PRESS RELEASE – FOR IMMEDIATE RELEASE - November 8, 2011
Contact Emily Dietz, Media Relations, 602-258-3434 x2160 or 602-323-4542.
Wal-Mart Santa Takes on the IRS
Phoenix, AZ. After waiting more than five years, Phoenix resident, David Hughes will finally receive his 2005 tax refund worth $618 plus interest. Mr. Hughes, who is in a wheelchair, works at Wal-Mart, where he portrays Santa during the holiday season. Hughes battled the IRS himself for several years before turning to Community Legal Services (‘CLS’) to get his 2005 refund returned to him. CLS is a not for profit civil, law firm in Arizona that assists low income individuals with civil legal problems. For the past 12 years, CLS has operated a Low Income Taxpayer Clinic that advocates for taxpayers rights and assists people in resolving their controversies with the IRS. The Low-Income Taxpayer Clinic is funded by the IRS and helps hundreds of taxpayers annually.
“This is a victory for the little guy” said Elise Halvorson-Maza, a paralegal at Community Legal Services. “The IRS spent countless hours and resources telling Mr. Hughes he was not entitled to his refund, when indeed he was.” Halvorson-Maza assisted Mr. Hughes in filing administrative appeals; however, after all avenues were exhausted and the IRS continued to deny Mr. Hughes his refund, Pamela Bridge, an attorney at CLS was forced to file a Federal law suit.
In response to the refund claim filed by CLS in federal court, the Department of Justice on behalf of the IRS filed a Motion to Dismiss claiming that the statute of limitations for Mr. Hughes’ 2005 refund had lapsed. They argued that since the 2005 refund had been applied to a debt for 2003, the statute of limitations should begin in 2003 which would mean that his claim was untimely. Mr. Hughes, through CLS, argued that not only had Mr. Hughes previously been found to owe no monies from 2003, but that 2005 should be the year that the statute of limitations began for a 2005 refund. Honorable Robert Jones, United States District Court Judge, agreed with Mr. Hughes. He found that Mr. Hughes not only met his deadline to request the 2005 refund, but the IRS should also pay Mr. Hughes’ cost for the federal lawsuit. After five long years the IRS has finally paid Mr. Hughes his 2005 refund for $618.00 plus interest.
