Due Process in Property Tax Appeals Upheld By 7th Circuit Generally, the Tax Injunction Act (28 USC 1341) prohibits federal courts from exercising jurisdiction over state tax disputes where the state had afforded the taxpayer a “plain, speedy and efficient” process to remedy tax disputes where federal constitutional claims may intersect. However, this requires that … Read more
If you’re self-employed, there are many deductions available to you that the average person without a business can’t take advantage of. In fact, if you don’t have a small business, you might consider the many financial benefits of starting one. Simply making an honest effort to earn income from what is normally just your hobby … Read more
According to research conducted by Forbes magazine and the Treasury Inspector General, potentially $100 million in EV credits were wrongfully claimed since 2013. The Service publishes a list of allowable vehicles that are eligible for credit. In general, the credit is limited to plug in electric vehicles, and is subject to a phase out. Forbes found … Read more
The 2017 federal tax law, which President Trump signed after a party-line vote in Congress, limited to $10,000 the state and local tax payments that families can write off on their federal income taxes if they itemize deductions. The provision, known as the SALT cap, disproportionately affected residents of wealthy, high-tax states, where residents are more … Read more
On September 16, 2019, the United States Internal Revenue Service (IRS) announced the mailing of a time-limited settlement offer for certain taxpayers under audit who participated in abusive micro-captive insurance transactions. The settlement requires substantial concession of the income tax benefits claimed by the taxpayer together with appropriate penalties (unless the taxpayer can demonstrate good … Read more
In a little piece of good news – especially for those who value propert asset protection and estate planning – The Supreme Court, in a unanimous decision, held that the presence of beneficiaries of a trust in a state does not alone give a state the power to tax the trust’s income. The court found … Read more
Don’t think that just because the currency is virtual, that the tax man doesn’t know you have it. Bitcoin and other virtual currencies are squarely in the crosshairs of the IRS and other agencies. The combination for potential for tax evasion, money laundering and illegal payments is just too enticing for the government to ignore. For … Read more
Internal Revenue Code (IRC) section 7430 permits courts to award “reasonable litigation costs” and “reasonable administrative costs” to the “prevailing party” in any “administrative or court proceeding … brought by or against the United States in connection with the determination, collection, or refund of any tax, interest, or penalty” under the IRC. These costs can … Read more
Even for honest taxpayers, the IRS can be extremely frightening. Unlike most other government agencies, the IRS has the power to attach your wages, freeze your bank account and even confiscate your property, and that is enough to send a chill up the spine of any taxpayer. If you receive a letter from the IRS … Read more
