Assignment6.CasesPart1.LC

Assignment6.CasesPart1.LC - Soyoudontagreewith theIRS...

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So you don’t agree with  the IRS… Welcome to court!  Judicial  Interpretations (File 1 of 2)
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Objectives After completing this assignment, you will be able to: Understand the importance of court cases in finding defensible answers to tax questions Describe the court system and how it is used to settle federal tax controversies Explain the concept of authoritative weight Locate and brief cases Cite cases properly Use a Citator to find relevant information
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Are you ready?  Get a good seat… this is great stuff!
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The Tax Research Process P r i m a r y S o u r c e s J u d i c i a l * T a x C o u r t * D i s t r i c t C o u r t * C l a i m s C o u r t * A p p e a l s C o u r t * S u p r e m e C o u r t A d m i n i s t r a t i v e * R e g u l a t i o n s * R e v e n u e R u l i n g s * R e v e n u e P r o c e d u r e s * L e t t e r R u l i n g s * A n n o u n c e m e n t s / N o t i c e s * A O D s , G C M s , a n d o t h e r s I n t e r p r e t a t i o n s I n t e r n a l R e v e n u e C o d e Here’s where we are…  we’re now focusing on  interpretations of the  IRC by the courts.
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Litigation: the ultimate result of an IRS audit where the  government and the taxpayer disagree Judicial Interpretations Audits from hell may return! Will NRP replace the TCMP devil?
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Formerly, the IRS, as part of its notorious Taxpayer  Compliance Measurement Program (TCMP), conducted a  grueling and what many call invasive line-by-line  audit of  randomly selected tax returns. In these audits, taxpayers  were required to support and justify every number on the  return .  The purpose of TCMP audits was to compile  statistical data used to build the IRS's Discriminate Income  Function (DIF) database, a computer program that compares  every line of a tax return with national and regional averages  for a person in the taxpayer’s same category and profession.  If any line of the return is higher than the average, the  difference is scored. The higher the DIF score, the more likely  (a) the return will be audited and (b) there will be a change  upon audit. The TCMP program was recently replaced by the  National Research Program.  Only time will tell if NRP will be  as burdensome as its predecessor. 
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They’re ganging  up on us!
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Interpretations of the tax law by the courts result from conflicts between the IRS and taxpayers Judicial Interpretations THE IRS = THEIRS
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Judicial Interpretations
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Judicial Interpretations
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Judicial Interpretations
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Judicial Interpretations
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Interpretations of the tax law by the courts result from conflicts between the IRS and taxpayers 1. The IRS first selects a return for audit and then examines it 2. If the taxpayer objects to an agent’s proposed adjustment, he may appeal within the IRS—to the IRS Appeals Division— before he goes to court 3.
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This note was uploaded on 03/23/2010 for the course TAXATION 523 taught by Professor Talyor during the Spring '09 term at Universidade do Minho.

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Assignment6.CasesPart1.LC - Soyoudontagreewith theIRS...

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