TIGTA Must Disclose More About Investigation Of Possible IRS Release Of Koch Industries Return Information
The trope is that S corporation status when it was created in the sixties was meant to provide relief to “small” businesses
Qualification to be an S corporation, though, is based on who can be a shareholder and how many shareholders there are. It strikes some people as altogether wicked that a large company with few shareholders could use this break meant for little people. If someone has that mindset and they start thinking about who is likely to have executed this perfectly legal, but altogether wicked, strategy the Koch brothers, would likely be on their short list, since they loom rather large in the consciousness of the Left. The Koch brothers play a role for the Left, similar to what our Kenyan born Muslim president, who cannot salute properly and plays too much golf, plays for the Right.
Seventh Circuit Allows Do-over On Tax Court Stipulations For Deceived Taxpayers
Mr. Shamrock and Ms. Bigg had filed a petition with the Tax Court, pro se, disputing a $170,000 notice of deficiency. They hired Grant Niehus to represent them before the IRS and Tax Court. Mr. Niehus represented himself as being a lawyer and a CPA. It turned out that even though he had been to law school, he had not been authorized to practice law since 2009 and he was not a CPA at all.
Mr. Niehus had negotiated stipulations that included an agreement to take only 50% of a $435,751 deduction for real estate losses. After signing the stipulations, Mr. Shamrock and Ms. Bigg learned of the deception. They hired Sheldon Drobny as their representative. Mr. Drobny was a CPA and authorized to practice before the IRS and the Tax Court. Mr. Drobny requested that the stipulation be set aside.
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Over and over again courts have said that there is nothing sinister in so arranging one’s affairs as to keep taxes as low as possible. Everybody does so, rich or poor; and all do right, for nobody owes any public duty to pay more than the law demands: taxes are enforced exactions, not voluntary contributions. To demand more in the name of morals is mere cant.