BACKGROUND
Ms. Hook and Mr. Smith are both attorneys, although the Colorado Supreme Court has disbarred Mr. Smith, and he is also disbarred from practicing before the United States District Court for the District of Colorado.[1] They have been litigating their federal income tax liabilities for the last fifteen years in various courts, including this one.[2]
In the instant action, plaintiffs sought a credit or refund of nearly $1 million (plus any future increases in their tax liability due to allegedly improper levies on Mr. Smith’s social security benefits payments) for payment or overpayment of federal income taxes, penalties, and interest for tax years 1992-1996 and 2001-2006. They also requested an abatement of penalties for those tax years; actual damages; the release of all federal tax liens; the return of all levied or seized property; the release of continuing levies on Mr. Smith’s social security payments; an order quieting title to all their real and personal property; interest, costs, and attorney’s fees; and any other just relief.
The United States moved to dismiss the action for lack of jurisdiction and failure to state a claim upon which relief can be granted under Rules 12(b)(1) and
- ↑ This court also disbarred Mr. Smith from practice before this court, but we have since reinstated him. See In re Smith, 500 F. App’x 786, 787 (10th Cir. 2012) (setting out Mr. Smith’s disbarment history).
- ↑ The district court recounted a number plaintiffs’ litigation efforts regarding their federal income tax liabilities. See Aplt. App. at 449 n.1. We will not repeat that history in detail here.
2
