Audit Reconsideration – Tax Assessment Reduced by Over $144,000

The Taxpayer was audited and the IRS disallowed substantial gambling loss deductions. The IRS issued a Notice of Deficiency but the Taxpayer did not file a Petition in U.S. Tax Court. DeWitt Law represented the Taxpayer before the IRS and filed an Audit Reconsideration claim challenging the tax assessment. The IRS reversed the assessment, which lowered the tax assessment by over $144,000.

$172,959 CP2000 Assessment Reduced to $0

Orlando, Florida – Taxpayer received IRS Notice CP2000 proposing additional tax of $172,959, based on income reported to the IRS on Form 1099-S from the sale of Taxpayer’s home. DeWitt Law represented Taxpayer and challenged the proposed assessment with the IRS. The IRS never responded and issued a Statutory Notice of Deficiency. After litigating the assessment in U.S. Tax Court, it was reversed to $0.