Awards & Recognition
The Tax Law Offices of David W. Klasing
Many taxpayers are intimidated by the prospect of facing a tax audit or even receiving an IRS notice. However, when the Internal Revenue Service makes an error as to the facts or law at issue in your audit, it is important to speak out and exercise your rights as a taxpayer. These rights enable you to dispute an IRS tax assessment or, alternately, seek a refund for improper payments that you have already made. By strategically filing a claim or lawsuit against the IRS, you may gain an invaluable opportunity to avoid or repair financial losses caused by the government’s all to frequent self-serving mistakes.See our IRS Appeals Q and A Library See our Tax Litigation Q and A Library If you wish to dispute an IRS notice of deficiency, or if you believe that the IRS owes you a refund for payments you should not have been required to make, it is wise to discuss the situation with an experienced IRS tax litigation attorney in Bakersfield, CA. Drawing on more than 20 years of accounting knowledge and tax controversy experience, the award-winning Bakersfield tax lawyers and CPAs at the Tax Law Office of David W. Klasing are prepared to litigate your tax matter tactically, aggressively, and effectively. Whether we are representing a small family business, a corporation with thousands of shareholders, or a resident of the Bakersfield area, our federal tax litigation attorneys deliver finely tuned, solutions-oriented counsel for complex tax controversies.
Most importantly, if you are not likely to benefit from tax litigation, we will tell you that from the outset of our relationship with you. See the testimonials section of our website to see proof of our long track record of tax litigation success. We simply do not bring litigation that you are not likely to win!
What Are Some Reasons a Taxpayer Might Sue the IRS?
There are two tax scenarios in which the plaintiff, or taxpayer, has the greatest chance of prevailing against the government. These scenarios, noted here, are as follows:
- Filing a refund suit against the IRS
- Filing a deficiency suit against the IRS in response to a statutory notice of deficiency (90-day letter)
How do these differ, and what does each mean? Continue reading for a comparison.
Filing an IRS Refund Suit
This scenario starts when the IRS determines that the taxpayer owes additional taxes, penalties, or interest. The taxpayer makes the requested payment in full, but later determines that he or she was either overcharged or should not have been charged at all.
In an effort to obtain a refund for the improper payment, the taxpayer files a refund claim. If the IRS still refuses to issue a refund after reviewing the taxpayer’s refund claim, he or she may proceed to file a refund suit after either (1) six months have elapsed, or (2) the IRS sends the taxpayer a “Notice of Disallowance” (i.e. denial of the claim). In short, a refund suit is a lawsuit to recover compensation for payments that should not have been made to the IRS.
For a comprehensive overview of this process, refer to our discussion of the requirements to litigate a refund claim in Federal Claims or District Court.
Filing an IRS Deficiency Suit
This scenario begins the same way: the IRS determines that the taxpayer owes additional taxes, penalties, and/or interest, perhaps at the conclusion of an IRS audit. However, instead of making the payment and seeking a refund later (as discussed in the scenario above), the taxpayer in this scenario disputes the deficiency from the outset.
To dispute the deficiency that he or she allegedly owes the IRS, the taxpayer must file a petition for redetermination with the U.S. Tax Court in Washington, D.C. However, most cases of this nature – upwards of 95% – are ultimately referred to the IRS Appeals Division, at which point the goal becomes obtaining a favorable settlement. Settlement discussions are handled by either the Appeals Division, IRS District Counsel, or the Tax Division of the Department of Justice (DOJ), depending on legal timelines and many other factors.
For in-depth information about these types of cases, refer to our discussion of the requirements to litigate Tax Court deficiency actions.
Bakersfield Federal Tax Litigation Lawyers Serving Southern California
If your tax controversy cannot be resolved satisfactorily through the IRS appeals process, it may become necessary to litigate the matter in the appropriate federal court, whether that is the U.S. Tax Court, the U.S. Court of Federal Claims, or one of the nation’s various federal District Courts. The Bakersfield tax litigation attorneys at the Tax Law Office of David W. Klasing have a strong track record, forged over decades, successfully representing taxpayers in numerous venues, including LLCs, high net-worth individuals, corporations, estates, trusts, and nonprofit organizations.
When you need reliable counsel regarding a high-stakes, complex federal tax dispute, look to the Tax Law Office of David W. Klasing for an engaged and efficient legal approach. Contact us online today to arrange a reduced-rate tax consultation, or call our Bakersfield, CA office at (661) 432-1480.
Please note that meetings at our Bakersfield tax office are by appointment only.
IRS Tax Litigation + Controversy FAQs
The following FAQs may help to provide answers to your questions regarding a tax controversy. However, they are intended for informational purposes only and should not be construed as legal advice. If you need help resolving a dispute with the IRS, the prudent course of action is to contact a tax attorney for personalized guidance.
- What are my appeal options if I disagree with IRS?
- What discovery methods apply in federal tax litigation?
- What evidence does the IRS consider when scrutinizing a settlement agreement?
- Who can represent a taxpayer in the U.S. Tax Court?
- Who has the burden of proof in tax litigation?
Note: If you have concerns about the privacy of our initial or subsequent communication and are unable to easily travel to our Irvine / Orange County Main Office, consider scheduling a GoToMeeting to safely and securely establish an initial or maintain an existing attorney client relationship. With end-to-end encryption, strong passwords and top-rated reliability, no one is messing with your meeting. To schedule a reduced rate initial consultation via GoToMeeting follow this link. Call our office and request a GoToMeeting if you are an existing client. We are generally happy to travel to any of our appointment only satellite offices for a subsequent meeting in appropriate circumstances once a relationship is established via a signed engagement letter and the payment of an initial retainer or where enough retainer is available where a current client to cover the reasonable travel time and time required for the meeting.
Will it cost me more to hire the Tax Law Offices of David W. Klasing, who’s main office and the vast majority of the firm’s staff is located in Irvine California, but an appointment only Satellite office is close to my location, as opposed to a local company? Absolutely not! See our policies that address this issue here:
