By Phil Karter In a recent TaxBlawg post, my colleague Jonathan Prokup discussed the IRS’ intention to begin requesting electronic files as part of taxpayer examinations so that it can analyze the “metadata” contained in those files. One of the concerns raised in the post, as announced in Chief Counsel Advice 201146017, was the possibility that [...]
Author Archive
Musings in the Aftermath of the First Schedule UTP Filing Season
December 8, 2011By Phil Karter As reported earlier this week in the tax press, the recently completed initial filing season for Schedule UTP produced at least one major surprise in the eyes of IRS officials, who had anticipated a much greater number of items listed on the average Schedule UTP than actually materialized. In fact, the IRS’s [...]
The Reporting Requirements for Deferred Tax Assets Under Schedule UTP: IRS Instructions Muddy The Waters
November 23, 2010By Phil Karter and Jonathan Prokup One of our readers recently emailed us with a question about the application of the new Schedule UTP to deferred tax assets. The question is straightforward enough: must uncertain positions involving deferred tax assets be reported on Schedule UTP and, if so, when must they be reported? The explanation, [...]
The Tax Workpapers Conundrum – Will “Justice” Kagan Accept What Solicitor General Kagan Opposed?
July 1, 2010By Phil Karter In Tuesday’s confirmation hearings for Supreme Court nominee Elena Kagan, one topic on which there appeared to be agreement between the nominee and the panel was concern about the dwindling number of cases heard by the High Court. In response to questioning from Senator Arlen Specter, Kagan had no explanation for the [...]
Squib Notes: Venerable “Kovel Rule” May Be Under New Attack
May 10, 2010By Phil Karter For almost 50 years, lawyers have relied on the “Kovel Rule” to extend the attorney-client privilege to non-testifying accountants or other business experts. The philosophy behind the rule, so named after the landmark case, United States v. Kovel, 296 F. 2d 918 (2nd. Cir. 1961), is to recognize “the complexities of modern [...]
Trust but Verify – Proposed Schedule UTP and the Implications to Attorney Work Product
April 20, 2010By Phil Karter Last week, at the TEI Midyear Conference in Washington, LMSB Commissioner Heather Maloy told corporate tax executives attending the conference that “trust” was the key to successfully implementing the new reporting requirements for uncertain tax positions first set forth in Announcement 2010-9. As reported in the April 14th edition of Tax Notes, [...]
Son of BOSS Case Highlights Ongoing Dispute Over Application Of The Valuation Misstatement Penalty
March 12, 2010By Phil Karter The recent decision in Bemont Investments, LLC v. United States, USDC E.D. Tex., No. 4:07-cv-00009 (March 9, 2010) is another burr in the IRS’s saddle when it comes to enforcement of the substantial valuation and gross valuation misstatement penalties. These two penalties, particularly the 40% gross valuation misstatement penalty, are powerful weapons [...]
The Subliminal Message Underlying Announcement 2010-09
March 11, 2010By Phil Karter Predictably, there has been a good deal of consternation accompanying the release of IRS Announcement 2010-09, which continues the trend away from the Service’s traditional “policy of restraint” in seeking to uncover uncertain tax positions. The first chink in this long-standing policy of restraint was exhibited in Announcement 2002-63, where the Service [...]
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Phil Karter
Jonathan Prokup
David Shakow
George Connelly, Jr.
Buck Buchanan
David Bernard
Dustin Covello
Heather Pesikoff
Hale Sheppard
dustincovello
