Tax Return Position Paper

Tax Return Position Paper

ACC/455

Tax Return Position Paper

Tax law can be hard to decipher, but know the proper places to look for regulations and findings can help in the understanding of the laws. There are several sources to look up tax laws as well as several ways that courts interrupt the laws. Knowing which avenues to research these topics can cut down on some of the hassle in understanding and interpreting the tax laws, and help determine which courts will be more favorable to different tax situations.

The Internal Revenue Code is one of the primary sources for tax law. Under the Code, tax laws and statutes are arranged by subject and are listed under title 26 of the United States Code. Although it is the most authoritative code, the United States Code is not very popular because of its complexity. Treasury Regulations are interpretations of the tax codes and are listed in the Internal Revenue Bulletin or the Cumulative Bulletin once the Final Treasury Decisions are determined (Karlin, 2006).

Another primary source for tax law is to look through Tax Law Court Cases. These cases can give further insight into the tax laws that are not otherwise defined in the Internal Revenue Code or Treasury Decisions. The three types of courts that hear tax law cases are the U.S. Tax Court, the U.S. District Court, and the U.S. Court of Federal Claims. The majority of cases are filed through the U.S. Tax Court because these cases the taxpayer does not have to settle before the court date; rather the amount is settled once the case has been resolved. With the other two courts, the amount would have to be paid before filing with the courts. One benefit of a case that is filed with the U.S. District courts is a trial by jury. This is the only court of the three that provides the jury option. The least popular court is the U.S. Court of Federal Claims because it does not offer the jury and the amount of dispute must be settled prior to filing with the court. Cases...