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

United States Tax Court Upholds Lien, Levy Actions Against Tax Scheme Promoter, and Finds No IRS Abuse of Discretion

The  United States Tax Court found no IRS Abuse of Discretion by an Appeals Settlement Officer and upheld IRS lien and levy actions against an individual who promoted and sold abusive tax schemes, finding that she wasn’t entitled to challenge the underlying liabilities because the individual didn’t participate in the collection proceedings or provide a collection alternative.

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.

KATHLEEN KAHN,
Petitioner(s),
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

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

No IRS Abuse of Discretion in Denying Non-compliant Couple’s Installment Agreement

The United States Tax Court held that an IRS settlement officer didn’t abuse her discretion by rejecting a couple’s proposed installment agreement and sustaining a proposed levy action, finding that the couple failed to make sufficient estimated tax payments, was not in compliance with current tax obligations, and had a history of noncompliance.

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.

ANDREW M. HULL AND VICKIE J. HULL,
Petitioners
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-86

 

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

No IRS Abuse of Discretion by IRS Appeals Office and Couple Penalized for Frivolous Arguments in Collection Challenge

The United States Tax Court upheld the IRS’s determination to sustain a notice of federal tax lien filing against a couple and imposed a $3,500 penalty against them for advancing frivolous arguments, finding that the IRS’s decision to sustain its proposed collection action was proper as a matter of law. Summary Judgment granted.

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.

GEORGE H. PATTON AND FELOMINA F. PATTON,
Petitioners
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-75

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

The United States Tax Court Upholds Tax Lien Filing, Imposes Sanction for Delay Penalty

The United States Tax Court, citing its reasoning in a related levy case, upheld an IRS determination to proceed with the filing of a notice of federal tax lien against an individual and imposed a $20,000 penalty under code section 6673 because the individual raised the same frivolous arguments that he raised in his prior case.

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.

ALVIN SHELDON KANOFSKY,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-70

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

The United States Tax Court Holds Restaurant Owner Fraudulently Underpaid Taxes

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 held that civil fraud penalties applied to a restaurant owner’s tax underpayments, finding that several badges of fraud were present to support a determination that his underpayments were due to fraud; however, the court allowed some additional business expense deductions for nonemployee compensation.

ALAA I. MUSA,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-58