I.R.C. § 7624(a) Authorization Of Reimbursement
Whenever a State or local law enforcement agency provides information to the Internal
Revenue Service that substantially contributes to the recovery of Federal taxes imposed
with respect to illegal drug-related activities (or money laundering in connection
with such activities), such agency may be reimbursed by the Internal Revenue Service
for costs incurred in the investigation (including but not limited to reasonable
expenses, per diem, salary, and overtime) not to exceed 10 percent of the sum recovered.
I.R.C. § 7624(b) Records; 10 Percent Limitation
The Internal Revenue Service shall maintain records of the receipt of information
from a contributing agency and shall notify the agency when monies have been recovered
as the result of such information. Following such notification, the agency shall
submit a statement detailing the investigative costs it incurred. Where more than
1 State or local agency has given information that substantially contributes to the
recovery of Federal taxes, the Internal Revenue Service shall equitably allocate
investigative costs among such agencies not to exceed an aggregate amount of 10 percent
of the taxes recovered.
I.R.C. § 7624(c) No Reimbursement Where Duplicative
No State or local agency may receive reimbursement under this section if reimbursement
has been received by such agency under a Federal or State forfeiture program or under
State revenue laws.
(Added Pub. L. 100-690, title VII, 7602(a), Nov. 18, 1988, 102 Stat. 4507.)
Section applicable to information first provided more than 90 days after Nov. 18,
1988, see section 7602(e) of Pub. L. 100-690, set out as an Effective Date of 1988 Amendment note under section 6103 of this title.
Section 7602(g) of Pub. L. 100-690 provided that: “The Secretary of the Treasury shall, not later than 90 days
after the date of enactment of this Act [Nov. 18, 1988], prescribe such rules and
regulations as shall be necessary and proper to carry out the provisions of this section
[enacting section 7624 of this title, amending sections 6103 and 7809 of this title,
and enacting provisions set out as notes under sections 6103 and 7809 of this title],
including regulations relating to the definition of information which substantially
contributes to the recovery of Federal taxes and the substantiation of expenses required
in order to receive a reimbursement.”
Section Referred to in Other Sections
This section is referred to in sections 6103, 7809 of this title.
[7641. Repealed. Pub. L. 94-455, title XIX, 1906(a)(54), Oct. 4, 1976, 90 Stat. 1832]
Section, acts Aug. 16, 1954, ch. 736, 68A Stat. 905; Oct. 27, 1970, Pub. L. 91-513, title III, 1102(i), 84 Stat. 1293;
Oct. 26, 1974, Pub. L. 93-490, 3(b)(8), 88 Stat. 1467, related to supervision of operations of every manufacturer of oleomargarine, process
or renovated butter or adulterated butter, or white phosphorous matches by the officers
or employees of the Treasury Department.
Repeal effective on the first day of the first month which begins more than 90 days
after Oct. 4, 1976, see section 1906(d)(1) of Pub. L. 94-455, set out as an Effective Date of 1976 Amendment note under section 6013 of this title.
1986--Pub. L. 99-514, title XII, 1276(b), Oct. 22, 1986, 100 Stat. 2600, substituted “certain possession”
for “Guam” in item 7654.
1972--Pub. L. 92-606, 1(f)(6), Oct. 31, 1972, 86 Stat. 1497, substituted “Coordination of United States and Guam individual income taxes”
for “Payment to Guam and American Samoa of proceeds of tax on coconut and palm
oil” in item 7654.