Unavailable Appraiser Results in High Taxes for Taxpayer

A taxpayer ended up owing a lot more taxes when his appraiser didn't show up at his hearing.  In Estate of Tanenblatt v. Comm'r, the taxpayer contested the high value used by the IRS of an LLC of which he had a 16.667% interest.  The taxpayer attached a second appraisal with a lower value for … Continue reading Unavailable Appraiser Results in High Taxes for Taxpayer

Tax Court Holds Taxpayer Not Entitled to Innocent Spouse Relief

In a summary opinion, the Tax Court found that a taxpayer was not entitled to innocent spouse relief.  The IRS allows a a spouse, who files a joint income tax return, to be relieved from joint and several tax liability when it would be inequitable to hold the taxpayer liable for unpaid taxes.  However, the … Continue reading Tax Court Holds Taxpayer Not Entitled to Innocent Spouse Relief

TD 9673: IRS Allows the Purchase of Longevity Annuities

The IRS issued final regulations regarding longevity annuity contracts.  The final rules modified minimum distribution rules to permit the purchase of longevity annuities.  Older retirement ages and longer life expectancies have lead to the real risk of running out of retirement funds.  The new final regulations allow longevity annuities which are designed to guarantee an … Continue reading TD 9673: IRS Allows the Purchase of Longevity Annuities

Tax Court Finds Taxpayer Liable and Threatens Penalties for Frivolous Claims

The Tax Court held that a taxpayer was liable for unpaid taxes stemming from Social Security benefits and pension distributions and additions to tax for failing to to timely file a return.  The taxpayer argued that the IRS employee handling his case did not have proper authority to sign and issue the notice of deficiency.  … Continue reading Tax Court Finds Taxpayer Liable and Threatens Penalties for Frivolous Claims

IRS Announces New Education Program for Tax Preparers

The IRS announced that there will be new voluntary program designed to encourage continuing education for tax return preparers.  The program would include a course in basic tax filing, ethics, and other federal tax law courses.  Unenrolled tax preparers will be able to obtain a record of completion after finishing the program. See IR-2014-75 (June … Continue reading IRS Announces New Education Program for Tax Preparers