United States Second Circuit

In an action seeking to recover federal tax refunds withheld from the plaintiffs pursuant to offer-in compromise (OIC) agreements they each entered into with the IRS in 2007, the district court's order on a motion to dismiss is affirmed in part and reversed in part, where: 1) all the payments withheld by the IRS constituted "tax refund[s]" under the OIC agreements' "additional consideration" provision; 2) tax refunds made pursuant to the Economic Stimulus Act of 2008 (ESA) applied to the 2007 tax year; and 3) by entering into OIC agreements, the plaintiffs contracted away their right to "any refund" to which they were otherwise entitled for the 2007 tax year, including ESA payments.

Appellate Information

• Decided 05/02/2012
• Published 05/02/2012

Judges

• Katzmann

Court

• United States Second Circuit

Counsel

• For Appellant:
  
• Carlton M. Smith, Damon W. Taaffe