In a highly-anticipated Technical Advice Memorandum (TAM) dated March 23, 2017 and released on July 21, 2017, the Internal Revenue Service (IRS) ruled that two taxpayers who had invested in a Limited Liability Company that owned and operated a refined coal facility (the LLC) were not entitled to refined coal production credits they had claimed because their investment in the LLC was structured “solely to facilitate the prohibited purchase of refined coal tax credits.” This analysis marks a departure from the position staked out by the IRS in a number of recent refined coal credit cases, which focused on whether taxpayers claiming refined coal credits were partners in a partnership that owned and operated a refined coal facility.
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Discovery in tax litigation can take many different forms, including informal discovery requests (in the US Tax Court), request for admissions, interrogatories and depositions. In addition to obtaining facts, litigants frequently want to know the legal authorities on which the other side intends to rely. Over the years, we have seen numerous requests, both during

One important feature of every audit is the request and collection of relevant taxpayer materials by the Internal Revenue Service (IRS). Such materials are typically collected through the rules and procedures associated with an Information Document Request (IDR).  However, for audits that involve the collection of foreign-based documentation, the Internal Revenue Code (Code) provides a modified set of rules under the Formal Document Request (FDR) procedures outlined in Code Section 982.
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