Pre- Tax Court hearing

bobm

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Several months ago my wife did an IRS tax audit of a couple that had good paying jobs and used their farming activity of raising "heritage cattle" ( the photos of the cattle that they showed my wife at their audit showed cattle in pretty sad state of condition and not worth cull prices at auction ) as a business deduction. The result was that their cattle operation was declared a hobby as they never made a profit in 10 years and were assessed just over $20,000 in tax liability + penalties + interest for 2017 and 2016. The couple filled to go to tax court. Yesterday, tax payers and their tax preparer, my wife , the IRS regional director, two Revenue agents, and a tax court officer had a pre- hearing for the tax court. After hearing the evidense, the tax court officer asked the tax payers if they wanted to proceed with the Tax Court case, and after about 20 minutes with consulting with their tax preparer representative,( the tax rep explained to the couple that their objection to tax ruling is without merit and that they would probably be assessed for back taxes for the full 10 years of tax liability by the Tax Court Judge ) they agreed to the original tax liability and to pay it in full
 

Rammy

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What some people try to do to screw over Uncle Sam. Hope those poor cows got taken away from them.
 

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