helpful info here...

ARENA. That's probably the best description I can give you.

Whenever the IRS sends you a notice about whatever, you're "under the magnifying glass. You've got the bull's attention!"

Be assured, if you ignore that brown envelope sent to you someone will come knocking at your door to ask why you have not replied!

The tax laws can be looked at as shades of gray. It all depends on your comfort zone but you really do not want to stray too far from either side of the gray area between the dark "black" and the IRS position of absolutely "white".

Thus, there is an area of the tax laws that you do not want to overstep at any time. Taking your family dog as a deduction or electing to be taxed as head of household when you do not qualify etc. These are what I call the black areas of the tax law. You're headed for big trouble!

The other area is where the IRS has one opinion about a deduction or how to report income but the Tax court cases and other substantial authority weigh against them!! Yeah, this is where we separate the men from the boys (and the women from the girls). This is the gray area of the law where all the so-called loopholes that you are constantly hearing about exist.

Our job is to be you advocate. To provide sufficient evidence to the IRS that your way of looking at the transaction is the correct one. It can end up as one heck of a battle. But there is a referee, the Appeals Division of the IRS.