It is generally common knowledge that, in America, citizens have the right to represent themselves in court. So if you are an executor for a will, it makes sense to think that you might not need to hire an attorney. However, this is not necessarily true. When probating a will, the estate and the executor…Continue…Continue readingIs An Attorney Needed to Probate a Will?
When estates are left behind, particularly large ones, there is often a dispute. Such is the case with the estate of the late Michael Jackson. Even though he left this earth over a decade ago, the value of aspects of his estate is just now being decided by the courts. Michael Jackson was undoubtedly one…Continue…Continue readingCourt Makes Ruling in Michael Jackson Estate Case
If you have a right to receive $1 in the future, is that right an asset? Our tax laws would generally say that it is. What if you cannot assign the right to receive the $1 and you cannot accelerate the payment? At what point is the right to receive the $1 not an asset…Continue…Continue readingCOD Income: Do You Count Pension Payments?
If you receive a tax refund and the IRS later asks you to repay the refund, what do you do? Do you keep the refund or repay it? This can be a very difficult question to answer. This is particularly true if you believe that you have a legitimate basis for and entitlement to the…Continue…Continue readingThe IRS’s Ability to Recoup Refund Checks
There are several issues that the IRS frequently challenges on audit. For individual taxpayers, this includes moving expenses. Taxpayers are entitled to deduct moving expenses. Our tax laws impose several limitations on what expenses can be deducted and when. The recent Doyle v. Commissioner, Docket No. 6532-20S (2021) case provides an opportunity to consider these…Continue…Continue readingUnpacking the Moving Expense Deduction
With a cash basis taxpayer, the general rule is that the taxpayer recognizes gross income when money is received. But what if the taxpayer holds money on account for others? This is a common practice. These transfers may include deposits, advances, etc. It can even include funds held in trust for the benefit of a…Continue…Continue readingAre Funds Advanced to Third Party Subject to Tax?
The IRS is quick to impose penalties. Many penalties are automatically imposed by the IRS’s computers. Even on audit, the IRS’s leadsheets direct IRS auditors to consider penalties before closing the audits. Most penalties can be abated if the taxpayer can establish reasonable cause. This is a facts and circumstances analysis. The courts have accepted…Continue…Continue readingFailure to Review Tax Return Voids Penalty Defense
The things we take for granted these days. If you are younger than me, you may not realize it but there was a significant change that happened in the 1990s. Personal computers were just starting to actually be useful in the workplace. The ability to type and use a 10-day calculator were sought after job…Continue…Continue readingUsing an Old NOL Carryforward
It is very difficult to run a business and to do so in full compliance with all of our laws. Having worked with thousands of business owners, the message is the same. Something always seems to give. If the business focuses on the operational side of the business to comply with industry regulations or to…Continue…Continue readingTax Debts & the Dissipated Asset
Muniment of title is an alternative to the probate process in Texas. It is cost-efficient. It is fast–relatively speaking. A Will is required. Instead of appointing you as the executor, the probate court enters an order distributing property according to the Will. And walla! But what if the story does not end there? What if…Continue…Continue readingProbate After a Muniment of Title