Get Good Tax Advice in Regards to Ranch Activities
by: John Alan Cohan, Attorney at Law
The U.S. Tax Court is a federal court system which hears petitions by taxpayers who wish to contest deficiencies made against them by the IRS. There are about two dozen federal appointed judges, all of them experts in tax law. As the tax law is ambiguous in many areas, especially in the hobby loss area that affects ranchers and farmers, the results of a case may depend on the leanings of the particular judge. Some are more empathetic to the cattle and other ranching industries than others. So to some extent, if you have one of the “more difficult” judges, it is all the more important for your lawyer to present as strong a case as you have, together with good documentary evidence showing the businesslike manner in which you conduct the activity.