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IRS Seized tools. What to do?

Chazsani

Cast Iron
Joined
Feb 22, 2007
Location
Virtual, SF Bay Area, Tampa Area
Working as a contractor for a shop that had the IRS seize its assets for unpaid taxes. I have some tools in the shop. IRS said prove ownership of said tools or they go up on the auction block.
Some of these tools were handed down to me by my Dad, and some were bought online (eBay, and other auctions). I can see the IRS denying my ownership based on eBay receipts, etc... The stuff from my Dad...(sigh), How do I prove ownership?
Thanks,
Chazsani
 
Yeah - that's a rough one...

I can see that from both sides - and Shirley can the agent as well, but if they didn't doo it that way - That press brake and the chip hopper were yours too... :o


Would like to hear a good outcome, but I will grab a bowl of popcorn instead of hold my breath. :popcorn:


Good luck Sir! :bawling:




-----------------

Think Snow Eh!
Ox
 
Working as a contractor for a shop that had the IRS seize its assets for unpaid taxes. I have some tools in the shop. IRS said prove ownership of said tools or they go up on the auction block.
Some of these tools were handed down to me by my Dad, and some were bought online (eBay, and other auctions). I can see the IRS denying my ownership based on eBay receipts, etc... The stuff from my Dad...(sigh), How do I prove ownership?
Thanks,
Chazsani

Have the local Sheriff pull your ebay history. Law enforcement gets easy access to Ebay records, so I understand. This way there is also a chain of possession of evidence (the records) that is independent of you.

Consult a lawyer.
 
I'm certainly no lawyer but a friend of mine was faced with a similar situation in which he had to prove that he was the legal owner of something he fabricated.

Perhaps you could sign an affidavit stating that the tools are indeed yours and get it notarized. Hope this helps.
 
Chazsani,

That Sucks! A few thoughts:

Talk to your attorney. Get as many receipts as you can. Any initials engraved on the tools? Make a list of everything, put where and how you got the item. Did you use a credit card, debit card, do you have ebay paperwork, paypal. Do you have photos of any of the stuff.

Send a letter to your congress person. Names, addresses, IRS person you talked to, as much detail as possible. If they have an office near by go there. That person may not be of your political persuasion, but he or she is your representative and your public servant.

And if your rep is Nancy Pelosi, God help the IRS. She has more backbone than half the guys in Washington.

Do you have any photographs of your dad and the tools, or a photo of the shop with tools. Any relatives that could swear that the stuff was owned by your dad.

What little I have seen of seized property shows it is not well cared for. If your stuff is in danger of being stolen, badly stored, or damaged, you might see if it could be held by a 3rd party.

I would think if you have your box there and could show the IRS folks receipts or proof that several of the things are yours, they might accept the whole box is yours.

One of our British forumites I think went over the fence and stole his own box under similar circumstances.

Good luck to you.

Paul
 
ebay actually just started allowing you to search your past purchase history for the last 3 years, so that should help.

Also if you payed by paypal(most likely did) I think it keeps the records forever.

If you show them in your ebay history, I don't see why they wouldn't believe it.
 
Are you talking about the typical Kennedy or Gerstner type tool box with anywhere from a few hundred to several thousand $ worth of measuring tools?

Anyway to prove that this type of box is employee owned? Does it have your name on it, even one of those little plastic strips about 1/2 in x 2 inches??? Is it LOCKED? and YOU have the key on your KeyRing along with the house key and car keys?

I'd be in deep trouble if required to come up with a reciept... never kept one in my life.

And if this cant be resolved in your favor, it's another good reason to REQUIRE THE EMPLOYER TO FURNISH ALL TOOLS...
 
A tenacious lawyer would say to the IRS: You have all the company paperwork. All the disputed items in this box that don't show up on the company's paperwork cannot be proven to be company assets, so return them. I'm sure there's precedent with mechanic's tools. Get injunction to prevent the auction of stolen property. They won't want to hold up the whole sale for your boxload of items... we hope.

Good luck, man.

Chip
 
Chaz,

I would try the things mentioned above, and if that don't work I would find out where the auction will be held.

From what I have seen at auction, a box of tools can be had pretty cheap.

Not a perfect solution, but it would probably get you your tools back.

Big B
 
Boy, I feel so bad for you that happened! :( I can't think of any thoughts other than what's above.

Just out of curiosity, if you don't mind saying and know, what happened? Did the IRS suddenly swoop in without warning? I mean, you would think if they knew the day that it was going to happen, you would have been warned?
 
Tools seized...

As best as I can recollect, I had the following tools onsite:

60" Starrett Caliper ( passed to me by my Dad )
24" Mitutoyo Caliper
24" Mitutoyo Height Gage
0-12" Mitutoyo Micrometers set
12" - 24" Starrett & Mitutoyo micrometers
Custom made standards and blocks (3.66" X Class ID Gage Standard; 10" and 12" stacking blocks)
0-6" Fowler Bore Gage
Some other tools... but the ones listed are the ones that will hurt (especially the 60" Starrett).

Chazsani
 
More background...

Excuse the slow response... trying not to cry into my beer.

The "shop" is on the guys property and the house and the shop have been "seized." The shop owner says he'll try to make me square. Per the shop owner, the IRS swept in a month before they were supposed to. Don't know what that means.
Fluck the unlucky duck.
Chazsani.
 
I have been to auctions were personal tools were seized by the irs these were big shops and it was obvious that the tool box belonged to someone. His hat and sun glasses were sitting on it and his coffee cup and half eaten donut. When the auctioneer came to that box it was passed by the auctioneer he just said pass even though it had a number on it. After the auction I talked to the guy who was pushing it out and he told me that he asked the auctioneer to help him out. The guy just passed it and let him take it out as unsold scrap.
 
Excuse the slow response... trying not to cry into my beer.

The "shop" is on the guys property and the house and the shop have been "seized." The shop owner says he'll try to make me square. Per the shop owner, the IRS swept in a month before they were supposed to. Don't know what that means.
Fluck the unlucky duck.
Chazsani.

He had at least some warning, and never gave you a heads up? Not very nice of him. At a minimum you could have established ownership ahead of time if not actually removing your important stuff.
 
I have been to auctions were personal tools were seized by the irs these were big shops and it was obvious that the tool box belonged to someone. His hat and sun glasses were sitting on it and his coffee cup and half eaten donut. When the auctioneer came to that box it was passed by the auctioneer he just said pass even though it had a number on it. After the auction I talked to the guy who was pushing it out and he told me that he asked the auctioneer to help him out. The guy just passed it and let him take it out as unsold scrap.

Hello Kpotter
Good to know that there are still some decent people left in this world.
 
"REQUIRE THE EMPLOYER TO FURNISH ALL TOOLS"

Then you are not, under the law, an "independent contractor". You are an employee.

IF,,, and thats a huge IF ... I think you might be on shaky ground with the IRS, and might have the problem stated in this thread.... i'll still do the work... BUT, YOU will supply all the tools/equipment. whatever required... and because if I knew that, my terms would be CASH IN ADVANCE

Take it or leave it.

Kinda like a Tow Truck Driver... You've run your car into the ditch... and I get the $100 before I even put the rope on the bumper...
 
First thing should be to determine exactly what proof of ownership the IRS requires.

You can be 100% sure they've done dealt with this hundreds of times in the past year alone. There is most certainly a policy document for this and tons of court precedence.

Do the following..
1. call the IRS hotline, be courteous and polite and ask simple and direct questions
2. depending on the outcome of #1 call your US Congressman, they can help you navigate the quagmire of government.
3. your final straw is to call an attorney.
 








 
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