United States Tax Court Decision for the Week – You be the Judge

A recent Tax Court decision was reported that may be of interest to individuals potentially dealing with tax litigation. J. Frank Best, Certified Public Accountant and United States Tax Court Practitioner, works to stay current on all IRS decisions concerning tax litigation to ensure we are fully informed and prepared for our clients.

The United States Tax Court, in a summary opinion, held that a doctor and his wife weren’t entitled to business expense deductions for their Amway distribution activity, finding that the activity wasn’t conducted in a businesslike manner or with the requisite profit objective; the court declined to hold them liable for an accuracy-related penalty.

AMER MIKHAIL AND MARIANA MIKHAIL,
Petitioners
v.
COMMISSIONER OF INTERNAL REVENUE, Respondent

T.C. Summ. Op. 2014-40

 

United States Tax Court Decision for the Week – You be the Judge

A recent Tax Court decision was reported that may be of interest to individuals potentially dealing with tax litigation. J. Frank Best, Certified Public Accountant and United States Tax Court Practitioner, works to stay current on all IRS decisions concerning tax litigation to ensure we are fully informed and prepared for our clients.

The United States Tax Court, in an unpublished order, dismissed for lack of jurisdiction an incarcerated individual’s petition for review of a collection due process hearing because it was untimely, finding that the IRS’s erroneous advice regarding the filing date didn’t extend the statutory deadline and the prison mailbox rule didn’t apply.

HARSH SHARMA,
Petitioner,
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

United States Tax Court Decision for the Week – You be the Judge

A recent Tax Court decision was reported that may be of interest to individuals potentially dealing with tax litigation. J. Frank Best, Certified Public Accountant and United States Tax Court Practitioner, works to stay current on all IRS decisions concerning tax litigation to ensure we are fully informed and prepared for our clients.

The United States Tax Court, in a summary opinion, held that the former wife of an individual who omitted income from their jointly filed tax return did not qualify for relief under section 6015, including equitable spousal relief under section 6015(f), finding that she had actual knowledge of the omission.

ERIKA G. BARRERA,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Summ. Op. 2014-30