On February 23rd, the U.S. Tax Court filed T.C. Memo. 2022-5 deciding whether the Office of Appeals abused its discretion in rejecting an offer-in-compromise (OIC) . The United States Tax Court found no abuse of discretion and granted summary judgment in favor of the IRS. Why? The petitioner submitted form 12153 timely requesting Collection Due…
Disallowing Deductions.
On December 28th, 2021 the US Tax Court reviewed and decided whether “the taxpayer has paid more than was owed, where such a determination is necessary for a correct and complete determination of whether the proposed collection action should proceed”. (per T.C. Memo. 2021-142 UNITED STATES TAX COURT Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent…
Assets are?resources or things of value that are owned by a company. When making assertions about an asset, management needs to remember several key points: Existence-Check depreciation and anything else related to the claimed asset to make sure that your balance sheet is accurate.? -Check that you have the right to this equipment. -Check with…
How Cost of Gods Sold Affects Income & Tax Bracket An increase in the Beginning Inventory decreases?income for the year. An increase in the Ending Inventory increases?income for the year. An increase in Beginning Inventory means that you will pay tax on the sale of that inventory?later?(when you sell it). An increase in the Ending…
Common errors investors make: Realtors are usually not familiar with tax requirements regarding foreigners. When a foreigner is looking to invest in Real estate in the US, the first thing I notice is that the tax system at where they are from is much different from the system in the US.? Under Code Section 1445,…
Tax Implications When Foreigners Investing In Real Estate in the US The tax would be reported to the US because the property is located in the US. Under the treaty, it states ARTICLE 6 Income from Real Property1. Income derived by a resident of a Contracting State from real property (including income from agriculture or…
