Taxpayers to believe that the IRS has violated the bankruptcy Automatic Stay or discharge injunction can file claims with the IRS for relief and damages. The filing of the claim with the services is a prerequisite for seeking damages.
See 26 U.S.C. §§ 7430(a) and (b)(1), 7433(d)(1) and (e). Regulations provide that such claims should be sent in writing to the Chief, Local Insolvency Unit, for the judicial district in which the taxpayer filed the underlying bankruptcy case giving rise to the alleged violation. See 26 CFR § 301.7433-2(e). These bankruptcy-related claims can be mailed to:
Internal Revenue Service
Chief, Local Insolvency Unit
Centralized Insolvency Operation
P.O. Box 7346
Philadelphia, PA 19101-7346
For further details and questions regarding the procedure and requirements for the filing of these types of bankruptcy-related administrative claims for relief see 26 CFR § 301.7433-2 (Civil cause of action for violation of section 362 or 524 of the Bankruptcy Code), 26 CFR § 301.7430-1 (Exhaustion of administrative remedies), and 26 CFR § 301.7430–8 (Administrative costs incurred in damage actions for violations of section 362 or 524 of the Bankruptcy Code).