After four years, a dozen court appearances and two congressional hearings, the owners of South Mountain Creamery say they finally have justice after the IRS seized roughly $ 60,000. The business was accused of structuring cash transactions.
“We were scared because it was a felony charge and they already scheduled a grand jury and we could present evidence if we were guilty or not,” said Farmer Randy Sowers.
Structuring cash transactions is a crime when a person is purposely trying to avoid the currency transaction requirement. The law says cash deposits of more than $10,000 must be reported to the IRS.
Sowers say the IRS became suspicious of large deposits he was making after selling products at farmers markets.
“When they asked me about where the money came from and how much it was and where it came from we told them sometimes do have special events [and] we do have $10,000 to $15,000 a week,” said Sowers.
With the help of lawyers from the Institute of Justice, Sowers filed a petition and sent it to Congress for a hearing.
“A bipartisan coalition sent a letter on Randy’s behalf supporting his petition. They held hearings to bring the commissioner of the IRS into Congress to ask him why he wasn’t getting back with people like Randy and as a result of all that pressure, the government agreed to do the right thing,” said Attorney Robert Everett Johnson.
Sowers will receive $29,5000 the IRS took and says he hopes his story will inspire people to fight for what is right.
Randy Sowers was not criminally charged and according to Johnson, the IRS and Justice Department have changed their polices regarding structuring cash to now focus on money connected to illegal activity.
If you or someone you know have been a victim of the structuring cash laws, Johnson says the IRS plans to send letters to people and businesses they seized money from and you may be entitled to get your money back by filing a petition.
Click here for to learn more about the petitions.