CIC Services, LLC v. Internal Revenue Service

Holding

The Anti-Injunction Act does not bar a pre-enforcement challenge to an IRS reporting requirement that is enforced by a separate tax penalty.

Facts

CIC Services challenged IRS Notice 2016-66 designating micro-captive transactions as transactions of interest before any enforcement action.

Reasoning

Justice Kagan held that the reporting requirement was distinct from the eventual tax penalty for noncompliance, and the suit therefore did not seek to restrain the assessment or collection of any tax within the meaning of the Anti-Injunction Act.