IRS Can’t Avoid Tax Refund Suit Using Statute of Limitations

The IRS failed to show that couple’s lawsuit over its alleged failure to process a $417,000 tax refund is untimely, a federal district judge said.

Judge William C. Griesbach in the US District Court for the Eastern District of Wisconsin denied the government’s motion to dismiss a case brought by John and Linda Iglinski based on a close reading of the the three year statute-of-limitations set out in IRC Section 6511. That statute governs claims for a refund of “an overpayment of any tax imposed by this title in respect of which the taxpayer is required to file a ...