Can a federal regulation create a specific liability, when no specific liability is created by the corresponding statute?
No. The U.S. Constitution vests all legislative power in the Congress of the United States. See Article I, Section 1. The Executive Branch of the federal government has no legislative power whatsoever. This means that agencies of the Executive Branch, and also the federal Courts in the Judicial Branch, are prohibited from making law. If an Act of Congress fails to create a specific liability for any tax imposed by that Act, then there is no liability for that tax. Executive agencies have no authority to cure any such omission by using regulations to create a liability. “[A]n administrative agency may not create a criminal offense or any liability not sanctioned by the lawmaking authority, especially a liability for a tax or inspection fee.” See Commissioner of Internal Revenue v. Acker, 361 U.S. 87, 4 L.Ed.2d 127, 80 S.Ct. 144 (1959), and Independent Petroleum Corp. v. Fly, 141 F.2d 189 (5th Cir. 1944) as cited at 2 Am Jur 2d, p. 129, footnote 2 (1962 edition) [bold emphasis added]. Ho
Related Questions
- Can a federal regulation create a specific liability, when no specific liability is created by the corresponding statute?
- Does the material provide information required by statute, administrative rule, or any other state or federal regulation?
- Where are the statutes that create a specific liability for federal income taxes?
