Tax Court

AAA

DEFINITION of 'Tax Court'

A specialized court of law that hears and adjudicates tax-related disputes and issues. The tax court in the United States is a federal court established by Congress to provide a judicial forum where an entity could contest a tax deficiency determined by the Internal Revenue Service before paying the disputed amount. The Tax Court of Canada, a superior court established in 1983 that is independent of the Canada Revenue Agency and other departments of the Canadian government, hears tax-related cases in Canada.

INVESTOPEDIA EXPLAINS 'Tax Court'

Tax courts have the authority to provide rulings on a wide range of taxation subjects. The U.S. Tax Court hears cases relating to income, estate and gift tax; it also rules on tax disputes ranging from notices of deficiency and worker classification to reviews of collection actions. Most of the cases heard by the Tax Court of Canada are in connection with income tax, goods and services tax and employment insurance.

The U.S. Tax Court is located in Washington and has 19 members who are appointed by the President. A Tax Court case commences with the filing of a petition, for which a $60 filing fee must be paid. The case is heard by a single judge, and taxpayers may be represented either by themselves or by legal practitioners admitted to the bar of the Tax Court.

RELATED TERMS
  1. Tax Advisor

    A financial expert with advanced training and knowledge of tax ...
  2. First To File Rule

    A rule stating that whoever is the first to file suit is awarded ...
  3. Formal Tax Legislation

    The process by which a proposed tax rule or tax change may become ...
  4. Audit

    1. An unbiased examination and evaluation of the financial statements ...
  5. Appeals Conference

    A conference that a taxpayer can request with the Internal Revenue ...
  6. Writ

    A legal document written by a judge or other body with administrative ...
RELATED FAQS
  1. No results found.
Related Articles
  1. Fundamental Analysis

    The Perks Of Dividend Reinvestment Plans

    These plans offer shareholders a way to directly invest in some of the top companies without the commissions.
  2. Retirement

    Tax Tips For The Individual Investor

    We give you seven guidelines to help you keep more of your money in your pocket.
  3. Taxes

    How To Appeal Your IRS Audit

    The auditor's review isn't always the last word. Many taxpayers who are audited can successfully appeal their audits and save thousands of dollars.
  4. Taxes

    Should You File An Early Tax Return?

    When it comes to filing your taxes, it can often pay to wait until the deadline.
  5. Taxes

    10 Money-Saving Year-End Tax Tips

    Getting organized well before the deadline will curb your frustration and your tax liability.
  6. Taxes

    Capital Gains Tax 101

    Find out how taxes are applied to your investment returns and how you can reduce your tax burden.
  7. Taxes

    Tax Court: Your Last Resort

    Appealing an unfavorable or unfair tax ruling may be your last chance to save your finances.
  8. Taxes

    Unexpected 1099-R Form: What To Do

    Did your IRA custodian report distributions you thought were non-reportable? Find out what went wrong.
  9. Taxes

    Taxes: H&R Block Vs. TurboTax Vs. Jackson Hewitt

    There are more and more tax services to help ease the pain of filing income taxes. Here's our take on three of the biggest.
  10. Taxes

    The Best Free Tax-Prep Software For April 15, 2015

    Filing state taxes online costs money, but many platforms let you file simple federal returns free. Some support more complex filings; others import data.

You May Also Like

Hot Definitions
  1. Technical Skills

    1. The knowledge and abilities needed to accomplish mathematical, engineering, scientific or computer-related duties, as ...
  2. Prepaid Expense

    A type of asset that arises on a balance sheet as a result of business making payments for goods and services to be received ...
  3. Gordon Growth Model

    A model for determining the intrinsic value of a stock, based on a future series of dividends that grow at a constant rate. ...
  4. Cost Accounting

    A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step ...
  5. Law Of Supply

    A microeconomic law stating that, all other factors being equal, as the price of a good or service increases, the quantity ...
  6. Investment Grade

    A rating that indicates that a municipal or corporate bond has a relatively low risk of default. Bond rating firms, such ...
Trading Center