IRS Asks for Rehearing After Loss on Crypto Lawsuit Barrier

Oct. 3, 2022, 11:07 PM UTC

The IRS asked a federal appeals court to rehear its case following a three-judge panel’s ruling that the agency isn’t shielded from a constitutional challenge to its seizure of an individual’s cryptocurrency records.

The Monday request comes after a panel of the US Court of Appeals for the First Circuit concluded in August that the Anti-Injunction Act doesn’t block James Harper’s lawsuit that the agency illegally seized information about his personal financial information from cryptocurrency exchanges. The act generally prohibits lawsuits aimed at restraining tax assessment or collection.

The panel reasoned that the IRS’s use of ...

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