The Tax Division is responsible for enforcing and collecting certain non-tax claims pursuant to 31 U.S.C. § 3711(g)(4)(C), including penalties (“FBAR penalties”) imposed for failure to report an interest in a foreign financial account as required by 31 U.S.C. § 5314 and its implementing regulations. Persons against whom an FBAR penalty is assessed have attempted to contest the assessment under a variety of statutory provisions, including the Administrative Procedure Act (5 U.S.C. §§ 701-706); refund suit provisions (28 U.S.C. § 1346(a)(1) or 1491); the Little Tucker Act (28 U.S.C. § 1346(a)(2)); or the Declaratory Judgment Act (28 U.S.C. § 2201). Regardless of how a plaintiff styles an FBAR suit, on receiving notice of the suit the United States Attorney’s Office should notify both the Chief of the appropriate Civil Trial Section and the appropriate IRS counsel.

[added February 2018]