Is a Remote Tax Court Exam Easier to Pass?
Circular 230 practitioners know we cannot always resolve tax controversies in the Internal Revenue Service (IRS) administrative processes within the Examination, Collection... Sherrill Trovato, EA, USTCP
The PTC, Itemized Deductions, Employer Leave-Based Donation Programs, Tracking Refunds, and Bribes
Premium Tax Credit Regulations Amended Wages are deductible by a C corporation in computing taxable income, but dividends are not. In a closely held corporation, the owners might decide to take ... TheTaxBook
Important Things to Know for Tax Year 2021 Returns
Infrastructure Investment and Jobs Act On November 5, 2021, Congress passed the Infrastructure Investment and Jobs Act (H.R. 3684), which President Biden is expected to sign into law. The new law addresses provisions rel... TheTaxBook
Limited Partners and Self-Employment Tax
As tax professionals, we are often given Schedule K-1 forms by our clients in order to report their income and/or losses from their investments in pass-through organizations. How involved are we, ... Keith A. Espinoza, EA
What Jurisdiction Does the Tax Court Have Over Passport Actions Under §7435(b)?
Vivian Ruesch, Petitioner v. Commissioner of Internal Revenue, Respondent 154 T.C. 13 | Filed June 25, 2020 Vivian Ruesch (154 T.C. 13 (6/25/20)) provides the first Tax Court guidance on Internal Revenue Code (IRC) §7345, captioned “Revocat... Sherrill Trovato, EA, USTCP
The Desirable (Yet Complex) Real Estate Professional Classification
Being a real estate professional has its tax advantages, And the average landlord does not want to pass it up. But misusing the classification can unravel expected tax consequences. Investing in rental real estate can be a l... Thomas J. Williams, EA, and Iris K. Palma, JD
Is an Identity Protection Personal Identification Number a Required Element of a Taxpayer Signature for Purposes of the Assessment Statement of Limitations?
Robin J. Fowler (155 T.C. 7 (September 9, 2020)) answers the question of whether the Internal Revenue Service (IRS) can choose to reject a validly e-filed tax return because it is missing the identity protection personal identification number (IP PIN). T... Sherrill Trovato, EA, USTCP
How to Be Eligible for Substantial Tax Savings as a Trader
There are tax advantages for traders who are eligible for trader tax status (TTS). This article provides an overview of how to qualify for TTS (no election is required): Automated trading systems can qualify for TTS, providing the trader is significantly involved ... Robert A. Green, CPA
Is Timely and Meaningful IRS Supervisor Approval Needed in Order to Assess Penalties?
Jesus R. Oropeza and Fabiola Anaya Oropeza, Petitioners v. Commissioner of Internal Revenue, Respondent T.C. memo, 2020-111 | Filed July 21, 2020 The Internal Revenue Code (the Code) requires the IRS to come forward with sufficient evidence that indicates the impositi... Steven R. Diamond, CPA, USTCP
What Constitutes Sufficient Notification to a Taxpayer When the Commissioner Mails out a Notice of Deficiency?
Damian K. Gregory and Shayla A. Gregory, Petitioners v. Commissioner of Internal Revenue, Respondent 152 T.C. No. 7 | Filed March 13, 2019 Internal Revenue Code (IRC) §6212 authorizes the Commissioner to send out a notice of deficiency to a taxpayer by certified ... Steven R. Diamond, CPA, USTCP
Does IRS Refusal of a Taxpayer’s Proposed Offer for an Installment Agreement Constitute an Abuse of Discretion?
James Loveland, Jr., and Tina C. Loveland, Petitioners v. Commissioner of Internal Revenue, Respondent 151 T.C. No. 7 | Filed September 25, 2018 The Tax Court abides by the “abuse of discretion standard”i when it reviews administrative determinations m... Steven R. Diamond, CPA, USTCP
Is a Postmark made by Stamps.com Evidence of a Timely Filed Petition with the U.S. Tax Court?
Robert H. Tilden, Petitioner v. Commissioner of Internal Revenue, Respondent T.C. Memo. 2015-188 The jurisdiction of the U.S. Tax Court to redetermine a deficiency in income tax depends upon the issuance of a valid notice of deficiency and a timely filed petition by the taxpayer. The taxpayer normally has 90 days (150 days if the notice is addressed to a person outside the United States) to... Steven R. Diamond, CPA