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

Lien Action Upheld; No IRS Abuse of Discretion in Denying Face-to-Face Hearing

The  United States Tax Court held that the IRS didn’t abuse its discretion by sustaining a proposed lien action against an individual to collect unpaid taxes and penalties, finding that the IRS settlement officer properly rejected the individual’s request for a face-to-face hearing because he didn’t provide requested documents and financial information.

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.

KENNETH A. MCRAE,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-132

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

Doctor Loses His Challenge to Trust Fund Penalty Collection. No Abuse of Discretion by IRS.

The United Tax Court sustained a proposed IRS levy to collect trust fund recovery penalties from a doctor, whose medical practice failed to pay its employment taxes, finding that he was liable for the penalties and that there was no abuse of discretion by the IRS Appeals Office Settlement Officer; the court denied the doctor’s requests for interest abatement and remand.

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.

IFEANYI OBIAKOR,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-112

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

A Prior Bankruptcy Decision Bars Challenge to Tax Deficiency and Innocent Spouse Relief

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, sustaining a collection action, held that the doctrine of res judicata bars a married couple from challenging the timeliness and validity of notices of deficiency, finding that those issues were previously resolved during bankruptcy proceedings, and that res judicata also bars the wife from seeking innocent spouse relief.

RICHARD E. SNYDER AND MARION B. SNYDER,
Petitioners
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

RICHARD E. SNYDER AND MARION SNYDER,
Petitioners
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-26

 

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

Income Tax Return Preparer Liable for Deficiencies, Fraud Penalties

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 an income tax return preparer underreported her income, overstated her tax withholdings, and is liable for the 75% civil fraud penalties, finding that her failure to respond to the affirmative allegations in the IRS’s answer to her petition resulted in deemed admissions that supported her liability for the deficiencies and fraud penalties.

YVONNE K. YOUNG,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-18

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

The United States Tax Court Overturns Levy and finds Abuse of Discretion Due to Appeals Settlement Officer’s Errors

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 an IRS settlement officer abused his discretion by sustaining a proposed levy against an estate, finding that the settlement officer’s “clearly erroneous view of law and assessment of the facts” was not a harmless error, and that his refusal to meaningfully consider collection alternatives denied the estate a fair hearing.

ESTATE OF MARTHA E. SANFILIPPO, DECEASED,
WILLIAM J. SNYDER, EXECUTOR,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2015-15

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

United States Postal  Postmark Used to Decide Whether Petition Was Timely

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 dismissed for lack of jurisdiction an individual’s untimely petition challenging a deficiency, finding that a timely postmark from the postage software the individual used must be disregarded in favor of the U.S. Postal Service postmark that indicated the petition was mailed the day after the United States Tax Court filing due date.

JOSEPH SANCHEZ,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2014-223

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

The United States Tax Court finds no IRS Abuse of Discretion by Denying “Currently not Collectible” and other Collection Alternatives and Sustains the Filing of Federal Tax Lien Against an Individual

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 the IRS Appeals Office didn’t abuse its discretion in denying an individual “currently not collectible” status and other collection alternatives presented, or in sustaining the filing of a notice of federal tax lien and proposed levy action against the individual, who failed to file delinquent income tax returns and provide requested financial documents.

BRIAN R. CUNNINGHAM,
Petitioner
v.
COMMISSIONER OF INTERNAL REVENUE,
Respondent

T.C. Memo. 2014-200