Originally enacted on July 4, 1966, the Freedom of Information Act established a statutory right of public access to Executive Branch information held by the federal government. The FOIA provides that any person has a right,...more
The U.S. Congress passed the Tax Cuts and Jobs Act (TCJA) in late 2017, substantially overhauling the Internal Revenue Code of 1986. The TCJA highlighted the importance of several often-overlooked provisions in the Tax Code....more
Freeman Law’s “The Tax Court in Brief” covers every substantive Tax Court opinion, providing a weekly brief of its decisions in clear, concise prose.
Tax Litigation: The Week of October 4 – October 8, 2021 -
Crim v....more
A fiduciary’s failure to disclose material facts to beneficiaries may violate their fiduciary duties. A recent Texas court’s decision outlines the fiduciary’s risks that come with the obligation to disclose....more
Can you be held liable for a tax liability owed by another taxpayer? Yes, under certain circumstances. The IRS uses fraudulent transfer law and “transferee” liability tools to collect unpaid taxes where a taxpayer has...more
12/8/2021
/ Criminal Liability ,
Department of Justice (DOJ) ,
FDCPA ,
Fraudulent Transfers ,
Income Taxes ,
IRS ,
Tax Liability ,
Tax Liens ,
Tax Planning ,
Transfer of Assets ,
Transferees ,
UFTA
The recent Tax Court opinion in McNulty v. Commissioner, 157 T.C. No. 10 (2021) addressed whether distributions from a purported self-directed IRA were taxable. The Court also took up the question of whether tax penalties...more
Over the past few years, cryptocurrencies such as Bitcoin and Ethereum have received the lion’s share of attention from crypto enthusiasts and investors, sending the price of these coins to new highs. The price of...more
We frequently utilize the Freedom of Information Act (“FOIA”) as a tool for our clients. The FOIA, subject to several exceptions and exclusions, generally provides that any person has the right to request access to federal...more
The federal False Claims Act is intended to protect the government from fraudulent claims against federal programs. The federal government utilizes the False Claims Act to prosecute attempts to commit fraud against the...more
On August 10, 2021, the U.S. Senate passed a $1 trillion infrastructure bill after months of negotiations. Tucked away within the sweeping legislation are measures that would extend Form 1099-B and cost basis reporting...more
11/15/2021
/ 1099s ,
Bitcoin ,
Blockchain ,
Cryptocurrency ,
Digital Assets ,
Ethereum ,
IRS ,
Non-Fungible Tokens (NFTs) ,
Reporting Requirements ,
Software Developers ,
U.S. Treasury
The U.S. Supreme Court recent decision in Van Buren v. United States significantly impacts the scope of the Computer Fraud & Abuse Act (“CFAA”). The case carries implications for computer fraud prosecutions, employee abuse...more
Tax Litigation: The Week of September 27 – October 1, 2021 - Whistleblower 14377-16W v. Comm’r, T.C. Memo. 2021-113 | September 27, 2021 | Halpern, J. | Dkt. No. 14377-16W -
Short Summary: The whistleblower brought a...more
Defending a Hobbs Act Violation – 18 U.S.C § 1951 -
The Hobbs Act, codified at 18 U.S.C § 1951, is a federal law that was enacted in 1946. It was originally used to curtail racketeering in labor disputes, which was a...more
A corporation operates through its board of directors. All corporate powers must be exercised by or under the direction of the board. In Texas, the Texas Business Organizations Code (TBOC) provides certain provisions...more
Corporate officers and directors owe a fiduciary duty to the corporation that they serve, and they can be held liable if they breach that fiduciary duty. Fiduciary duties are not codified in the Texas Business Organizations...more
Tax Court Litigation: The Week of September 20 – September 24, 2021 -
Daniel Omar Parker and Chantrell Antoine Parker v. Comm’r, No. 13231-19, T.C. Memo 2021-111 | September 23, 2021 | Lauber | Dkt. No. 13231-19 -...more
When is a protective refund claim available? Taxpayers often face uncertain outcomes in litigation or business transactions, giving rise to contingent tax refund claims. For example, if a pending lawsuit ends in a favorable...more
A recent IRS Criminal Investigation press release announced an indictment against a businessman charged with defrauding the United States by not disclosing offshore assets, failing to report income to the IRS, and submitting...more
11/5/2021
/ Criminal Investigations ,
Department of Justice (DOJ) ,
FBAR ,
Foreign Bank Accounts ,
Income Taxes ,
Indictments ,
IRS ,
Offshore Funds ,
Tax Crimes ,
Tax Evasion ,
Tax Returns ,
Wire Fraud
It happens occasionally that business associations arise from existing relationships. Perhaps relatives create a family business. Friends open a store together. Neighbors come together to bring a new product or service to...more
When an interested party contests the capacity of the testator, what standard do courts use to determine the validity of a will? The recent case of Neal v. Neal provides insight. In that case, following her diagnosis of...more
Counterfeit and Illicit Labels Under Section 2318 -
Much like the Copyright Act, 18 U.S.C. § 2318 is a criminal statute designed to protect creative works. It prohibits knowingly trafficking in counterfeit or illicit...more
Tax Court Litigation: The Week of September 13 – September 17, 2021 -
Donna M. Sutherland v. Comm’r, No. 3634-18, T.C. Memo 2021-110 | September 16, 2021 | Lauber | Dkt. No. 3634-18 -
Short Summary: This is an...more
11/2/2021
/ Business Taxes ,
Criminal Investigations ,
Employment Tax ,
Income Taxes ,
IRS ,
Joint and Several Liability ,
Joint Tax Returns ,
Spouses ,
Tax Court ,
Tax Liability ,
Tax Returns
When does a copyright violation rise to the level of criminal copyright infringement? We address this issue below. Federal prosecutors have a number of statutory tools available to combat this common white-collar crime. In...more
The False Claims Act (FCA) was passed by Congress during the Civil War to punish defense contractors for fraud. Under the FCA, a government contractor who submits fraudulent invoices or induces the government to grant a...more
Tax Court Cases: The Week of August 30 – September 3, 2021 - Karson C. Kaebel v. Comm’r, No. 16171-18P, T.C. Memo 2021-109 | September 9, 2021 | Halpern | Dkt. No. 16171-18P - Tax Dispute Short Summary: This case focuses on...more
10/8/2021
/ Corporate Taxes ,
Deficiency Notices ,
Income Taxes ,
Internal Revenue Code (IRC) ,
International Tax Issues ,
International Travel ,
IRS ,
Tax Court ,
Tax Deductions ,
Tax Liability ,
Tax Returns