Given the statute is ambiguous, the court should have deferred to the IRS and left the decision in the agency’s hands on an ongoing basis because this agency deference approach: (1) provides the best resolution between textualist and purposivist ways of interpretation; (2) is the optimal choice from a cost-benefit standpoint because it is less costly to let agencies interpret statutes than both Courts and Congress; (3) best reflects the overarching principle of separation of powers; (4) ; (5) will not lead to the abuse of discretion due to the existence of ongoing checks including “hard look” review and reliance interest restriction. According to the Chevron two-step framework, the Court should first determine whether the statute is ambiguous on the question at issue; if so, the Court should simply move forward to Step Two. However, it is never easy to decide the existence of ambiguity. In regard to textual reading, judges are likely to disagree about whether the statutory text at hand is clear and specific – seemingly clear statutory languages can be ambiguous others’ eyes. (Brown Williamson and those cases), and this would make it difficult to decide whether there is a gap or ambiguity sufficient to trigger Chevron deference. …show more content…
Agencies have the luxury of being able to dig deeply into the available materials; while judges cannot possibly read all the committee reports and floor debates associated with each statute they encounter, agency interpreters confront a smaller set of statutes and therefore can become familiar with the relevant records. More importantly, agencies are likely to be in a better position to know whether departure from the text will diminish predictability or even unsettle the statutory scheme. Just as in King, the IRS has worked closely with Congress in enacting ACA, therefore has a much better understanding on the significance on the issue of the distribution of
Now the following information is well documented and is presented for your review and edification. Do not try to fight the IRS in federal court, you will not win. The deception runs rampant throughout the executive, legislative and judicial branches.
Statutory interpretation is required where complication and ambiguity arises as to what the section actually provides and to whom is within the provisions. There are numerous occurrences where judges call for statues to be interpreted further in more depth; such as failure of legislation to cover a point, a broad term, drafting
Background: Taxpayers brought action against government for a refund of penalties and interest totaling $89,736 imposed for late filing and payment of taxes. Government moved for summary judgment. Holdings: The District Court, Saylor, J., held that:
Statutory interpretation is the legal process whereby a judge applies a statute to a case and must give meaning to the words in the statute in order to decide what they mean and how it should be applied to a particular case. When interpreting statutes, the judges’ role is to put into effect the Parliaments wishes. Conflicts may arise when deciding if the intention of Parliament can be found in the words of the statute itself or whether judges should acquire into the purpose of the Act then interpret the words themselves. In order to interpret these
agencies today are increasingly reliant on the third type of rulemaking due to both the cumbersome nature of the formal rulemaking process and the ease with which information can be disseminated to the public through the Internet. Generally, there are two categories of deference that courts grant an administrative agency’s interpretation of law, depending on the categorization of the administrative action in question. If agency action amounts to formal rulemaking, it is analyzed using a two-part test established in Chevron U.S.A., Inc. v. Natural Res. Def. Council, Inc. If the agency action does not constitute formal rulemaking, courts use the factors established in Skidmore v. Swift & Co. to determine if deference should be granted.
§ 36(c) of the Internal Revenue Code. At the same time, the Tax Court does not execute the law based on its plain language.
2. The complaint is frequently heard that the IRS appears to operate as if there were no restrictions upon its authority to investigate and harass taxpayers. Discuss what controls Congress, the courts, and the executive branch exert over the IRS and its administration of the tax law.
When the Supreme Court must analyze an agency's interpretation of statutes, the Court applies the two-step
Under the Acts Interpretation Act 1901 (Cth) courts are encouraged to give effects to the purpose of the legislation by examining intrinsic and extrinsic sources, this is likely to be the method used by courts in relation to cases which result from the Publications (Immigration Issues) Bill 2014 (Cth).
Chief Justice Roberts, the deciding vote on the matter, “walked a libertarian-inflected middle ground” (72). Criticized for ignoring the facts of the case and in effect re-writing the statute, he saved the bill by construing it as a tax rather than a mandate, despite the fact that Obama had publicly insisted that it was indeed not a tax. This was a highly contested decision that will go down in history as one of the most influential acts of his tenure on
Once the Tax Court has jurisdiction the IRS cannot begin collections until 60 days after the decision has become final . Although the court makes the final decision regarding the petitioner’ innocent spouse relief under Section 6015(b), 6015(c), or 6015(f), it is appropriate for the IRS to have the first determination . If the IRS has not made a decision regarding relief or if the IRS has issued a notice of deficiency and the taxpayer raises innocent spouse relief on the petition the Cincinnati Centralized Innocent Spouse Operations (CCISO) should review the request. The attorney for the Commissioner should request the administrative file before proceeding to trial. The Tax Court has specific stand-alone jurisdiction under Section 6015(e)(1)(A). However, the IRS argued the Tax Court’s jurisdiction over Section 6015(f). In Ewing v. Commissioner, 118 TC 494 (2002), the court relied on Section 6015(e) granting jurisdiction under “this subsection” (Section 6015 including 6015(f)). The Ninth Circuit Court overturned this interpretation finding that the language excluded this subsection . Congress amended Section 6015(e) to include equitable relief under Section 6015(f)
In the recent case Hawse, T.C Memo 2015-99, The United States Tax court addressed the issue of misinterpreting section 446(e), and distinguishing between correction of an error and change in method of accounting. The court upheld a $5.4 million tax deficiency judgement against a California auto dealership, JHH Motor Cars Inc. and denied a claim for a refund. According to the judgement of the court, the taxpayer had not received automatic consent from IRS for change of its accounting method from LIFO to specific identification method. But as the taxpayer used the specific identification method for valuing his vehicle inventory for seven years, there was a change in method of accounting.
Statutory interpretation is process of interpreting statutes by the judges. The definition of statutes have had very specific words but indeed the judges would still need the statutory interpretation to help them. The reason of this, even how, the words in the statutes are specific but sometimes the words contains ambiguity and vagueness in words. On top of that, each word could give us different meaning. For example, we can find in the Oxford Dictionary where a word would contain at least one meaning. Hence, without the statutory interpretation, a lot of judges would have trouble in deciding their judgments in deciding a case. This essay will analyse the four rules, intrinsic aids and extrinsic aids and presumptions in the interpretation
Although the IRS knew that change was needed and had participated in some way to the data that drove the decisions to change, a sense of urgency was created when the RRA was signed into law. The need for change was further publicized during the four day nationally televised hearings of the Senate Finance Committee detailing the IRS inadequacies and taxpayers abuse. To restructure the IRS had to become a more customer-centered enterprise. Using Kotter’s 8-strp model, the change followed these steps:
1. When interpreting legislation, the Courts use several approaches to aid their interpretation. Describe how the literal, golden and mischief rules of interpretation operate.