Fighting the IRS in Tax Court

They are human, as well – IRS auditors. Sure, we want to think that they are cold, heartless people, and a few of them may seem like that at times. But more essentially, they're people who can also commit mistakes. If they committed a mistake and won't listen to the facts you present, you might have to take the IRS to court. What now? What court do you take them to? How do you do it? Will this cost you money?

If you cannot agree with the IRS on a resolution, you'll receive a Notice of Deficiency. This generally states that you have 90 days to file a petition against the resolution in Tax Court. It's best to make your move at once if you don't want the IRS to triumph and you do not want to pay your tax debt because extensions and appeals are not entertained after ninety days. You might be able to sue them later and receive a refund, but only after you would have paid for the tax debt. 

The U.S. Tax Court was established in 1923. The 19 judges that compose it are all experts in tax law. They routinely travel all over the country to deal with tax litigation. If the IRS committed a mistake, these judges have the final word.

The U.S. Tax Court is the only court that will take your case before you settle the disputed taxes, that's why numerous people pick it. In other courts, the taxes have to be paid first before the case can be heard. For those who are unable to pay their tax debts, they won't be able to be seen at any of the other courts. This is also the court you wish to hear your case if you are basing your case on technical facts and details of the tax code. These nineteen judges are authorities in IRS issues and understand all the tax law details. 

If your case is about the fairness of the IRS or something ambiguous like that, it's more appropriate to have it addressed before the U.S. District Court, instead of the Tax Court. A jury of your peers will make the verdicts, and they will be more likely to sympathize. Tax disputes are also addressed by other courts. However, it's still best to file your taxes the proper way to prevent IRS problems entirely.

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