Arlington, Va.—In a motion filed late yesterday in federal court, the IRS asked a federal judge to suspend his ruling on the IRS’s unlawful tax-preparer licensing scheme, even though nothing grants the IRS the power to impose the regulations. The agency seeks to keep the regulations in place so that it can continue extracting $4 million each month from tax preparers.
Last Friday, U.S. District Judge James Boasberg declared the IRS’s new “registered tax return preparer” regulations unlawful in Loving v. IRS, and issued an injunction to end the practice immediately. The IRS has now filed a motion to suspend the injunction while it appeals the decision, despite the judge’s clear ruling that Congress never gave the IRS the authority to license tax preparers, and the IRS cannot give itself that authority.
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