The U.S. Tax Court, independent of the IRS, is a federal court that specifically focuses on tax controversy. You can take several types of disputes to the Tax Court, but you cannot petition the court for all disagreements with the IRS.
Going to Tax Court allows you to dispute an issue without paying the tax, and the IRS must pause collection actions before, during, and for a short period after your trial. Wondering if this is the direction you need to take? Then, keep reading for an overview of the Tax Court process, or reach out to the legal team at Wiggam Law for help today.
Key Takeaways
- U.S. Tax Court – an independent forum for disputing IRS decisions without paying the tax upfront.
- Role of the Tax Court – resolve civil tax disputes between IRS and taxpayers.
- Process – taxpayers must petition the court and attend a trial to present their case.
- Decisions – you can appeal Court decisions unless you select small case procedures.
- Representation – Wiggam Law offers experienced representation for navigating the complexities of the U.S. Tax Court cases.
What Is the U.S. Tax Court?
The U.S. Tax Court is an independent judicial authority that hears disputes between taxpayers and the IRS. Tax Court cases are heard in front of a judge but without a jury. The court only hears civil cases, not criminal cases, and most cases are settled before they go to trial.
What Types of Cases Go to Tax Court?
The Tax Court hears cases related to deficiencies, determinations, and certifications, and a variety of tax issues fall into these categories.
Deficiency Cases
For example, let’s say the IRS adjusts your return by disallowing a certain credit or deduction. They will send you a few different notices about the changes to your return, and eventually, they will send a Notice of Deficiency, also called a 90-day letter. You can dispute this issue in Tax Court.
You may also receive a Deficiency Notice if the IRS audits your return and makes changes or if you don’t file and the IRS assesses tax against you. For example, many syndicated conservation easement cases start with an audit of the partnership’s tax return.
Although all of these cases involve a deficiency notice, they focus on different arguments and evidence when they go to Tax Court.
Determination Cases
Determination letters involve decisions the IRS has made. For example, if the IRS plans to levy your assets and you appeal at a Collection Due Process (CDP) hearing, you will receive a Determination of the CDP results.
Then, you may appeal that determination in Tax Court. Similarly, if you receive a determination about an innocent spouse relief request or a determination about a worker classification case, you can also dispute those issues in Tax Court.
Certification Cases
Certifications generally only apply in cases where the IRS certifies your tax debt as seriously delinquent, and then the State Department takes away your passport. As of 2025, this is $65,000 of tax debt or more, including penalties and interest.
Not sure if your case falls into these categories? Then, contact us at Wiggam Law for help.
What to Expect With the Tax Court Process
Here is a brief overview of what happens before, during, and after the Tax Court process.
- Appealable event – You receive a Notice of Deficiency, Determination, or Certification that outlines your appeal rights in Tax Court, or you can also petition if the IRS has not responded to your request for innocent spouse relief in six months, interest abatement in 180 days, or tax-exempt status in 270 days.
- Choosing representation – You can represent yourself in Tax Court, hire a tax attorney, or work with a U.S. tax Court Practitioner (an enrolled agent or CPA admitted to practice in Tax Court). There are complex processes and evidentiary rules – whenever possible, you should work with a pro, especially if a lot of money is at stake.
- Petition – You petition the Tax Court to get your case on the docket. The petition outlines the issue and your side of the argument. Don’t include any evidence for the case when you submit the petition.
- Small or regular case procedures – If the dispute involves $50,000 or less, you can opt for the less formal small case proceedings, but if so, you will not be able to appeal the results of your case.
- Negotiating – After you petition, the IRS will respond to your case, and you and the IRS will gather documents to support your case. You will send everything you agree on to the courts in a stipulated document. If you have not had an administrative appeal before you get to tax court, your case may be assigned to an appeals officer for settlement before trial.
- Settlement – If you and the IRS agree to everything, you can settle without going to Court. If you don’t agree with everything before the trial, you may still be able to come to a settlement during the trial or immediately afterward, before the Court issues a judgment.
- Scheduling – The Court will let you know about your trial date. If you can’t make it, you can request an extension by filing a motion for continuance. The Court may or may not agree to give you extra time.
- Calander Call – The first day of the Trial Session is the calendar call. At this meeting, you will talk briefly with the judge, and they will tell you when to return for your trial.
- Trial – During the trial, you (the petitioner) get to present your case with witnesses and evidence, and the IRS (the respondent) gets to ask you follow-up questions. Then, the IRS presents their side, and you or your attorney asks them questions.
- Decision – The judge may announce their decision at the end of the trial – a bench decision. If they decide after the trial, you will be notified by mail, or you can see the decision on the Tax Court’s website. In some cases, you may get a call. If you have an attorney, they will keep you updated.
- Appeals – You cannot appeal small case decisions, but you can appeal other decisions to the U.S. District or Federal Court of Appeals.
The team at Wiggam Law can help with every step of this process, from deciding if the Tax Court is the right option to filing the petition, negotiating with the IRS, gathering evidence, and representing you in trial.
When to Go to Tax Court
As explained above, Tax Court may be an option if you disagree with a determination, deficiency, or certification. However, here are some other points to consider:
Can you appeal in a less formal setting? Before taking your case to Tax Court, you must go through a Collection Due Process hearing, which is less formal than Tax Court. Alternatively, you may want to look into an administrative appeal, which is an option if you’re dealing with a deficiency or innocent spouse case.
Can you come to a settlement? If possible, you may want to negotiate an agreement with the IRS directly without resorting to petitioning the courts and going through a trial.
Have you exhausted other appeal rights? If you have exhausted other appeal rights, Tax Court may be the best and/or only option, especially if you don’t want to pay the tax before the trial.
Do you want to stop collection actions? Petitioning the courts will prevent the IRS from moving forward with most collection actions. However, if you use this process just to delay or stop the collection of taxes, you may be subject to fines or other consequences.
Wiggam Law can help you decide if Tax Court is the right option for you.
Benefits and Challenges of U.S. Tax Court
Tax Court offers you several benefits, including the following.
- Access to an impartial judge for IRS disputes.
- A judge specialized in tax-related matters, which is not the case when you appeal in other courts.
- Chance to appeal without paying the tax – in contrast, if you appeal in District or Federal Court, you generally need to pay the tax first or secure it with a bond.
- Right to represent yourself – although this is not recommended in most cases, it is all taxpayers’ right. Keep in mind the IRS has an attorney on their side, and you may want one, too.
Some of the challenges that you may encounter include the following:
- Strict deadlines and procedural rules – this is especially confusing for taxpayers who represent themselves.
- No appeal rights if you choose small case procedures.
- Long process – often, your trial doesn’t happen until months after you submit the petition.
FAQs About the U.S. Tax Court
What happens if I miss the 90-day deadline on a Notice of Deficiency?
If you miss the deadline, you lose the right to appeal in Tax Court, but you may be able to pay the tax and file a refund suit in federal court.
Can you sue the IRS?
You can dispute cases in Tax Court and/or District and Federal Courts. If you want to sue the IRS for damages, you generally need to go to District or Federal Court.
Can I represent myself in Tax Court?
Yes, you can represent yourself. However, the Court doesn’t really offer much help to self-litigants. If you send in a document, for example, that doesn’t meet the court’s guidelines, they will send it back with instructions on how to meet the guidelines. However, procedural or evidentiary missteps can often lead to losing your case.
How much does it cost to go to Tax Court?
The petition filing fee is $60. You will generally incur legal fees and potential travel costs depending on where your trial is located.
Can the Tax Court sentence you to jail?
No, the Tax Court does not hear criminal tax cases, so they cannot sentence you to jail time for tax issues. If you are accused of a crime, you will go in front of a criminal court of law.
The U.S. Tax Court is a valuable option for taxpayers who cannot reach an agreement with the IRS over certain matters. However, the process can be very complicated. For help and guidance, contact us at Wiggam Law today.
We have extensive experience representing taxpayers in Tax Court, including cases involving audits, Deficiency Notices on unreported capital gains, fraud penalties, and many other concerns – check out the case results page to see how we’ve helped previous clients.
To get help now, contact Wiggam Law for guidance. Feel free to call us at (404) 233-9800 or use the online contact form to request a consultation.