Briefly explain I.R.C. 7421 and its importance.
I.R.C. 7421 is a tax law enacted in United States 1867 to provides that, "no suit for the purpose of restraining the assessment or collection of any tax shall be maintained in any court by any person, whether or not such person is the person against whom such tax was assessed.
It help in the prompt collection of taxes by imposing stringent measures and its enforcement. Under this section, if the court determines that the tax is a criminal penalty, then a suit to restrain the attempted assessment or collection can be maintained.
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