Life happens. We all experience it. There are times when life events can result in tax returns being filed late. Our tax laws offer little in way of leniency when this happens. The IRS will assess late filing penalties. Worse yet, amounts that were already timely paid to the IRS may not be refunded to……
TX-LW Blogs
How to Admit a Will to Probate to Prove Muniment of Title
In Texas, there are two ways to admit a will to probate: muniment of title and regular probate. Muniment of title is the simpler of the two procedures and is typically used when the deceased person’s estate is small or when there is no dispute over the will. Muniment of Title is the process of…
S Corporation: Distribution of Appreciated Assets
Those who set up S corporations usually do so as their accountant told them that it could save taxes. This is often true. The S corporation can result in tax savings. This may include the standard reduction in self-employment/payroll taxes or, for more advanced tax planning, income taxes. The ability to freeze the value of……
What Presumptions Do Probate Courts Make Regarding Language in a Will?
In Texas, as in other states, a testator – the person who made the will – must be of “sound mind” to make a valid will. This means that the testator must understand that he or she is making a will, knows the natural objects of his or her bounty, and understand the disposition he…
Producing Tax Records on the Day of Trial
If you are litigating a case with the IRS in the U.S. Tax Court, can you fail to produce records and then show up with them for the first time on the day of trial? The answer to this question is a clear “no” in most courts as this type of conduct is unfair to……
What are 3 ways testators can bequest something in their Texas Will?
When you create a will, you have the opportunity to specify how your belongings will be distributed after you pass away. This is called a bequest. In Texas, there are three ways to make a bequest in your will: specific, demonstrative, or by residuary. Specific bequests are when you leave a specific item to someone…
Pay IRS Estimated Tax Prior to Filing Bankruptcy
Taxes incurred just prior to filing bankruptcy are not dischargeable in bankruptcy. The debtor will have to pay these taxes or work out a collection alternative with the IRS for these taxes. This raises the question as to whether a debtor can basically pay the IRS estimated payments to satisfy their income taxes for the……
Are Claims for Inheritance in Texas Probate Court Barred by Statute Even for Adopted Children?
The Texas probate court system is designed to protect the rights of heirs and beneficiaries after the death of a loved one. But what happens when someone tries to make a claim for inheritance after the statute of limitations has expired? In this blog post, we will explore the law around claims for inheritance in…
Court Says IRS Issuing Six Summonses is Not Bad Faith
The IRS has a lot of power. This power stems from the broad Congressional grant of authority to examine books and records to enforce our tax laws. Since taxes impact every individual and business for every transaction (and even inactions), this allows the IRS to audit and inquire into just about anything it wants to.……