U.S. Tax Court Litigation

Congress established the United States Tax Court under Article I of the United States Constitution in order to provide taxpayers with a judicial forum where they could dispute tax deficiencies alleged by the Internal Revenue Service without having to first pay the disputed tax amount. The Tax Court has jurisdiction over matters that include:

  • Disputes regarding additional income tax due resulting from a Statutory Notice of Deficiency
  • Review of IRS collections activities, including Liens and Levies that arise from the denial of a Collection Due Process request
  • Review of IRS decisions to deny a taxpayer's request for an Offer in Compromise, Penalty Abatement, or Innocent Spouse Relief
  • Review of IRS assertion of transferee liability
  • Requests for declaratory relief
  • Disputes regarding partnership allocations
  • Classification of workers as employees or independent contractors

The Tax Court is made up of 19 judges appointed by the President. Each judge has significant expertise in tax law; is responsible for interpreting the Internal Revenue Code and related regulations; and ensuring that taxpayers are treated fairly and equitably by the IRS. While the Tax Court is located in Washington, D.C., judges regularly conduct trials in other designated cities throughout the United States. A Tax Court case begins when the taxpayer files a petition and pays the filing fee. Once the petition is filed, and the filing fee is paid, the taxpayer is not required to pay the disputed tax amount until the case is decided. There is no right to jury trial in the Tax Court, and trials are conducted before a single Tax Court judge.

If the deficiency amount proposed by the IRS is less than $50,000.00, a taxpayer is eligible to have the case conducted under the Tax Court's simplified small tax case procedure. Trials in small tax cases are usually less formal and dispositions are typically achieved more rapidly. Decisions entered pursuant to small tax case procedures, however, may not be appealed.

Many tax cases are settled by mutual agreement between the taxpayer and the IRS prior to trial. For cases that are tried, the presiding judge issues and files an opinion, including findings of fact and conclusions of law, shortly after the conclusion of trial. Decisions of the Tax Court may be appealed to the United States Court of Appeals.

We regularly represent clients in complex federal tax matters in courts throughout the United States. If you would like a confidential consultation with Mr. Brown regarding the possibility of seeking resolution to your case in Tax Court, Bankruptcy Court, District Court or Federal Claims Court please call Mr. Brown directly at 817.870.0025 or CLICK HERE to request a consultation.

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