NY Judge Tosses Tax Prep Firm’s Suit Over E-Filing Suspension

The IRS followed the right procedures in kicking a New York tax preparer out of its e-filing program, a federal district judge said Wednesday.

Steven Holtz and his connected New York businesses haven’t alleged a constitutionally protected property interest in their electronic filing identification numbers, Judge Natasha C. Merle said for the US District Court for the Eastern District of New York.

Holtz alleged that being kicked out of the program deprived his business of its rights and violated IRS guidelines.

But the government’s actions were the result of a legitimate investigation of a tax preparation business for suspicious behavior ...