In the Matter of the Tax Liabilities of John Does, Members of the Columbus Trade Exchange in the Years 1977 and 1978 United States of America

This case requires us to consider the circumstances under which the Internal Revenue Service may seek to ascertain the identities of unknown taxpayers through the issuance of “John Doe” summonses. A “John Doe” summons is, in essence, a direction to a third party to surrender information concerning taxpayers whose identity is currently unknown to the IRS.

Until 1976, there was no statutory restraint on the Commissioner’s use of this device. However, as part of the Tax Reform Act of 1976, Congress added to the Code § 7609(f) and (h), entitled “Special Procedures for Third Party Summonses.” 26…