Opinion ID: 517676
Heading Depth: 1
Heading Rank: 3

Heading: limitation on examinations of a taxpayer

Text: 26 U.S.C. Sec. 7605(b) provides: 38 No taxpayer shall be subjected to unnecessary examination or investigations, and only one inspection of a taxpayer's books of account shall be made for each taxable year unless the taxpayer requests otherwise or unless the Secretary or his delegate, after investigation, notifies the taxpayer in writing that an additional inspection is necessary. 39 Dayton asserted that it was currently under examination by IRS with respect to its own tax returns for periods that include 1984. It argues that Sec. 7605(b) forbids this second examination under the summons procedure. 40 The summons here is not directed at Dayton qua taxpayer, but as a third party having records relevant to the liability of a taxpayer. Many years ago, responding to a similar contention, this court said, We think the short answer, so far as Sec. 7605(b) is concerned, is that Bouschor [a third party] is not the person protected by the statute.... Bouschor v. United States, 316 F.2d 451, 457 (8th Cir.1963).