Eli Noff, Esq., Partner On January 21, 2020, in Chadwick v. Commissioner, the Tax Court determined that the initial determination of TFRP assessment requires written supervisory approval[1]Interestingly, the Tax Court had not previously resolved the question of whether Internal Revenue Code (IRC) §6751(b)(1) (preventing the IRS from assessing a penalty unless its initial determination has […]

Eli Noff, Esq., Partner Executive Summary Taxpayers who are delinquent with their IRS taxes all too often find themselves facing rapidly accruing interest and penalties, which snowball into dismally high amounts. As the case discussed below indicates, when delinquent taxpayers and the IRS have repeatedly failed to resolve a matter, the IRS can file an […]

Leanne Broyles, Esq., Associate Executive Summary Proper interpretation of will provision regarding whether estate may claim $2.25 million that passed to spouse as marital deduction to decedent’s gross estate depends on what terms of the will say-not the intent the terms may suggest. Tax Court is only authorized to waive interest and penalties for reasonable […]

Eli Noff, Esq., Partner EXECUTIVE SUMMARY Although frequently overlooked, the international reporting form, known as the BE-10, has a rapidly approaching May 31, 2020, deadline. If you own 10% or more of a foreign company or foreign rental real estate, then you must file this report. With significant penalties, both criminal and civil, at stake […]

In 1958, the Supreme Court affirmed that an individual’s right to travel internationally is a liberty right, unable to be abrogated without due process of law under the Fifth Amendment.[1]Additionally, in 1948, the United Nations recognized “[e]veryone has the right to leave any country, including his own, and to return to his country.”[2]Today, the Internal […]

Recent legislation significantly impacts retirement savings. One notable change involves required minimum distributions (RMDs). This post discusses the change, how it impacts retirement savings, and how taxpayers can minimize potential penalties. What are RMDs? Retirement funds may not be kept in an account indefinitely. The RMD is the minimum amount a taxpayer is required to […]

Eli Noff, Esq., Partner On February 21, 2020, the IRS issued proposed regulations providing guidance clarifying amendments made by the 2017 Tax Cuts and Jobs Act (TCJA) pertaining to Internal Revenue Code (IRC) §274 expenses, i.e. “meals and entertainment” expenses. Most importantly, the proposed regulations clarify that TCJA did not amend the rules relating to deducting business […]

Eli Noff, Esq. On October 16, 2019, the IRS announced that it had reviewed and reversed its recent temporary suspension of passport certification procedures on passports for anyone who had a case open with the National Taxpayer Advocate Service (TAS). The IRS explained that: Excluding cases from certification solely on the basis that the taxpayer […]

Two raids in one day. The Internal Revenue Service (IRS) decided to raid both a business owners’ place of business as well as his private residence on the same day. These were not tax agents clad in black suits carrying briefcases. These were federal agents in full body armor carrying assault rifles gathering boxes of […]

In response to the financial crisis caused by COVID-19, the newly enacted CARES Act has created a new payroll-related form of relief for employers. Coined The Employee Retention Credit, this relief measure allows eligible employers to obtain a refundable credit against the employer-only portion of social security taxes (or Railroad Retirement Tax Act taxes). Question […]