Lynn Nichols Federal Tax Update Podcast

May, 03 2019, Episode 39

Listen as Lynn Nichols provides commentary on 4 Items pertaining to current developments in U.S. tax law.

1. IRS Official: Good Recordkeeping Protects Against Bad Clients

Documentation can save practitioners whose clients ignore their advice and apply for tax-exempt status, even when they know they don’t qualify, according to an IRS Office of Professional Responsibility official.

[Tax Notes Today; 4/29/2019, Article by Kristen Parillo]

1. IRS Grants Tax Exemption to Massachusetts-Based Satanic Temple  

The Satanic Temple, a self-described nontheistic religious satanic organization based in Massachusetts, has been recognized as a church and granted tax-exempt status by the IRS.

[Tax Notes Today; 4/29/2019, Article by Paige Jones]

1. Tenth Circuit Affirms Liability for Penalty for Overvaluing Easement

The Tenth Circuit affirmed a Tax Court decision that held a couple liable for a gross valuation misstatement penalty for overstating the value of a conservation easement donation and that held they weren’t entitled to deductions under section 1341 for the repayment of proceeds they received for the sale of state tax credits.

[John L. Roth; CA 10, No. 18-9006, 4/29/2019]

1. Collection Action Sustained Against Food, Wine Festival Operator

The Tax Court held that an IRS settlement officer didn’t abuse her discretion in rejecting a hospitality management company’s proposed installment agreement and sustaining the proposed collection action for $1.4 million in tax liabilities, finding that the company wasn’t in compliance with its current employment tax deposit obligations.

[Coastal Luxury Management Inc.; No. 24206-16L; T.C. Memo. 2019-43, 4/29/2019]

Extended notes coming soon.