$436,327.20 Tax Liability Reduced to $33,364 in U.S. Tax Court
After being audited by the IRS, the Taxpayer received a Notice of Deficiency proposing additional federal income tax (including penalties & interest) in the amount of $436,327.20. The basis for the Notice of Deficiency was disallowed Schedule C business expenses (including contract labor and supplies) on the Taxpayer’s 2021 and 2022 federal income tax returns. DeWitt Law represented the Taxpayer and challenged the Notice of Deficiency by filing a Petition…
$201,364.80 Tax Liability Reduced to $68,396 in U.S. Tax Court
After being audited by the IRS, the Taxpayer received a Notice of Deficiency proposing additional income tax (including penalties) in the amount of $201,364.80. In the Notice of Deficiency, the IRS disallowed deductions for Schedule E rental expenses, Section 179 expenses, and micro-captive insurance expenses. DeWitt Law filed a Petition in U.S. Tax Court challenging the Notice of Deficiency. The Tax Court entered a Decision reducing the tax liability to…
$24,197 Tax Liability Reduced to $0 in U.S. Tax Court
The IRS proposed additional income taxes against the Taxpayer via IRS Notice CP2000. The basis for the proposed assessment was unreported taxable income from the sale of securities and other miscellaneous taxable income. Despite the Taxpayer’s responses, the IRS affirmed the proposed assessment and issued a Notice of Deficiency. DeWitt Law represented the Taxpayer and filed a Petition in U.S. Tax Court to challenge the Notice of Deficiency. The Court…
Tax Assessment Reversed in U.S. Tax Court
Taxpayer received a Notice of Deficiency from the IRS for alleged cancellation of debt income. DeWitt Law represented the Taxpayer and filed suit in U.S. Tax Court to challenge the Notice of Deficiency. DeWitt Law argued that the Taxpayer was not subject to the cancellation of debt income because the Taxpayer had no legal right in the property whose mortgage was forgiven. After completing discovery, counsel for the IRS agreed…
Tax Assessment Reversed to $0 By U.S. Tax Court
Taxpayers received a Notice of Deficiency from the IRS proposing additional income tax for alleged unreported taxable income from the sale of securities. DeWitt Law represented the Taxpayers and challenged the Notice of Deficiency by filing a Petition in U.S. Tax Court. DeWitt Law argued that the proposed assessment should be reversed because the Taxpayers did not own the securities at issue. After completing discovery, IRS counsel agreed to reverse…