereby provided are in addition to and not exclusive of any and all other remedies of the United States in such courts or otherwise to enforce such laws. (b) To ENFORCE SUMMONS.-If any person is summoned under the internal revenue laws to appear, to testify, or to produce books, papers, or other data, the district court of the United States for the district in which such person resides or may be found shall have jurisdiction by appropriate process to compel such attendance, testimony, or production of books, papers, or other data. (c) FOR DAMAGES TO UNITED STATES OFFICERS OR EMPLOYEES.-Any officer or employee of the United States acting under authority of this title, or any person acting under or by authority of any such officer or employee, receiving any injury to his person or property in the discharge of his duty shall be entitled to maintain an action for damages therefor, in the district court of the United States, in the district wherein the party doing the injury may reside or shall be found. (d) ACTION ON BONDS.-The United States district courts, concurrently with the courts of the several States, shall have jurisdiction of any action brought on the official bond of any internal revenue officer or employee required to give bond under regulations promulgated by authority of section 7803. (e) GENERAL JURISDICTION. For general jurisdiction of the district courts of the United States in civil actions involving internal revenue, see section 1340 of title 28 of the United States Code. SEC. 7403. ACTION TO ENFORCE LIEN OR TO SUBJECT PROPERTY TO PAYMENT OF TAX. (a) FILING.-In any case where there has been a refusal or neglect to pay any tax, or to discharge any liability in respect thereof, whether or not levy has been made, the Attorney General or his delegate, at the request of the Secretary or his delegate, may direct a civil action to be filed in a district court of the United States to enforce the lien of the United States under this title with respect to such tax or liability or to subject any property, of whatever nature, of the delinquent, or in which he has any right, title, or interest, to the payment of such tax or liability. (b) PARTIES.-All persons having liens upon or claiming any interest in the property involved in such action shall be made parties thereto. (c) ADJUDICATION AND DECREE.-The court shall, after the parties have been duly notified of the action, proceed to adjudicate all matters involved therein and finally determine the merits of all claims to and liens upon the property, and, in all cases where a claim or interest of the United States therein is established, may decree a sale of such property, by the proper officer of the court, and a distribution of the proceeds of such sale according to the findings of the court in respect to the interests of the parties and of the United States. (d) RECEIVERSHIP.-In any such proceeding, at the instance of the United States, the court may appoint a receiver to enforce the lien, or, upon certification by the Secretary or his delegate during the pendency of such proceedings that it is in the public interest, may appoint a receiver with all the powers of a receiver in equity. SEC. 7404. AUTHORITY TO BRING CIVIL ACTION FOR ESTATE TAXES. If the estate tax imposed by chapter 11 is not paid on or before the due date thereof, the Secretary or his delegate shall proceed to collect the tax under the provisions of general law; or appropriate proceedings in the name of the United States may be commenced in any court of the United States having jurisdiction to subject the property of the decedent to be sold under the judgment or decree of the court. From the proceeds of such sale the amount of the tax, together with the costs and expenses of every description to be allowed by the court, shall be first paid, and the balance shall be deposited according to the order of the court, to be paid under its direction to the person entitled thereto. This section insofar as it applies to the collection of a deficiency shall be subject to the provisions of sections 6213 and 6601. EC. 7405. ACTION FOR RECOVERY OF ERRONEOUS REFUNDS. (a) REFUNDS AFTER LIMITATION PERIOD.-Any portion of a tax imposed by this title, refund of which is erroneously made, within the meaning of section 6514, may be recovered by civil action brought in the name of the United States. (b) REFUNDS OTHERWISE ERRONEOUS.-Any portion of a tax imposed by this title which has been erroneously refunded (if such refund would not be considered as erroneous under section 6514) may be recovered by civil action brought in the name of the United States. (c) INTEREST. For provision relating to interest on erroneous refunds, see section 6602. (d) PERIODS OF LIMITATION. For periods of limitations on actions under this section, see section 6532 (b). SEC. 7406. DISPOSITION OF JUDGMENTS AND MONEYS RECOVERED. All judgments and moneys recovered or received for taxes, costs, forfeitures, and penalties shall be paid to the Secretary or his delegate as collections of internal revenue taxes. SEC. 7407. CROSS REFERENCES. (1) For provisions for collecting taxes in general, see chapter 64. (2) For venue in a civil action for the collection of any tax, see section 1396 of Title 28 of the United States Code. (3) For venue of a proceeding for the recovery of any fine, penalty, or forfeiture, see section 1395 of Title 28 of the United States Code. Subchapter B-Proceedings by Taxpayers Sec. 7421. Prohibition of suits to restrain assessment or collection. Sec. 7423. Repayments to officers or employees. Sec. 7424. Civil action to clear title to property. SEC. 7421. PROHIBITION OF SUITS TO RESTRAIN ASSESSMENT OR COLLECTION. (a) TAX.-Except as provided in sections 6212 (a) and (c), and 6213 (a), no suit for the purpose of restraining the assessment or collection of any tax shall be maintained in any court. (b) LIABILITY OF TRANSFEREE OR FIDUCIARY.-No suit shall be maintained in any court for the purpose of restraining the assessment or collection (pursuant to the provisions of chapter 71) of (1) the amount of the liability, at law or in equity, of a transferee of property of a taxpayer in respect of any internal revenue tax, or (2) the amount of the liability of a fiduciary under section 3467 of the Revised Statutes (31 U. S. C. 192) in respect of any such tax. SEC. 7422. CIVIL ACTIONS FOR REFUND. (a) NO SUIT PRIOR TO FILING CLAIM FOR REFUND.-No suit or proceeding shall be maintained in any court for the recovery of any internal revenue tax alleged to have been erroneously or illegally assessed or collected, or of any penalty claimed to have been collected without authority, or of any sum alleged to have been excessive or in any manner wrongfully collected, until a claim for refund or credit has been duly filed with the Secretary or his delegate, according to the provisions of law in that regard, and the regulations of the Secretary or his delegate established in pursuance thereof. (b) PROTEST OR DURESS. Such suit or proceeding may be maintained whether or not such tax, penalty, or sum has been paid under protest or duress. (c) SUITS AGAINST COLLECTION OFFICER A BAR. -A suit against any officer or employee of the United States (or former officer or employee) or his personal representative for the recovery of any internal revenue tax alleged to have been erroneously or illegally assessed or collected, or of any penalty claimed to have been collected without authority, or of any sum alleged to have been excessive or in any manner wrongfully collected shall be treated as if the United States had been a party to such suit in applying the doctrine of res judicata in all suits instituted after June 15, 1942, in respect of any internal revenue tax, and in all proceedings in the Tax Court and on review of decisions of the Tax Court where the petition to the Tax Court was filed after such date. (d) CREDIT TREATED AS PAYMENT. -The credit of an overpayment of any tax in satisfaction of any tax liability shall, for the purpose of any suit for refund of such tax liability so satisfied, be deemed to be a payment in respect of such tax liability at the time such credit is allowed. |