The defunct Concorde Garment Manufacturing Corp. has insisted that the U.S. government’s counterclaim for the recovery of $1.2 million in Federal Insurance Contributions Act taxes that the Internal Revenue Service refunded in 2009 is barred by the statute of limitations.
Attorney Steven P. Pixley, counsel for Concorde Garment, said that when the U.S. makes a tax refund to a taxpayer, the U.S. may bring a civil action to recover the refund. Generally, he said, the U.S. must initiate a suit under section 740(b) within two years after the refund was made.
“Here, Concorde agrees that it received the refund on or about Dec. 28, 2009,” he said.
However, he said, the U.S. filed its counterclaim on Dec. 17, 2011.
The hearing on the motion for entry of judgment will be on Oct. 17, 2013 at 10am in the U.S. District Court for the NMI.