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Federal
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July 15, 2026
Fed. Circ. Gives Pa. Biz A 2nd Go At $1.5M Tax Penalty Refund
The Federal Circuit gave a Pennsylvania electrical contractor another chance to pursue a $1.53 million refund claim for penalties paid to the Internal Revenue Service after its owner pled guilty to criminal tax evasion, according to an opinion published Wednesday.
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July 15, 2026
Tax Code Allows Political Speech By Churches, 5th Circ. Told
A Texas federal court wrongly rejected the IRS' proposed settlement that would allow churches to engage in political speech without jeopardizing their tax-exempt status, conservative groups told the Fifth Circuit, arguing that federal tax assessment protections do not bar the court from implementing the deal.
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July 15, 2026
Cornyn, Tillis Still Waver On Blanche AG Bid After Hearing
Todd Blanche had his nomination hearing to be attorney general on Wednesday and two key Republican senators still have yet to say if they will support him.
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July 15, 2026
TIGTA Worried About IRS Zero Paper Push Security Breaches
Unauthorized employees have accessed restricted areas because of physical security gaps at two sites where contractors are supporting the Internal Revenue Service's push to eliminate paper processing of tax returns, the Treasury Inspector General for Tax Administration said in a management alert released Wednesday.
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July 15, 2026
Russia Sanctions Bill Goes Too Far On Tariff Power, Dems Say
A reworked version of a bipartisan bill aimed at sanctioning Russia over the war in Ukraine wrongly places too much tariff power in the hands of President Donald Trump, some leading congressional Democrats said.
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July 15, 2026
Pillar 2 Revenue Intake Falls Short Of Predictions, OECD Says
The worldwide corporate 15% minimum tax agreement known as Pillar Two has so far brought in less revenue than expected, the Organization for Economic Cooperation and Development said Wednesday.
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July 15, 2026
Mich. Tax Biz Barred From Preparing Federal Returns By Court
A federal judge granted the federal government's bid to bar a Michigan-based tax and accounting business from preparing federal tax returns over allegations it prepared fraudulent returns that cost the government a tax revenue loss estimated at over $2 million.
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July 15, 2026
Texas Estate Disputes $11.5M Tax From Stock Transfers, Gifts
The Internal Revenue Service wrongly assessed taxes of $11.5 million and $1.6 million in penalties to a Texas woman's estate from the agency's inflated valuation of stock and imposition of gift tax, the estate told the U.S. Tax Court.
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July 14, 2026
House Backs Bill To End Penny Minting, Round Cash Sales
The phaseout of the penny would become law and retailers would be able to round cash transactions up or down to the nearest 5-cent amount under a bill that the U.S. House passed Tuesday, sending it to the Senate.
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July 14, 2026
Bike Seller Says IRS' Undervaluation Caused $3M Deficiency
A California bicycle seller told the U.S. Tax Court that the IRS' faulty appraisal of its value caused the agency to mischaracterize a transaction with its parent company as a discharge of indebtedness and a $15.5 million income increase, leading to a $3.3 million deficiency assessment.
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July 14, 2026
IRS Ethics Guidance Highlights AI Billing Tensions
Recent IRS ethics guidance urged attorneys to acknowledge the time-saving features of artificial intelligence when billing clients, underlining the legal industry's ongoing reckoning with how, or if, this technology fits into the traditional practice of charging by the hour.
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July 14, 2026
5th Circ. Affirms Fraudster Tax Preparer's 16-Year Sentence
The Fifth Circuit affirmed a tax preparer's nearly 16-year sentence for aiding in the preparation of false and fraudulent tax returns, rejecting his argument that a Texas federal court erred when it denied his motions for a new trial and applied sentencing enhancements.
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July 14, 2026
IRS Updates Corp. Bond Monthly Yield Curve For July
The IRS updated the corporate bond monthly yield curve used in calculations for defined benefit plans for July on Tuesday, as well as corresponding segment rates and the interest rate for 30-year U.S. Treasury Department securities.
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July 14, 2026
Couple's Settlement Proceeds Taxable Income, Tax Court Says
Proceeds from a couple's settlement with credit reporting agencies, including attorney fee payments, should be reported as taxable gross income, the U.S. Tax Court ruled Tuesday, rejecting the argument that the Fair Credit Reporting Act's fee-shifting provisions exempted the payments from taxation.
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July 14, 2026
IRS Donor Disclosure Rule Unconstitutional, Group Says
The IRS' nonprofit donor disclosure rule violates the First Amendment, a conservative youth group told a D.C. federal court, arguing that a now-convicted contractor's theft of donor records and those of high-ranking government officials demonstrates that the agency cannot safeguard sensitive information.
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July 13, 2026
IRS Experts Undervalued Ala. Land Gift, Partnership Says
IRS experts erred at trial in relying on other land sales to calculate a value of under $1 million for Alabama property donated to a conservation group in 2017, far below the $28 million determined by the partnership's appraiser, the partnership told the U.S. Tax Court.
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July 13, 2026
Trump Taps Former Acting IRS Chief Counsel For Tax Court
President Donald Trump nominated a former acting Internal Revenue Service chief counsel for a seat in the U.S. Tax Court on Monday.
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July 13, 2026
Government Backs Tax Evader's Higher Sentence At 4th Circ.
A West Virginia federal judge correctly handed down an enhanced sentence to a real estate appraisal business owner convicted of failing to pay employment taxes, federal prosecutors told the Fourth Circuit, urging the court to affirm the court's sentence.
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July 13, 2026
Estate's $4M Tax Bill Rife With IRS Errors, Executor Says
The Internal Revenue Service made a litany of errors in determining that an individual's estate faces a tax deficiency of approximately $4 million and more than $744,000 in penalties, the estate's Oklahoma-based executor told the U.S. Tax Court.
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July 13, 2026
McKesson Says IRS Overreads Law Backing Pricing Rules
Pharmaceutical giant McKesson asked a Texas federal court to invalidate transfer pricing regulations that underpin the company's $10 million tax refund bid, arguing the U.S. government mistakenly thinks the underlying statute gives the IRS "near-limitless authority" to define key terms.
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July 13, 2026
Biofuel Tax Fraudster Loses Bid For Extra Sentence Reduction
A Utah federal judge declined to reduce further the original sentence of an accomplice in a $500 million biofuel production tax credit fraud scheme, finding that his prior reduction to 12 years had sufficiently reflected his cooperation in the trial of another defendant.
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July 13, 2026
US Biz Group Urges EU To Honor Side-By-Side Treatment
A lobbying group representing U.S. companies called on the European Union to respect the country's side-by-side agreement as the bloc continues to work on a tax simplification overhaul.
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July 13, 2026
Trump-IRS Settlement Result Of Sham Suit, Judge Rules
President Donald Trump's $10 billion suit against his own Internal Revenue Service and the resulting settlement deal lacked a legitimate controversy, given Trump's control over both the agency and the U.S. Department of Justice, a Florida district judge said Monday in an order barring Trump or others from citing the deal.
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July 10, 2026
Mattress Seller, Mo. Customers End Use Tax Overcharge Fight
A Missouri federal court closed a class action by online customers claiming excessive tax charges by a mattress retailer after the parties reached a deal that will see the customers refunded.
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July 10, 2026
Weekly Internal Revenue Bulletin
The Internal Revenue Service's weekly bulletin included a revenue procedure to provide a gift tax reporting safe harbor for certain contributions to the new tax-advantaged brokerage accounts for newborns, known as Trump Accounts.
Expert Analysis
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Presidential Pardon Brokering Can Create Risks For Attys
The emergence of an apparent “pardon shopping” marketplace, in which attorneys treat presidential pardons as a market product, may invite investigative scrutiny of counsel and potential criminal charges grounded in bribery, wire fraud and other statutes, says David Klasing at The Tax Law Offices of David W. Klasing.
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Key False Claims Act Trends From The Last Year
The False Claims Act remains a powerful enforcement tool after some record verdicts and settlements in 2025, and while traditional fraud areas remain a priority, new initiatives are raising questions about its expanding application, says Veronica Nannis at Joseph Greenwald.
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Hosting Exchange Students Makes Me A Better Lawyer
Opening my home to foreign exchange students makes me a better lawyer not just because prioritizing visiting high schoolers forces me to hone my organization and time management skills but also because sharing the study-abroad experience with newcomers and locals reconnects me to my community, says Alison Lippa at Nicolaides Fink.
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How A 1947 Tugboat Ruling May Shape Work Product In AI Era
Rapid advances in generative artificial intelligence test work-product principles first articulated in the U.S. Supreme Court’s nearly 80-year-old Hickman v. Taylor decision, as courts and ethics bodies confront whether disclosure of attorneys’ AI prompts and outputs would reveal their thought processes, say Larry Silver and Sasha Burton at Langsam Stevens.
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Navigating Privilege Law Patchwork In Dual-Purpose Comms
Three years after the U.S. Supreme Court declined to resolve a circuit split in In re: Grand Jury, federal courts remain split as to when attorney-client privilege applies to dual-purpose legal and business communications, and understanding the fragmented landscape is essential for managing risks, say attorneys at Covington.
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Cannabis Industry Faces An Inflection Point This Year
Cannabis industry developments last year — from the passage of a new wholesale tax in Michigan, to an executive order accelerating the federal rescheduling process — presage a more mature phase of legalization this year, with hardening expectations and enforcement to come, says Alex Leonowicz at Howard & Howard.
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4 Ways GCs Can Manage Growing Service Of Process Volume
As automation and arbitration increase the volume of legal filings, in-house counsel must build scalable service of process systems that strengthen corporate governance and manage risk in real time, says Paul Mathews at Corporation Service Co.
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The Law Firm Merger Diaries: Forming Measurable Ties
Relationship-building should begin as early as possible in a law firm merger, as intentional pathways to bringing people together drive collaboration, positive client response, engagements and growth, says Amie Colby at Troutman.
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3 Key Takeaways From Planned Rescheduling Of Cannabis
An executive order reviving cannabis rescheduling represents a monumental change for the industry and, while the substance will remain illegal at the federal level, introduces several benefits, including improving state-legal cannabis operators' tax treatment, lowering the industry's legal risk profile, and leaving state-regulated markets largely intact, say attorneys at Dentons.
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OFAC Sanctions Will Intensify Amid Global Tensions In 2026
The Office of Foreign Assets Control will ramp up its targeting of companies in the private equity, venture capital, real estate and legal markets in 2026, in keeping with the aggressive foreign policy approach embraced by the Trump administration in 2025, say attorneys at Holland & Knight.
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5 E-Discovery Predictions For 2026 And Beyond
2026 will likely be shaped by issues ranging from artificial intelligence regulatory turbulence to potential evidence rule changes, and e-discovery professionals will need to understand how to effectively guide the responsible and defensible adoption of emerging tools, while also ensuring effective safeguards, say attorneys at Littler.
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Judges On AI: How Courts Can Boost Access To Justice
Arizona Court of Appeals Judge Samuel A. Thumma writes that generative artificial intelligence tools offer a profound opportunity to enhance access to justice and engender public confidence in courts’ use of technology, and judges can seize this opportunity in five key ways.
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Examining Privilege In Dual-Purpose Workplace Investigations
The Sixth Circuit's recent holding in FirstEnergy's bribery probe ruling that attorney-client privilege applied to a dual-purpose workplace investigation because its primary purpose was obtaining legal advice highlights the uncertainty companies face as federal circuit courts remain split on the appropriate test, say attorneys at Proskauer.