check out our 
The IRS offer in compromise program provides taxpayers with a remedy for settling back taxes. It can provide taxpayers with a much-needed fresh start. Congress has changed the rules for offers. One change is that offers are deemed accepted if the IRS does not reject them within two years. This raises the question as to…Continue…
Tax Articles
Making Voluntary Payments to the IRS
For those who owe the IRS back taxes, the decision as to how to pay the IRS raises a number of concerns. One such concern for those who owe taxes for several different tax years or several different types of taxes, is what year and tax account the payments are applied to. Typically taxpayers get…Continue…
Unwinding a Stock Sale using the Claim of Right Doctrine
If you sell stock for a large gain in one year, can you later go back and get credit for the tax paid in the earlier year using the claim of right doctrine? Is the claim of right doctrine a… Read More The post Unwinding a Stock Sale using the Claim of Right Doctrine appeared first…
Can “Business Synergies” be an Asset that Increases a Tax Loss?
The tax consequence of a transaction often depends on how one characterizes or describes the transaction. Business synergies are often cited as the rationale for merger and acquisition deals. In a M&A deal, are “business synergies” a separate asset for tax purposes? Can you list “business synergies” as a separate asset and then take a……
Juror in Tax Crime Case Removed for Religious Belief
What do you do if you are being tried for a criminal tax charge and the court removes one of the jurors for saying that you should be found not guilty? What if the juror is removed by the court because the Holy Spirit told him that you were not guilty given the evidence presented? …Continue…
IRS Can Avoid Bankruptcy Collection Hold
One of the benefits of filing bankruptcy is that creditors are precluded from taking collection actions. When a taxpayer who owes unpaid taxes to the IRS files bankruptcy, this collection hold applies to the IRS. But what if the IRS could simply file a motion and avoid the collection hold? This is exactly what happened…Continue…
Are Wages Paid to Foreign Researcher Taxable in the U.S.?
If a researcher comes to the U.S. on an Exchange Visitor J-1 Status visa and is paid wages for research, are the wages taxable income? The answer is “maybe” according to Baturin v. Commissioner, 153 T.C. 10 (2019). Facts &… Read More The post Are Wages Paid to Foreign Researcher Taxable in the U.S.? appeared first…
Settling Unpaid Taxes With Sporadic or Seasonal Income
Sporadic or seasonal income can make it difficult to settle back taxes with the IRS. For example, if you have a large one time payment that is not likely to continue, can the IRS consider this in evaluating how much you can pay the IRS? The court addresses this in Margolis-Sellers v. Commissioner, T.C. Memo.…Continue…
Can a Tax Crime Sentence Impact the Sentence for a Related Crime?
If someone commits a financial crime and, at the same time, commits a tax crime, can the tax crime sentence be used to enhance the sentence for the financial crime? The court addresses this in United States v. Smith, No. 18-3222 (8th Cir. 2019). The answer may surprise you. Facts & Procedural History The defendant…Continue…
Does a Letter Sent to IRS Count as a Refund Claim?
Taxpayers have a limited time to file refund claims to recoup money from the IRS. The IRS provides tax forms to be used for making these requests. But what happens if the If the taxpayer does not use the forms the IRS provided and, instead, writes letters to the IRS? Can the letters count as…Continue…
