The Declaratory Judgment Act, 28 U.S.C. § 2201, excludes from its coverage any suit that a person brings “with respect to Federal taxes,” other than actions brought under 26 U.S.C. § 7428 (tax-exempt organizations) or 11 U.S.C. §§ 505 and 1146 (bankruptcy). The federal tax exception to the Declaratory Judgment Act has the same scope and judicially created exceptions as the Anti-Injunction Act. See Bob Jones University v. Simon, 416 U.S. 725, 732-733 n.7 (1974). Persons who seek declaratory judgments with respect to federal taxes often seek injunctive relief at the same time. As is the case with suits seeking injunctions against federal taxes, the United States Attorney’s Office should immediately notify both the Chief of the appropriate Civil Trial Section and the appropriate IRS counsel on receiving such a suit.

[added February 2018]