Richard Canatella v. United States

MEMORANDUM

Appellant Richard A. Canatella appeals from the district court’s order granting the United States’ motion to dismiss Canatel-la’s petition to quash third-party summonses issued during an on-going investigation of his tax liability, compelling compliance with the third-party summonses, and granting the United States’ motion for a protective order, thereby denying Canatel-la discovery or an evidentiary hearing. Canatella’s primary argument on appeal is that the district court applied too stringent a standard in denying his request for an evidentiary hearing. We affirm.

1. Our review of a district court’s denial of an evidentiary hearing or discovery in a summons enforcement proceeding is for abuse of discretion. See United States v. Stuckey, 646 F.2d 1369, 1373 (9th Cir. 1981). “In contrast to the procedure in ordinary civil cases, discovery in a summary summons enforcement proceeding is the exception rather than the rule.” United States v. Church of Scientology of Cal., 520 F.2d 818, 824 (9th Cir.1975). Where a taxpayer challenges an IRS summons on grounds of improper purpose, he or she must “provide a minimal amount of evidence” simply to justify an evidentiary…