Summary


In Hinck v. US, the US Supreme Court held that the Tax Court provides the exclusive forum for judicial review of failure to abate interest under Section 6404(e)(1).

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Extract


Ct. D. 2084

Section 6404.-Abatements

SUPREME COURT OF THE UNITED STATES

No. 06-376 (2007)

HINCK v. UNITED STATES

CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE FEDERAL CIRCUIT

May 21, 2007

Syllabus

A 1986 amendment to the Internal Revenue Code permits the Treasury secretary to abate interest that accrues on unpaid federal income taxes if the interest assessment is attributable to Internal Revenue Service (IRS) error or delay. 26 U.S.C. Sec. 6404(e)(1). Subsequently the federal courts uniformly held that the secretary's decision not to abate was not subject to judicial review. In 1996, Congress added what is now Sec. 6404(h), which states that the Tax Court has "jurisdiction over any action brought by a taxpayer who meets the requirements referred to in section 7430(c)(4)(A)(ii) to determine whether the secretary's failure to abate . . . was an abuse of discretion, and may order an abatement, if such action is brought within 180 days after the date...

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