Thursday, March 17, 2005
CREDITWRENCH, the FDCPA, and tax collection
As a new tactic to enroll "students" CREDITWRENCH CEO Bill Bauer states on a message board:
Why? Because income tax obligations do not fit the definition of a debt within the FDCPA. Even the US Supreme court has held that position.
To quote from applicable case law:
CREDITWRENCH CEO Bill Bauer stating that collection agencies collecting back taxes are subject to the FDCPA is false and misleading.
........allowing collection agencies to collect back taxes for the IRSThe truth is, collection agencies collecting back income taxes for the IRS would not be subject to the FDCPA.
opens up a whole new can of worms. These collection agencies will be
violating the FDCPA right and left which means you will more than likely not
have to pay anything once you use the CREDITWRENCH method"
Why? Because income tax obligations do not fit the definition of a debt within the FDCPA. Even the US Supreme court has held that position.
To quote from applicable case law:
The district court reversed...holding that the tax liability at issue was not consumer debt because it was not incurred, but "involuntarily imposed by the government for a public purpose" and resulted "from earning money rather than
consumption." IRS v. Westberry (In re Westberry), No. 3:98-0438 (M.D. Tenn.
Nov. 4, 1998)
CREDITWRENCH CEO Bill Bauer stating that collection agencies collecting back taxes are subject to the FDCPA is false and misleading.
