Anatomy of a Civil Tax Controversy (Video) (Course Id 2679)

• Who is this course for?
  This course is designed for anyone needing Continuing Professional Education (CPE), particularly CPAs, accountants, and IRS Enrolled Agents involved in tax practice.

• What is this course about or what problem does this course solve?
  The course addresses the stages and intricacies of a civil tax controversy, including IRS audits, appeals, and legal protections like attorney-client privilege, helping professionals manage high-stakes tax examinations.

• How can the knowledge from this course be used?
  Learners can use the knowledge to guide clients through IRS audits, understand the appeals process, navigate legal and ethical pitfalls, and utilize collection resolution tools effectively.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  It equips tax professionals with crucial strategies and legal insights for defending clients during civil tax audits and appeals, which is essential for effective tax representation.

• When is this course relevant or timely?
  This course is relevant when dealing with active or potential IRS civil tax examinations, appeals, or collection actions, especially when criminal tax issues may be present.

• How is a course like this consumed or used?
  The course is delivered as a QAS self-study video program, including review questions and a final exam, and can be completed online at the learner’s convenience.

There is a certain rhythm to the audit process, and it’s a very scary beat. In this presentation, I'll discuss the steps that most examinations begin and end with. We'll discuss eggshell audits, those audits where unbeknownst to the IRS at the start of the examination, the taxpayer has major criminal problems and what you can do to help shepherd your client through the pending storm. We'll also discuss the attorney-client privilege in the tax realm as well as the necessity to retain a Kovel accountant when there are underlying criminal tax issues that are lurking. Finally, we'll take a short digression into IRS Appeals.

Video - NASBA QAS - NASBA Registry - IRS Enrolled Agents - 2679

Course Learning Objectives

1. What are the primary steps involved in the IRS audit process, and how can taxpayers prepare for each stage?
2. In what ways does the Appeals process maintain its independence from the IRS compliance function, and why is this independence critical?
3. How do the ex parte communications rules impact the interaction between Appeals and compliance during a tax controversy?
4. What criteria must be met for Appeals to raise new issues during the appeals process, and why are these criteria significant?
5. How does the Appeals process balance the need for efficient tax collection with the taxpayer’s concerns regarding the intrusiveness of collection actions?
6. What are the implications for a taxpayer if an agreement is not reached during the Appeals process, particularly regarding the subsequent steps they must take?
7. How can taxpayers effectively raise issues during the Appeals process, and what types of issues are considered relevant by Appeals employees?
8. In what ways can the legal and factual hazards of litigation influence the decision-making process of Appeals employees?
9. What roles do the IRS Chief Counsel and Appeals team manager play in the resolution of tax controversies, and how do their responsibilities differ?
10. What strategies can taxpayers employ to prepare for a potential Tax Court petition following a notice of deficiency?
11. How does the IRS's collection methods, such as installment agreements and offers in compromise, provide options for taxpayers facing tax debts?
12. What lessons can be learned from the case of U.S. v. KPMG regarding the limitations of attorney-client privilege in the context of tax advice?

Chapter 1 - Anatomy of a Civil Tax Controversy

Chapter 1 Review Questions