Federal shutdown delays Mayo Clinic’s lawsuit against IRS

Rochester, Minn.-based Mayo Clinic’s $11.5 million lawsuit against the IRS is stalled due to the federal government shutdown, according to the Post Bulletin.

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Three things to know:

1. Mayo filed the lawsuit in 2016 in an attempt to recover money the hospital says it was wrongly forced to pay the IRS. The case centers on whether Mayo is primarily a medical center or a school, according to the report.

2. A motion hearing scheduled for Jan. 14 has been postponed due to the federal shutdown, and the case is on hold. On Dec. 27, Magistrate Judge Katherine Menendez of the U.S. District Court in Minneapolis approved a request by the IRS to halt the action until “Congress has appropriated funds for the Dept. of Justice.”

3. A trial is set for Aug. 28, but the delay could cause the trial date to be pushed back. “We have no idea how long the stay will last, and don’t know to what extent, if at all, it will affect the trial schedule,” a Mayo Clinic spokesperson told the Post Bulletin.

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