Flora v. United States
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''Flora v. United States'', 357 U.S. 63 (1958), affirmed on rehearing, 362 U.S. 145 (1960), was a case in which the Supreme Court of the United States held that a taxpayer generally must pay the full amount of an income tax deficiency assessed by the Commissioner of Internal Revenue before he may challenge its correctness by a suit in a federal district court for refund under 28 U.S.C. ยง 1346(a)(1). The Supreme Court agreed with the
Commissioner of Internal Revenue The Commissioner of Internal Revenue is the head of the Internal Revenue Service (IRS), an agency within the United States Department of the Treasury. The office of Commissioner was created by Congress as part of the Revenue Act of 1862. Section ...
, stating that the full payment rule requires the entire amount of an asserted deficiency to be paid before a refund suit may be maintained.


Importance

If the taxpayer chooses to pay less than the deficiency asserted, the taxpayer's only remedies are (A) a deficiency proceeding in the Tax Court or, (B) in a bankruptcy case, a determination under section 505(a) of the US Bankruptcy Code.See . That rule can be a problem for a taxpayer who lets the 90-day period (following the issuance of a statutory notice of deficiency, during which he may file a Tax Court petition) expire and then cannot fully pay because of insufficient assets.


See also

* Chief Justice Warren *
List of United States Supreme Court cases, volume 357 This is a list of all the United States Supreme Court cases from volume 357 of the ''United States Reports The ''United States Reports'' () are the official record ( law reports) of the Supreme Court of the United States. They include rulings, ...


References


External links

* * * {{DEFAULTSORT:Flora v. United States United States Supreme Court cases United States Supreme Court cases of the Warren Court United States taxation and revenue case law 1958 in United States case law