26 U.S.C. § 7608 : US Code - Section 7608: Authority of internal revenue enforcement officers

Search 26 U.S.C. § 7608 : US Code - Section 7608: Authority of internal revenue enforcement officers

(a) Enforcement of subtitle E and other laws pertaining to liquor,
tobacco, and firearms
Any investigator, agent, or other internal revenue officer by
whatever term designated, whom the Secretary charges with the duty
of enforcing any of the criminal, seizure, or forfeiture provisions
of subtitle E or of any other law of the United States pertaining
to the commodities subject to tax under such subtitle for the
enforcement of which the Secretary is responsible may -
(1) carry firearms;
(2) execute and serve search warrants and arrest warrants, and
serve subpoenas and summonses issued under authority of the
United States;
(3) in respect to the performance of such duty, make arrests
without warrant for any offense against the United States
committed in his presence, or for any felony cognizable under the
laws of the United States if he has reasonable grounds to believe
that the person to be arrested has committed, or is committing,
such felony; and
(4) in respect to the performance of such duty, make seizures
of property subject to forfeiture to the United States.
(b) Enforcement of laws relating to internal revenue other than
subtitle E
(1) Any criminal investigator of the Intelligence Division of the
Internal Revenue Service whom the Secretary charges with the duty
of enforcing any of the criminal provisions of the internal revenue
laws, any other criminal provisions of law relating to internal
revenue for the enforcement of which the Secretary is responsible,
or any other law for which the Secretary has delegated
investigatory authority to the Internal Revenue Service, is, in the
performance of his duties, authorized to perform the functions
described in paragraph (2).
(2) The functions authorized under this subsection to be
performed by an officer referred to in paragraph (1) are -
(A) to execute and serve search warrants and arrest warrants,
and serve subpoenas and summonses issued under authority of the
United States;
(B) to make arrests without warrant for any offense against the
United States relating to the internal revenue laws committed in
his presence, or for any felony cognizable under such laws if he
has reasonable grounds to believe that the person to be arrested
has committed or is committing any such felony; and
(C) to make seizures of property subject to forfeiture under
the internal revenue laws.
(c) Rules relating to undercover operations
(1) Certification required for exemption of undercover operations
from certain laws
With respect to any undercover investigative operation of the
Internal Revenue Service (hereinafter in this subsection referred
to as the "Service") which is necessary for the detection and
prosecution of offenses under the internal revenue laws, any
other criminal provisions of law relating to internal revenue, or
any other law for which the Secretary has delegated investigatory
authority to the Internal Revenue Service -
(A) sums authorized to be appropriated for the Service may be
used -
(i) to purchase property, buildings, and other facilities,
and to lease space, within the United States, the District of
Columbia, and the territories and possessions of the United
States without regard to -
(I) sections 1341 and 3324 of title 31, United States
Code,
(II) sections 11(a) and 22 of title 41, United States
Code,
(III) section 255 of title 41, United States Code,
(IV) section 8141 of title 40, United States Code, and
(V) section 254(a) and (c) (!1) of title 41, United
States Code, and
(ii) to establish or to acquire proprietary corporations or
business entities as part of the undercover operation, and to
operate such corporations or business entities on a
commercial basis, without regard to sections 9102 and 9103 of
title 31, United States Code;
(B) sums authorized to be appropriated for the Service and
the proceeds from the undercover operations may be deposited in
banks or other financial institutions without regard to the
provisions of section 648 of title 18, United States Code, and
section 3302 of title 31, United States Code, and
(C) the proceeds from the undercover operation may be used to
offset necessary and reasonable expenses incurred in such
operation without regard to the provisions of section 3302 of
title 31, United States Code.
This paragraph shall apply only upon the written certification of
the Commissioner of Internal Revenue (or, if designated by the
Commissioner, the Deputy Commissioner or an Assistant
Commissioner of Internal Revenue) that any action authorized by
subparagraph (A), (B), or (C) is necessary for the conduct of
such undercover operation.
(2) Liquidation of corporations and business entities
If a corporation or business entity established or acquired as
part of an undercover operation under subparagraph (B) of
paragraph (1) with a net value over $50,000 is to be liquidated,
sold, or otherwise disposed of, the Service, as much in advance
as the Commissioner or his delegate determines is practicable,
shall report the circumstances to the Secretary. The proceeds of
the liquidation, sale, or other disposition, after obligations
are met, shall be deposited in the Treasury of the United States
as miscellaneous receipts.
(3) Deposit of proceeds
As soon as the proceeds from an undercover investigative
operation with respect to which an action is authorized and
carried out under subparagraphs (B) and (C) of paragraph (1) are
no longer necessary for the conduct of such operation, such
proceeds or the balance of such proceeds remaining at the time
shall be deposited into the Treasury of the United States as
miscellaneous receipts.
(4) Audits
(A) The Service shall conduct a detailed financial audit of
each undercover investigative operation which is closed in each
fiscal year; and
(i) submit the results of the audit in writing to the
Secretary; and
(ii) not later than 180 days after such undercover operation
is closed, submit a report to the Congress concerning such
audit.
(B) The Service shall also submit a report annually to the
Congress specifying as to its undercover investigative operations
-
(i) the number, by programs, of undercover investigative
operations pending as of the end of the 1-year period for which
such report is submitted;
(ii) the number, by programs, of undercover investigative
operations commenced in the 1-year period for which such report
is submitted;
(iii) the number, by programs, of undercover investigative
operations closed in the 1-year period for which such report is
submitted, and
(iv) the following information with respect to each
undercover investigative operation pending as of the end of the
1-year period for which such report is submitted or closed
during such 1-year period -
(I) the date the operation began and the date of the
certification referred to in the last sentence of paragraph
(1),
(II) the total expenditures under the operation and the
amount and use of the proceeds from the operation,
(III) a detailed description of the operation including the
potential violation being investigated and whether the
operation is being conducted under grand jury auspices, and
(IV) the results of the operation including the results of
criminal proceedings.
(5) Definitions
For purposes of paragraph (4) -
(A) Closed
The term "closed" means the date on which the later of the
following occurs;
(i) all criminal proceedings (other than appeals) are
concluded, or
(ii) covert activities are concluded, whichever occurs
later.
(B) Employees
The term "employees" has the meaning given such term by
section 2105 of title 5, United States Code.
(C) Undercover investigative operation
The term "undercover investigative operation" means any
undercover investigative operation of the Service; except that,
for purposes of subparagraphs (A) and (C) of paragraph (4),
such term only includes an operation which is exempt from
section 3302 or 9102 of title 31, United States Code.
(6) Application of section
The provisions of this subsection -
(A) shall apply after November 17, 1988, and before January
1, 1990, and
(B) shall apply after the date of the enactment of this
paragraph and before January 1, 2007.
All amounts expended pursuant to this subsection during the
period described in subparagraph (B) shall be recovered to the
extent possible, and deposited in the Treasury of the United
States as miscellaneous receipts, before January 1, 2007.