The U.S. legal system affords taxpayers who commit tax fraud the right to a hearing, but what about the right to a separate hearing? What if one is put on trial with a co-defendant who is particularly offensive or, perhaps worse yet, one who is more innocent than another? United States v. Robbins, 220 F.…
Category: Tax Procedure
Tax Procedure
From IRS audits and appeals to tax litigation and penalties, our tax attorneys can help you navigate the tax procedure landscape with confidence. Give us a call to see how we can help, (713) 909-4906.
Court Preempts IRS by Taking Taxpayer Property
In some cases, courts may take shortcuts to ensure that justice is served. While these shortcuts can be effective in obtaining the desired outcome, they can also raise concerns about fairness and due process. One such case is United States v. Spangler, 224 F. App’x 890 (11th Cir. 2007), where a trial court ordered the…
“Rule of Thumb” for Reporting IRS Employee Misconduct
The ethical and moral standards for IRS employees are not as stringent as those that are imposed by non-government agencies. There are however some minimal standards that apply, which are in addition to remedies for misstatements by IRS employees. The IRS Restructuring and Reform Act of 1998 was enacted to improve taxpayer rights and service,…
The Impact of IRS Inefficiency on Tax Collections
The IRS has a reputation for being relentless when it comes to collecting taxes. However, what happens when the agency fails to do its job in a timely manner? What happens when the IRS delays working on cases? Can the IRS benefit from delaying the collection of taxes and denying taxpayer claims? Can the IRS…
Police Can Turn Over Records to the IRS
The IRS has a number of tools at its disposal to gather information. This includes the IRS summons, for example. These tools only allow the IRS to get records that the taxpayer voluntarily identifies or that the IRS discovers. The IRS cannot obtain any records that it cannot identify. This leads to the question of…
Video Poker Cannot Qualify as Professional Gambling
As technology and computers advance, there are more and more activities that put us, as humans, against computers. We, as humans, are in the position of having to game or strategize how to manipulate or beat computers to produce desired results. While it is not pointed out generally, whole industries are focused on doing just…
Car Dealerships and Cash Reporting Requirements
Cash-based businesses can pose a challenge for the IRS, as they may be susceptible to tax fraud. To address this issue, Section 6050I(a) requires businesses to report any cash payments exceeding $10,000. This provision enables the IRS to track substantial cash payments made to cash-based businesses, and Form 8300 is the designated form for reporting…
Money Limit for “Small Case” Election for Collection Cases
Navigating tax disputes can be a daunting task for taxpayers, especially when it comes to the technical litigation rules that they may not be familiar with. The U.S. Tax Court‘s small tax case procedures provide a way to simplify the process. Taxpayers need to be aware that the amount of money involved in the dispute…
IRS Clarifies Real Estate Broker 1099 Filing Requirements
The IRS relies on voluntary compliance from taxpayers, meaning that most people follow tax laws willingly. However, noncompliance can result in penalties, making it an incentive for individuals to comply. To help identify potentially taxable transactions, third parties are required to file information reporting forms with the IRS. For instance, real estate sales typically require…
Tax Court Judge Can Rewrite Facts of Case That He/She Did Not Hear
The U.S. Tax Court is a unique court. Some say that the court is not really a court, rather, it is an executive agency of the government. There is some truth to this. The judges are appointed and not elected. The court isn’t authorized to hear general disputes. Instead, it has to look to Congress…