United States Tax Court Petition

The majority of petitions filed with the United States Tax Court are submitted in response to a notice of deficiency issued by the Internal Revenue Service. This article provides information about filing a petition with the United States Tax Court for taxpayers in Ohio who are disputing an IRS determination.

When Can I File a Petition With the United States Tax Court?

There are multiple circumstances that allow a taxpayer to file a petition with the United States Tax Court, but the most common situation is after the IRS issues a notice of deficiency. When the IRS issues a notice of deficiency proposing an additional assessment of tax, the taxpayer has 90 days to file a petition with the U.S. Tax Court.

Under What Circumstances and When Does the IRS Issue a Notice of Deficiency?

A notice of deficiency is issued when the IRS determines that additional tax is due for one or more tax periods. Generally, the notice of deficiency follows an income tax audit.

For example, assume a taxpayer was audited for their 2023 income tax return. During the audit, the IRS examiner disallowed certain business expenses reported on Schedule C and certain itemized deductions on Schedule A. If the taxpayer and IRS cannot agree on the adjustments, the IRS will issue a notice of deficiency outlining the proposed disallowed expenses, adjustments to taxable income, and the resulting proposed tax, penalty, and interest. The notice states the deadline by which the taxpayer must file a petition with the United States Tax Court.

What Information Is Stated on the Petition Filed with the Tax Court?

A petition filed with the United States Tax Court generally includes:

• The name or names of the petitioner or petitioners
• The IRS action being disputed
• The date the notice of deficiency was issued and the city and state from which it was issued
• The tax years or periods being disputed
• Whether the case will proceed under small tax case or regular tax case procedures
• The reasons the taxpayer disagrees with the IRS determination
• The facts supporting the taxpayer’s position
  

The petition also includes general contact information such as the taxpayer’s name, address, phone number, and email address.

Are Any Other Documents Filed with the Petition?

Yes. In addition to the petition, the taxpayer must complete a statement of taxpayer identification containing their name and Social Security number, which does not become part of the public court record. A request for venue must also be completed. The taxpayer must attach a copy of the notice of deficiency or other applicable IRS notice to the petition.

Can One Petition Include Multiple Tax Years or Periods?

Yes. If the notice of deficiency includes adjustments for multiple tax years or periods, the taxpayer may include all of those periods in a single petition filed with the Tax Court.

What Happens After the Petition Is Filed?

After the petition is filed, the IRS generally has 60 days to file an answer with the Tax Court responding to the petition. In its answer, the IRS may admit or deny the statements made by the taxpayer.

An appeals officer is typically assigned to work toward a pre-trial resolution between the taxpayer and the IRS. The taxpayer may provide documentation and additional information to support their position. If an agreement is reached, updated tax calculations and decision documents are prepared and filed with the court to resolve the matter.

If you are being audited by the IRS or have received a notice of deficiency, it is highly recommended that you speak with a tax attorney. A tax attorney can assist with the legal and procedural aspects of filing a United States Tax Court petition and work toward resolving the matter. You can contact The McGuire Law Firm to speak with a Columbus tax attorney serving clients throughout Ohio regarding IRS audits and Tax Court matters.