Eli Noff, Esq.,CPA, Partner The taxpayer in Berkun v. Commissioner1 ultimately raised two collection due process arguments too late for consideration on appeal, but the Eleventh Circuit apparently found them worthy enough to highlight in a published opinion. Although the Eleventh Circuit uses a popular Seinfeld reference to describe its own non-substantive ruling in Berkun […]

Glen Frost, Managing Partner The Comptroller’s Field Enforcement Division and the Criminal Investigations Division of the Maryland Attorney General’s Office, working in tandem, investigated and prosecuted two more Maryland tax preparers—resulting in guilty pleas. On July 24, 2018, Maryland Attorney General Brian E. Frosh and Comptroller Peter Franchot announced that two tax preparers operating in […]

Maryland residents who owe federal income tax that they cannot pay at one time should learn about the IRS installment agreement. Many taxpayers struggle when the amount of federal income tax they owe is more than what they are able to pay. This can understandably be a stressful experience. However, an Internal Revenue Service installment […]

In Borenstein v. Commissioner, 149 T.C. No. 10 (Aug. 30, 2017), for the first time, the Tax Court has interpreted the final sentence of IRC §6512(b)(3) as applied to the fact pattern in this case. The Tax Court’s interpretation resulted in the taxpayer losing a significant refund for tax overpayments, because the IRS notice of […]

Eli S. Noff, Esq., Partner On March 13, 2018, the IRS issued news release, IR-2018-52, announcing that the Offshore Voluntary Disclosure Program (OVDP) will close on September 28, 2018. The OVDP’s objective has enabled willful US taxpayers with undisclosed foreign assets to become compliant with US tax laws, while simultaneously avoiding substantial statutory civil penalties […]

Glen E. Frost, Managing Partner The Internal Revenue Service (IRS) considers a passive activity as any activity involving the conduct of a trade or business in which the taxpayer does not materially participate.1Rental activity is considered a per se passive activity, regardless of the taxpayer’s participation level, unless the taxpayer can demonstrate that he or […]

As cryptocurrency continues to inspire global awareness and dialogue, the news in the US has mostly focused on its regulation as a commodity; however, very recently, states like Arizona and Georgia are on the brink of recognizing Bitcoin, and its kin, as currency–allowing people to pay their tax bill with it. While neither state has […]

Eli Noff, Esq., Partner On May 16, 2018, in United States v. Colliot,[1]the District Court for the Western District of Texas held that the Internal Revenue Service (IRS) is precluded from assessing a willful Report of Foreign Bank and Financial Accounts (FBAR) penalty exceeding the $100,000 limit provided in Federal Regulation (Reg.) §1010.820. The decision […]

This article looks at four tax return “red flags” that supposedly trigger audits and whether they actually do. Whenever tax season rolls around, articles quickly pop up on social media and on online news sites about how tax filers could inadvertently increase their risk of an audit. While some of this advice is true, much […]

From a tax perspective, an audit is one of the most challenging situations a taxpayer may confront. Whether you’re facing an audit now, or you’re simply concerned about the possibility of an audit, there are several things you need to know. Each year, the process of filing taxes fills many Americans with dread and frustration. […]