Acc 455 Tax Law Research Paper
Tax Return Position Paper
ACC/455
Tax Law Tax laws come from several sources and each source has a particular amount of rein over the laws conducted. Sources, such as the IRC, have a defined amount of say in the laws and the consequences. The way a law is interpreted and applied is also a very large part of tax law. Tax research is how tax laws are defined and followed for individual facts (Anderson, Pope & Kramer 2010)
Sources of Tax Law The primary and secondary sources of tax law are the Internal Revenue Code, United States Tax Court, United States district courts, Court of Federal Claims, federal circuit courts, United States Supreme Court, Treasury Regulations, Internal Revenue Bulletin, Revenue rulings, Revenue Procedures, …show more content…
The Internal Revenue Code, Title 26 of United States Code, was first created in 1939 and was redefined in 1954. Changes made to the IRC replace old information so it is always currently defined what the laws are. This is the main source of tax law. Treasury Regulations are decisions made which can illustrate the IRC. There are proposed, temporary, and final regulations. Proposed regulations are proposed but not made final, temporary regulations are the process of making a proposal final, and have less authoritative weight, than final regulations which are the final regulation. If laws are undetermined by the IRC and the Treasury Department hearings go to court. U.S. Tax Court, U.S. Court of Federal Claims and U.S district courts are the choices of presenting litigation in which laws are interpreted …show more content…
The IRS makes rulings that are not as authoritative as Treasury Regulations and court cases. These IRS rulings do not have to be followed if there is substantial authority in one of the main sources of tax law such as the IRC, court cases and proposed, temporary, and final regulations. If found the individual is liable for the tax, there is no penalty, but there is retroactive interest involved (Tarlton Law, 2009).
Interpretation and Application A tax law starts the legislation process in the House of Representatives. A proposal is formed into a bill that goes the House of Ways and Means Committee that reviews all tax legislation. Once approved by House of Ways and Means it is voted on by the full House of Representatives. After approval of the House of Representatives the bill goes to the Senate Finance Committee and if passed is voted on by the full Senate. The president is the final one to make the bill a tax law (Anderson, Pope & Kramer 2010). Courts and the IRS interpret and apply the IRC and Treasury Regulations by Revenue Rulings, Revenue Procedures and Letter Rulings. Rulings made in practice can help a court apply individual situations and current laws when not specifically defined in the IRC. Revenue Procedures are the current procedures that are being followed and adhere to tax codes, laws, and
ACC/455
Tax Law Tax laws come from several sources and each source has a particular amount of rein over the laws conducted. Sources, such as the IRC, have a defined amount of say in the laws and the consequences. The way a law is interpreted and applied is also a very large part of tax law. Tax research is how tax laws are defined and followed for individual facts (Anderson, Pope & Kramer 2010)
Sources of Tax Law The primary and secondary sources of tax law are the Internal Revenue Code, United States Tax Court, United States district courts, Court of Federal Claims, federal circuit courts, United States Supreme Court, Treasury Regulations, Internal Revenue Bulletin, Revenue rulings, Revenue Procedures, …show more content…
The Internal Revenue Code, Title 26 of United States Code, was first created in 1939 and was redefined in 1954. Changes made to the IRC replace old information so it is always currently defined what the laws are. This is the main source of tax law. Treasury Regulations are decisions made which can illustrate the IRC. There are proposed, temporary, and final regulations. Proposed regulations are proposed but not made final, temporary regulations are the process of making a proposal final, and have less authoritative weight, than final regulations which are the final regulation. If laws are undetermined by the IRC and the Treasury Department hearings go to court. U.S. Tax Court, U.S. Court of Federal Claims and U.S district courts are the choices of presenting litigation in which laws are interpreted …show more content…
The IRS makes rulings that are not as authoritative as Treasury Regulations and court cases. These IRS rulings do not have to be followed if there is substantial authority in one of the main sources of tax law such as the IRC, court cases and proposed, temporary, and final regulations. If found the individual is liable for the tax, there is no penalty, but there is retroactive interest involved (Tarlton Law, 2009).
Interpretation and Application A tax law starts the legislation process in the House of Representatives. A proposal is formed into a bill that goes the House of Ways and Means Committee that reviews all tax legislation. Once approved by House of Ways and Means it is voted on by the full House of Representatives. After approval of the House of Representatives the bill goes to the Senate Finance Committee and if passed is voted on by the full Senate. The president is the final one to make the bill a tax law (Anderson, Pope & Kramer 2010). Courts and the IRS interpret and apply the IRC and Treasury Regulations by Revenue Rulings, Revenue Procedures and Letter Rulings. Rulings made in practice can help a court apply individual situations and current laws when not specifically defined in the IRC. Revenue Procedures are the current procedures that are being followed and adhere to tax codes, laws, and