Monica Fuel, Inc. v. Internal Revenue Service

OPINION OF THE COURT

LEWIS, Circuit Judge.

This case presents a single issue of law: the relative priority of Internal Revenue Service (“IRS”) liens, which arise upon assessment under 26 U.S.C. §§ 6321 and 6322,1 versus New Jersey motor fuels tax *509liens, which arise under New Jersey’s State Tax Uniform Procedure Law. At summary judgment, the United States District Court for the District of New Jersey found the federal liens to be superior. Because we believe the state liens were choate before the liens of the IRS arose and were, therefore, entitled to priority, we will reverse the district…