One of the more difficult concepts of tax law is that for the most part, it is arbitrary. While there is some narrative that follows from the idea that tax is typically owed on "all income from whatever source derived," the devil is in the details and if you gaze on...

As an employer, one of your more important jobs is to properly determine if the individuals who work for you are employees or independent contractors. You probably know that employees bring with them a host of obligations for you as an employer. Payroll taxes and...

In most cases when a law enforcement agency wants information, it can use a summons, for instance, if it wants additional information from a taxpayer concerning details of their tax returns from specific years. A summons typically is issued by a court for an...

Last week, we looked at the factors the Tax Court uses to determine if compensation paid to employee/owners of a company qualify as "reasonable." In a case involving a concrete contractor, the court found that the five-factor test supported the company's...

When a company pays employees, it is presumed to some degree, that it pays them only enough to prevent them from leaving and going to work elsewhere. This equation changes when the company is controlled by the individual being paid. The IRS often suspects owners are...