U.S. Supreme Court Justice Neil Gorsuch on Monday questioned whether a $2.17 million tax penalty assessed on a Massachusetts woman for not reporting a Swiss bank account was unconstitutionally excessive, saying the high court should have heard her appeal.
from the court's decision not to hear Monica Toth's appeal of a lower-court decision upholding the penalty, saying the case "would have been well worth our time."
Toth, a Massachusetts resident now in her 80s, kept the account, yet failed until 2010 to report it to the U.S. government as required by the Bank Secrecy Act. The Boston-based 1st U.S. Circuit Court of Appeals ruled that the 8th Amendment's protections did not apply in Toth's case because the IRS's civil penalty was “not tied to any criminal sanction” and served a “remedial” purpose.
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