Kevin Spencer
Subscribe to Kevin Spencer's PostsKevin Spencer focuses his practice on tax controversy issues. Kevin represents clients in complicated tax disputes in court and before the Internal Revenue Service (IRS) at the IRS Appeals and Examination divisions. In addition to his tax controversy practice, Kevin has broad experience advising clients on various tax issues, including tax accounting, employment and reasonable compensation, civil and criminal tax penalties, IRS procedures, reportable transactions and tax shelters, renewable energy, state and local tax, and private client matters. After earning his Master of Tax degree, Kevin had the privilege to clerk for the Honorable Robert P. Ruwe on the US Tax Court. Read Kevin Spencer's full bio.
President Biden Announces IRS Chief Counsel Nominee
By Kevin Spencer and Sarah M. Raben on Jun 6, 2023
Posted In Uncategorized
On June 2, 2023, US President Joe Biden announced that he has picked Marjorie Rollinson as the Internal Revenue Service (IRS) Chief Counsel, the top attorney position at the IRS. Rollinson has had a distinguished career in tax service, both in the public and private sectors, and would be the first woman to serve in...
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IRS Appeals Is Looking for Suggestions on Improving Conference Access
By Kevin Spencer and Sarah M. Raben on May 12, 2023
Posted In IRS Appeals, IRS Guidance
The Internal Revenue Service (IRS) has invited suggestions on improving conference options at the Independent Office of Appeals (IRS Appeals) for taxpayers and representatives who are not located near an IRS Appeals office. Specifically, IRS Appeals is inviting comments on: Revising or replacing the “circuit riding” policy in IRM 8.6.1.5.1.1 to expand opportunities for timely...
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IRS Updates Its List of Compliance Campaigns
By Kevin Spencer and Sarah M. Raben on Apr 28, 2023
Posted In IRS Audits, IRS Guidance
The Internal Revenue Service’s (IRS) Large Business and International (LB&I) Division updated its list of Active Campaigns, which includes more than 50 efforts to increase tax compliance. Each campaign identifies the practice area, lead executive, a point of contact and a description or purpose for the campaign. Notable campaigns include the Micro-Captive Insurance Campaign, Virtual...
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Tax Court Tells IRS It Cannot Assess or Collect Certain Tax Penalties
By Daniel J. Bell, Steven Hadjilogiou, Sarah M. Raben and Kevin Spencer on Apr 26, 2023
Posted In Court Procedure Matters, IRS Guidance, Tax Refunds, Trial Courts
On April 3, 2023, the US Tax Court issued its opinion in Farhy v. Commissioner, holding that the Internal Revenue Service (IRS) lacked the statutory authority to both assess tax penalties under Internal Revenue Code (Code) Section 6038(b) and collect said penalties via a levy against the taxpayer. The decision in Farhy is significant because the IRS regularly...
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IRS Proposes New Regulations to Settle Supervisory Approval of Penalties Requirements
By Kevin Spencer and Sarah M. Raben on Apr 14, 2023
Posted In Appellate Courts, Court Procedure Matters, IRS Audits, IRS Guidance, Trial Courts
The Internal Revenue Service (IRS) has proposed regulations to clarify the rules regarding supervisory approval of federal civil tax penalties under IRC Section 6751(b). Since Chai v. Commissioner, there has been a substantial number of cases litigating issues involving supervisory approval of federal civil tax penalties. Back in September, we posted about the US Court of...
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Tax Court Rules That the IRS Cannot Assess or Collect Certain Tax Penalties
By Kevin Spencer, Daniel J. Bell and Steven Hadjilogiou on Apr 5, 2023
Posted In Court Procedure Matters, IRS Guidance, Tax Refunds, Trial Courts
On April 3, 2023, the US Tax Court issued its opinion in Farhy v. Commissioner, ruling that the Internal Revenue Service (IRS) could neither assess tax penalties under Internal Revenue Code (Code) Section 6038(b) against Alon Farhy nor collect those penalties via a levy. This is a significant development because the IRS automatically assesses these penalties on any late-filed Form...
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Senate Confirms New IRS Commissioner
By Kevin Spencer and Sarah M. Raben on Mar 13, 2023
Posted In Uncategorized
The US Senate has confirmed Daniel Werfel as the next commissioner of the Internal Revenue Service (IRS). The Senate voted 54-42, achieving bipartisan support for the nominee. Undoubtedly on top of Werfel’s priority list will be how to deploy the agency’s $80 billion in new funding provided by the Inflation Reduction Act of 2022. During...
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Supreme Court Punts on Attorney-Client Privilege Question
By Kevin Spencer, Sarah M. Raben and McDermott Will & Emery on Feb 2, 2023
Posted In Appellate Courts, Court Procedure Matters, IRS Audits, Privilege and Non-Disclosure, Trial Courts
In a surprising move, the Supreme Court of the United States (SCOTUS) dismissed a dispute involving the proper test to apply when determining whether an unnamed law firm’s mixed bag of communications involving both legal advice and discussions of tax preparation was privilege. The dismissal came less than two weeks after oral arguments, with SCOTUS stating...
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IRS Finalizes New Schedule UTP and UTP Instructions
By Kevin Spencer and McDermott Will & Emery on Dec 23, 2022
Posted In IRS Guidance, Tax Refunds
On December 22, 2022, the Internal Revenue Service (IRS) finalized changes to Schedule UTP, Uncertain Tax Position Statement, and Instructions for Schedule UTP. Proposed changes to Schedule UTP and the UTP Instructions were announced on October 11, 2022, with comments requested by November 18, 2022. Our prior coverage of the proposed changes and comments can...
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Tax Court Holds That Deficiency Petition 90-Day Time Limit Is Jurisdictional
By Kevin Spencer, Sarah M. Raben and McDermott Will & Emery on Dec 1, 2022
Posted In Appellate Courts, Court Procedure Matters, Trial Courts
Last summer, the Supreme Court of the United States held that the 30-day time limit to file a Collection Due Process (CDP) petition is a non-jurisdictional deadline subject to equitable tolling (Boechler, P.C. v. Commissioner). (Our prior discussion of Boechler can be found here.) The natural follow-up issue was whether this holding extended to the...
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