Criminal Tax Case Involving Aircraft Purchases and Tennessee Use Tax Dismissed

DeWitt Law recently represented a taxpayer indicted in Benton County, Tennessee, for alleged failure to report and pay Tennessee sales and use tax related to multiple aircraft purchased out of state. The Tennessee Department of Revenue alleged that the aircraft were brought into Tennessee without proper tax reporting, leading to a criminal tax prosecution. Our firm thoroughly analyzed the state’s evidence, tax assessments, and the taxpayer’s compliance record. Through strategic…

DeWitt Law Defeats IRS Civil Fraud Penalty in Tax Court

DeWitt Law successfully represented a taxpayer in U.S. Tax Court who had been assessed the civil fraud penalty under Internal Revenue Code § 6663—a 75% penalty imposed when the IRS alleges intentional fraud. The IRS claimed the taxpayer knowingly underreported income, seeking to add a significant penalty to an already large tax bill. However, our firm challenged the government’s claims, highlighting inconsistencies in the evidence and presenting a compelling defense…

DeWitt Law Stops IRS from Seizing Client’s Property Over Ex-Husband’s Tax Debt

After our client’s divorce, the IRS sued her in federal district court for tax debts that were entirely her ex-husband’s responsibility. The IRS claimed they could take property she received in the divorce, even though she had no role in creating the tax problem. They filed the lawsuit trying to foreclose on her property and tie her to more than a million dollars of tax debt that wasn’t hers. DeWitt…

$208,984 Tax Liability Reduced to $107,495 in U.S. Tax Court

Taxpayer was audited by the IRS for multiple tax years, resulting in a Notice of Deficiency proposing additional tax in the amount of $208,984. The basis for the Notice of Deficiency was disallowed Schedule C contract labor and cost of goods sold. DeWitt Law filed a Petition in U.S. Tax Court challenging the Notice of Deficiency. The Court entered a Decision reducing the tax liability by over 50% to $107,495.

$220,187.27 Tax Liability Reduced to $10,699.67 in U.S. Tax Court

Taxpayer received a Notice of Deficiency proposing additional federal income tax (plus penalties) in the amount of $220,187.27. The basis for the Notice of Deficiency was alleged unreported capital gain income from the sale of the Taxpayer’s home that was renovated. DeWitt Law represented the Taxpayer and filed a Petition in U.S. Tax Court. After completing discovery, the property’s basis was substantially increased by the IRS, resulting in a Decision…