Hinck v. United States
In 2003, the Hincks sued the United States in the Court of Federal claims, seeking review of a decision of the Internal Revenue Service. Their claim arose from at attempt to recover interest on taxes due in 1986. In 1996, while their return for the tax year 1986 was under investigation by the IRS, the Hincks made an advance payment of taxes due. In 2000, the IRS made its final assessment of taxes and interest due, and refunded the balance of the advance payment to the Hincks. The Hincks then filed a claim with the IRS for a further refund, requesting that, owing to IRS errors and delays, the interest assessed against the Hincks should be abated, pursuant to § 6404(e)(1) of the Internal Revenue Code, for the period from 1989 until 1993. The IRS denied the Hincks’ request, leading to the Hincks' request for review in the Court of Federal Claims.
The Claims court dismissed the law suit based on lack of jurisdiction, concluding that it did not have statutory authority to review an IRS decision on interest abatement. The United States Court of Appeals for the Federal Circuit affirmed, concluding that § 6404(h) grants the Tax Court exclusive jurisdiction over interest abatement claims.
Question Presented:
Did the grant of selective, limited jurisdiction in the 1996 amendments give the Tax Court exclusive jurisdiction over all § 6404(e)(1) claims, deny all relief for many taxpayers, and repeal by implication the existing 28 U.S.C. §§ 1346(a)(1) and 1491(a)(1) refund jurisdiction of the district courts and the Court of Federal Claims?
