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The Attorney-Client and Work Product Privileges in the Tax Context

In Attorney-Client Privilege, Privilege, Tax Litigation, Work Product Privilege by Jason Freeman and Katie ManworrenLeave a Comment

A recent case reveals the perils of maintaining the attorney-client and work product privileges. As it demonstrates, additional precautions may be necessary in the context of privileged documents that are utilized in the tax context, particularly where those documents are used to support a reporting position.   United States v. Sanmina Corporation & Subsidiariesinvolved a dispute between the IRS and …

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The IRS Is Like the Soviet Hockey Team: Presley v. U.S.

In Summonses, Tax Litigation by Zach MontgomeryLeave a Comment

On July 18, 2018, the Eleventh Circuit issued its decision in Presley v. United States.[1]The holding of the Court focused on upholding the Internal Revenue Service’s ability to issue summonses to banks that may hold private and confidential information of third-parties. In particular, the Court held that the IRS may issue a summons to a bank to obtain a law …

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The Most Litigated Tax Issues

In Tax Litigation by Jason FreemanLeave a Comment

The Taxpayer Advocate recently issued her annual report to Congress, identifying the ten tax issues that are most litigated in federal courts.  For purposes of this list, the term “litigated” refers to cases in which a court issued an opinion—so the list does not necessarily capture all of the most heavily disputed issues that are typically disposed of short of …

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Summonsing Foreign Records: The Section 6038A Summons

In International Tax, Tax Litigation by Zach SmithLeave a Comment

Is a summons issued by the IRS to examine books, records or other data in the custody or control of a foreign related party enforceable? The Internal Revenue Code provides the IRS with a mechanism to summon such records in certain situations – or to effectively impose a penalty against the domestic reporting corporation (“DRC”) (defined below) for failing to …

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Litigating FBAR Penalties: The Burden of Proof and the Meaning of Willfulness

In Bank Secrecy Act, Defenses, FBAR, Tax Litigation, White Collar, Willfulness by Jason FreemanLeave a Comment

The recent case of United States v. Bohanec, 2016 U.S. Dist. LEXIS 170149 (Dec. 8, 2016) provides the latest glimpse into the world of FBAR penalty litigation. Among other things, the case looks at two interesting and important procedural issues: the meaning of willfulness and the burden of proof necessary to prove it. In Bohanec, the government asserted a penalty …

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The 10 Most Litigated Tax Issues of 2015

In Tax Litigation by Jason FreemanLeave a Comment

The Taxpayer Advocate recently issued her 2015 Report to Congress. As part of that report, the TAS is required to identify the ten tax issues most litigated in federal courts. See IRC § 7803(c)(2)(B)(ii)(X). Perhaps not surprisingly, there was not a significant change from last year’s list of the most litigated tax issues. (Note: For these purposes, “litigated” means cases …