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Tax Cuts and Jobs Act brings increased risk of accuracy-related penalties: are you prepared?

Blue J Legal


Description

For years, the Section 6662 accuracy-related penalty has been one of the most frequently litigated federal tax issues in the United States. This is unlikely to change in light of the recent amendments to the Internal Revenue Code brought by the Tax Cuts and Jobs Act (TCJA). The TCJA has not only created new situations where taxpayers and their advisers risk making mistakes while learning the new rules, but has also lowered one of the thresholds for the imposition of the penalty. The penalty can range from 20% to 40% of any underpayment of tax arising from circumstances including negligence, substantial understatement of income tax or valuation misstatements.

While the Internal Revenue Service often prevails in collecting the accuracy-related penalty, taxpayers who successfully use the ‘reasonable cause and good faith’ defense can be excepted. With the increased risk of incurring penalties as a result of recent tax reform, how can tax professionals ensure the success of their reasonable cause and good faith defense in court?

Among other things, this webinar will cover:

  • Recent developments under the TCJA and Section 6662-related implications
  • An in-depth analysis of a recent accuracy-related penalty case
  • Influential factors in the success of the reasonable cause and good faith defense as uncovered by machine learning analysis of case law

Speaker

Benjamin Alarie
CEO, Blue J Legal

Benjamin Alarie is CEO of Blue J Legal and a full professor at the University of Toronto, where he holds the Osler Chair in Business Law. He researches and teaches in taxation law and judicial decision making, and was awarded the Alan Mewett QC Prize for excellence in teaching by the law school’s 2009 graduating class. Before becoming a full-time professor in 2004, he completed graduate work at the Yale Law School and was a law clerk for Madam Justice Louise Arbour at the Supreme Court of Canada. He has dozens of academic publications to his name and his research has been funded by the Social Sciences and Humanities Research Council, the Canadian Foundation for Innovation and the Ontario Ministry of Research and Innovation. He has co-authored several editions of a leading legal text on tax law, Canadian Income Tax Law, including the most recent sixth edition (LexisNexis, 2018).

Speakers


Benjamin Alarie

Details

Date
16 July 2019
Time
14:00 - 14:55 UTC
Duration
55 min
Language
English
Location
Online