Federal Tax Research (with RIA Checkpoint and Turbo Tax Business)

by Raabe, William A.; Whittenburg, Gerald E.; Sanders, Debra L.

• ISBN13: 9780324306132
• ISBN10: 032430613X
• Edition: 7th
• Format: Hardcover
• Copyright: 2005-03-14
• Publisher: South-Western College/West

Summary

This market-leading tax research text takes a practical, hands-on approach that goes beyond a random sampling of tax research sources. Fully updated, FEDERAL TAX RESEARCH extensively covers computer-oriented research tools including CD-ROMs, the Internet and computerized databases. From its tax planning orientation to the real-life cases, this is one book that conveys a true understanding of the most important elements of the federal tax law.

Author Biography

Debra L. Sanders is a professor in the Washington State University School of Accounting, Information Systems and Business Law. Gerald E. Whittenburg is a Professor in the School of Accountancy at San Diego State University. William A. Raabe teaches graduate tax courses at the Fisher College of Business of The Ohio State University.

Table of Contents

Preface	xvi
Part 1: The Tax Research Environment	1	(78)
Introduction to Tax Practice	2	(43)
Elements of Tax Practice	4	(1)
Tax Compliance	4	(1)
Tax Planning	4	(1)
Tax Litigation	5	(1)
Tax Research	5	(1)
Rules and Ethics in Tax Practice	5	(20)
Circular 230	7	(6)
AICPA Code of Professional Conduct	13	(5)
Statements on Standards for Tax Services	18	(5)
Sarbanes-Oxley and Taxation	23	(1)
ABA Model Code of Professional Responsibility	24	(1)
Nonregulatory Ethics	25	(5)
Morality	25	(1)
Social Responsibility	26	(1)
Business Ethics	27	(1)
Tax Planning Ethics	27	(1)
Other Ethical Standards	28	(2)
Tax Research by Certified Public Accountants	30	(15)
Historical Developments	30	(2)
CPAs and Other Nonattorneys	32	(1)
Summary	32	(1)
Tax Tutor	33	(1)
Key Words	33	(1)
Discussion Questions	33	(4)
Exercises	37	(4)
Research Cases	41	(4)
Tax Research Methodology	45	(34)
Outline of the Tax Research Process	46	(12)
Step 1: Establish the Facts	47	(2)
Step 2: Identify the Issues	49	(3)
Step 3: Locate Authority	52	(3)
Step 4: Evaluate Authority	55	(1)
Step 5: Develop Conclusions and Recommendations	55	(1)
Step 6: Communicate the Recommendations	56	(2)
Overview of Computerized Tax Research	58	(21)
Benefits of Using a Computerized Tax Service	59	(2)
Factors in Choosing a Computerized Tax Service	61	(1)
Using a Computer in Tax Research	62	(1)
Step 1: State the Issue as a Question	62	(1)
Step 2: Identify the Keywords	63	(1)
Step 3: Construct a Computer Research Query	64	(1)
Step 4: Select a Database and Execute the Search	64	(1)
Step 5: Interpret and Refine the Search	65	(1)
IRS Web Site Research	66	(1)
Summary	66	(1)
Tax Tutor	67	(1)
Key Words	67	(1)
Discussion Questions	68	(3)
Exercises	71	(3)
Research Cases	74	(5)
Part 2: Primary Sources of Federal Tax Law	79	(108)
Constitutional and Legislative Sources	80	(35)
Sources of Federal Tax Law	81	(1)
History of U.S. Taxation	82	(2)
U.S. Constitution	84	(1)
Tax Treaties	85	(3)
The Legislative Process	88	(4)
Where to Find Committee Reports	90	(2)
Internal Revenue Code	92	(8)
Organization of the Internal Revenue Code	93	(3)
Where to Find the Internal Revenue Code	96	(4)
Interpreting the Internal Revenue Code	100	(15)
Summary	103	(1)
Tax Tutor	103	(1)
Key Words	104	(1)
Discussion Questions	104	(1)
Exercises	105	(6)
Research Cases	111	(4)
Administrative Regulations and Rulings	115	(30)
Regulations	117	(4)
Temporary Regulations	118	(1)
Effective Date of Regulations	118	(1)
Citing a Regulation	119	(1)
Assessing Regulations	120	(1)
Locating Regulations	121	(1)
Revenue Rulings	121	(3)
Revenue Ruling Citations	122	(1)
Locating Revenue Rulings	122	(2)
Revenue Procedures	124	(2)
Letter Rulings	126	(19)
Private Letter Rulings	126	(1)
Technical Advice Memoranda	127	(1)
Determination Letters	128	(1)
Public Inspection of Written Determinations	128	(1)
Written Determination Numbering System	129	(1)
Locating Written Determinations	129	(1)
Other IRS Pronouncements	129	(1)
Acquiescences and Nonacquiescences	130	(2)
Internal Revenue Bulletin	132	(1)
Chief Counsel Memoranda	132	(1)
Announcements and Notices	132	(2)
Miscellaneous Publications	134	(1)
Summary	135	(1)
Tax Tutor	136	(1)
Key Words	136	(1)
Discussion Questions	136	(3)
Exercises	139	(2)
Research Cases	141	(4)
Judicial Interpretations	145	(42)
Federal Court System	146	(23)
Legal Conventions	147	(3)
Tax Court	150	(9)
District Courts	159	(2)
Court of Federal Claims	161	(1)
Courts of Appeals	162	(4)
Supreme Court	166	(3)
Case Briefs	169	(1)
The Internet and Judicial Sources	170	(17)
Computer Tax Service Example	171	(1)
Summary	172	(2)
Tax Tutor	174	(1)
Key Words	175	(1)
Discussion Questions	175	(3)
Exercises	178	(2)
Research Cases	180	(7)
Part 3: Research Tools	187	(156)
Tax Services and Periodicals	188	(39)
Background for Electronic Tax Services	189	(1)
Illustrative Research Example	190	(2)
Approaching the Research Problem	190	(1)
Assessing Electronic Tax Information	191	(1)
RIA Checkpoint	192	(9)
Keyword Search	192	(5)
Contents Search	197	(2)
Cite Search	199	(2)
CCH Tax Research Network	201	(4)
Keyword Search	201	(3)
Cite and Contents Searches	204	(1)
Kleinrock	205	(1)
Tax Periodicals	206	(21)
Citing Articles	207	(1)
Types of Periodicals	207	(5)
Locating Relevant Tax Articles	212	(2)
Summary	214	(1)
Tax Tutor	214	(1)
Key Words	214	(1)
Discussion Questions	215	(2)
Exercises	217	(4)
Research Cases	221	(3)
Extensive Case	224	(3)
Legal Services and Internet Sites	227	(42)
Lexis	228	(8)
Selecting and Searching a Database	228	(5)
Documents	233	(2)
LexisNexis Academic	235	(1)
Tax Analysts	236	(4)
Research Library	237	(2)
Newsletters	239	(1)
Westlaw	240	(9)
Data and Access	241	(1)
Searching Westlaw	241	(5)
News & Business	246	(1)
Mertens Service	247	(1)
Bittker & Lokken Service	248	(1)
BNA	249	(2)
Portfolios	249	(1)
News Reports	250	(1)
Internet Sites	251	(18)
Summary	252	(2)
Tax Tutor	254	(1)
Key Words	254	(1)
Discussion Questions	255	(1)
Exercises	256	(5)
Research Cases	261	(3)
Advanced Cases	264	(2)
Extensive Cases	266	(3)
Citators and Other Finding Devices	269	(32)
Basic Research Goals	270	(1)
Citators	270	(31)
What Is a Citator?	270	(3)
Commercial Citators	273	(1)
Shepard's and Lexis Citation Services	273	(6)
Westlaw Citator System	279	(4)
RIA Citator	283	(5)
CCH Citator	288	(3)
Summary	291	(1)
Tax Tutor	291	(1)
Key Words	292	(1)
Discussion Questions	292	(2)
Exercises	294	(4)
Research Cases	298	(3)
State Tax Services	301	(42)
Importance of State and Local Taxes	302	(3)
Historical Perspective	305	(1)
Legal Perspective	306	(3)
Constitution	306	(1)
Public Purpose	306	(1)
Supremacy	306	(1)
Commerce	307	(1)
Due Process	307	(1)
Uniformity and Equal Protection	308	(1)
Privileges and Immunities	309	(1)
State Tax Structure	309	(5)
Legislative	309	(1)
Administrative	310	(2)
Judicial	312	(1)
Multistate	313	(1)
Illustrative Research Examples	314	(1)
RIA State and Local Service	314	(7)
Special Features	315	(2)
Keyword Search	317	(2)
Citation Search	319	(1)
Contents Search	320	(1)
CCH NetWork State Service	321	(6)
State Tab	322	(4)
Citation Search	326	(1)
Westlaw State Services	327	(3)
Find and KeyCite	327	(2)
Directory	329	(1)
Table of Contents	330	(1)
BNA State Services	330	(2)
Other Resources	332	(1)
Periodicals and Internet Sites	332	(11)
Journals	333	(1)
Newsletters	333	(1)
Internet Sites	334	(1)
Summary	334	(1)
Tax Tutor	335	(1)
Key Words	335	(1)
Discussion Questions	335	(2)
Exercises	337	(4)
Research Cases	341	(2)
Part 4: Implementing the Research Tools	343	(143)
Communicating Research Results	344	(31)
Communications and the Tax Professional	345	(3)
The Heart of Tax Research Communication: The File Memo	348	(3)
Evaluating the Sources of Law	351	(2)
Client Letters	353	(4)
Comprehensive Illustration of Client File	357	(3)
Oral Presentations of Research Results	360	(15)
Summary	365	(1)
Tax Tutor	365	(1)
Key Words	365	(1)
Tax Research Assignments	366	(1)
Problems	366	(3)
Research Cases	369	(3)
Advanced Cases	372	(3)
Tax Planning	375	(28)
Economics of Tax Planning, Avoidance, and Evasion	376	(3)
Tax Rate Terminology	379	(3)
Tax Base	379	(1)
Tax Rates	380	(2)
Tax Planning in Perspective	382	(1)
Fundamentals of Tax Planning	383	(7)
Avoiding Income Recognition	385	(2)
Postponing Income Recognition	387	(1)
Changing Tax Jurisdictions	387	(1)
Controlling Classification of Income	388	(1)
Spreading Income among Related Taxpayers	389	(1)
Departing from the Fundamentals	390	(1)
Exploiting Inconsistencies in the Statute	391	(2)
Inconsistencies between Transactions	391	(1)
Inconsistencies between Taxpayers	391	(1)
Inconsistencies between Years	392	(1)
Avoiding Tax Traps	393	(3)
Statutory Tax Traps	393	(1)
Judicial Tax Traps	394	(2)
Tax Planning Illustrations	396	(7)
Summary	398	(1)
Tax Tutor	398	(1)
Key Words	398	(1)
Exercises	398	(2)
Problems	400	(1)
Extended Cases	401	(2)
Working with the IRS	403	(32)
Organization of the Internal Revenue Service	404	(8)
IRS National Office	405	(3)
IRS Service Centers	408	(1)
Taxpayer Assistance Orders	409	(1)
Local Taxpayer Advocates	409	(3)
Taxpayer Rights	412	(1)
The Audit Process	413	(5)
Preliminary Review of Returns	413	(2)
Selection of Returns for Examination	415	(3)
Examinations	418	(6)
Correspondence Examinations	420	(1)
Office Examinations	420	(1)
Field Examinations	421	(1)
Dealing with an Auditor	421	(1)
Conclusion of Examination	422	(1)
Thirty-Day Letter	423	(1)
File a Protest or Go Straight to Court?	423	(1)
The Appeals Process	424	(11)
Appeals Conference	424	(1)
Ninety-Day Letter	425	(1)
Entering the Judicial System	426	(5)
Summary	431	(1)
Tax Tutor	431	(1)
Key Words	431	(1)
Discussion Questions	431	(2)
Exercises	433	(1)
Problems	433	(1)
Research Cases	434	(1)
Tax Practice and Administration: Sanctions, Agreements, and Disclosures	435	(51)
Taxpayer Penalties	436	(16)
Civil Penalties	437	(11)
Criminal Penalties	448	(4)
Penalties on Return Preparers	452	(6)
Definition of Return Preparer	452	(1)
Definition of Return Preparation	453	(1)
Preparer Disclosure Penalties	453	(1)
Preparer Conduct Penalties	454	(4)
Injunctions	458	(2)
Action to Enjoin Income Tax Return Preparers	458	(2)
Action to Enjoin Promoters of Abusive Tax Shelters	460	(1)
Interest	460	(4)
Interest-Computation Conventions	460	(4)
Applicable Interest Rate	464	(1)
Statutes of Limitations	464	(6)
Nature of Statutes of Limitations	464	(1)
Assessment	465	(2)
Collection	467	(1)
Claim for Refund or Credit	467	(2)
Suspension of Period of Assessment and Collection	469	(1)
Mitigation of Statute of Limitations	470	(1)
Statutory Agreements	470	(16)
Closing Agreements	470	(1)
Offers in Compromise	471	(1)
Summary	472	(2)
Tax Tutor	474	(1)
Key Words	474	(1)
Discussion Questions	474	(2)
Exercises	476	(2)
Problems	478	(3)
Research Cases	481	(5)
Appendix A: Time Value of Money Tables	486	(4)
Appendix B: Standard Tax Citations	490	(4)
Appendix C: IRS Circular 230	494	(31)
Glossary	525	(18)
Index	543