IRS Seizures for Forfeiture
Each week, the Internal Revenue Service (“IRS”) will post an online list of “notices of seizure.”
Each notice lists the property seized for federal forfeiture for violation of federal law. The procedures for civil asset forfeitures involving a seizure by the IRS can be found at 18 U.S.C. Section 981.
In addition to the notice of seizure published online, any person claiming the property should also receive a written “notice of seizure” letter in the mail.
The “notice of seizure” letter from the IRS lists options, including filing:
- a petition for remission;
- filing a petition for mitigation;
- filing a claim for court action; or
- doing nothing.
Many cases involve seizing bank accounts based on allegations that an individual or business unlawfully “structured” deposits to avoid federal currency reporting requirements.
We recommend filing a premature verified claim for court action immediately after the seizure.
When the personal “notice of seizure” arrives in the mail 60 days later, we refile another claim for court action so that no deadlines are missed.
Attorney for Seizures by the IRS for Forfeiture
If your bank account or other property was seized by the IRS for forfeiture, contact an attorney at Sammis Law Firm.
We are familiar with the tactics of IRS agents and task force officers when they seize money from bank accounts and other valuable property.
Our attorneys are experienced in civil asset forfeiture cases. We can help you fight back.
Problems IRS Petitions for Remission or Mitigation
In most cases, filing a claim for court action with the IRS is better than filing a petition for remission or mitigation. Filing a petition for remission or mitigation means you are NOT challenging the legality of the seizure or forfeiture.
Instead, the petition asks the IRS to pardon all or part of the property. The IRS then has wide discretion to just deny your request with a form letter that they send out months later.
The deadline for filing a petition is 30 days after the date listed on the personal notice (if you receive it in the mail) or within 30 days after the date of the final publication of this notice. See 28 C.F.R. Section 9.3(a).
The filing deadline means the IRS must have the petition in their office within those 30 days. If you are one day late in filing the petition, then it will be denied automatically, although you might not be notified of that problem for months.
If you file only a petition and no one else files a claim, then your petition will be decided by the IRS and NOT be heard in U.S. District Court.
The petition must include a description of your interest in the property supported by documentation, including any facts you believe justify the return of the property, and be signed under oath, subject to the penalty of perjury, or meet the requirements of an unsworn statement under penalty of perjury. See 28 U.S.C. Section 1746.
For the regulations pertaining to remission or mitigation of the forfeiture, see 28 C.F.R. Sections 9.1 – 9.9. The criteria for remission of the forfeiture are found at 28 C.F.R. Section 9.5(a). The criteria for mitigation of the forfeiture are found at 28 C.F.R. Section 9.5(b).
Or contact a civil asset forfeiture attorney at Sammis Law Firm. We can explain the benefits of by passing the petition process in favor of filing a verified claim for court action.
This article was last updated on Monday, February 20, 2023.