Introduction to U.S. Tax Court: Dealing With IRS Tax Disputes

The US Tax Court is a Federal trial court and an independent judicial forum that is not controlled by the Internal Revenue Service (IRS). The Tax Court acts as an independent judicial authority, allowing taxpayers to dispute certain IRS determinations. 

The Tax Court allows taxpayers to resolve disputes with the IRS without paying the tax first. Individuals, businesses, estates, and all other taxpayers may petition the court if they want to dispute certain issues.

Although the court is based in Washington, D.C., its judges preside at trials in 74 different cities across the country. The Court only hears civil cases, not criminal tax cases.

Table of Contents

• How does the Tax Court process work?
• What to expect during your Tax Court trial
• How to appeal a decision from the Tax Court
• When is Tax Court an option?
• What alternatives are there to Tax Court?
• Finding Tax Court representation

How the Tax Court Process Works

The taxpayer who wants to dispute an IRS determination is called a petitioner, and the case starts when they file a petition. The timeline for filing a petition is set by statute and cannot be extended. For example, someone who is petitioning after receiving a notice of deficiency has 90 days from the date on the notice to file a petition, but someone petitioning after receiving a notice of determination only has 30 days.

The petitioner can file the petition electronically or through the mail, and once they do so, they can postpone the payment of tax until the court issues a decision on the case. Petitioners dealing with disputes of $50,000 or less may opt to use the Court's small case procedures, which are faster and less formal but not appealable. 

Most cases are settled without going to trial. If you and the IRS agree with the facts and documents related to the case, you can submit your case without requesting a trial - that's referred to as fully stipulated. If you submit a fully stipulated case to the Tax Court before your calendar call, you may not need to go to court. The judge will review the stipulation and make a decision.

In all other cases, the court will notify you about the time and location of the trial session. The first day of the trial session is the calendar call. At this session, the judge will call you and the attorney representing the IRS forward. The judge will ask you a few questions and then will schedule the time for your trial.

You and the respondent (the IRS) may jointly decide to request a trial time up to two weeks before the calendar call. If possible, the judge will schedule a trial for you, and you will not have to go to the calendar call. During the trial, you and the IRS can bring forward witnesses and evidence, and you both get to question each other's witnesses. Often, the taxpayer is the only witness for their side of the trial.

You can represent yourself or hire a tax pro admitted to the bar of the Tax Court. This includes all tax attorneys and a very small number of EAs and CPAs who have passed a test to practice in front of the Tax Court. In some cities, there are tax pros who attend calendar calls and volunteer their services to taxpayers in need.

At the end of the trial, the judge will issue findings of fact and opinion. You have the right to appeal to the U.S. Courts of Appeals - note that if you selected small case procedures, you do not have the right to appeal. You typically have 90 days after the Tax Court enters a decision to appeal. 

What is a ustaxcourt.gov petition?

This is the form you use to file a petition. You can file electronically through DAWSON or download a PDF of the Tax Court petition.

What if I'm not ready by my trial date?

You can ask for more time by filing a motion for continuance. To strengthen your request, ask the IRS attorney if they will agree with the motion. After that, the judge gets to decide whether or not to grant your request.

Alternatively, if both you and the IRS attorney agree on the facts of the case, you can submit a fully stipulated case to the courts. Then, the judge can make a decision without you needing to come to court.

What if I don't show up?

If you don't show up for your scheduled court date, you will lose your case. In other words, your case will be dismissed, and the judge may enter a decision against you. 

Does my spouse need to come to the trial?

If you file a joint petition, you must come to the trial together, but if needed, you can make an advance request for the judge to excuse one spouse. If you do not attend, you forfeit your opportunity to testify, and the judge may enter the same decision for the absent spouse as the spouse who attended the trial.

What does this mean: writ/summons/pleading - electronic services comment: notice of deficiency?

If you send documents to the Court or the IRS before the trial, you may receive a notice error similar to the above if your documents were not formatted correctly. Note that the Tax Court will reject any documents that don't follow the correct procedure or processes, but they will generally send you instructions on how to file the document correctly.

What to Expect During a Tax Court Trial

When the trial clerk calls your name, both you and the IRS attorney will state your names. The judge may ask a few questions and allow each party to make an opening statement about their interpretation of the facts and how they would like the judge to rule. Typically, the petitioner (the taxpayer) makes their statements first and then the respondent (IRS attorney). 

Generally, you do not make opening statements under oath, and because of that, the judge cannot consider your statements when making a decision. To get around this and to avoid repeating themselves, some taxpayers make their opening statements under oath so that they can be considered by the judge. 

After the opening statement, the petitioner (you) brings forward witnesses. Often, the taxpayer is the only witness for their side of the case. If you have legal representation, they will ask you questions. If not, you will just make your statement. Then, the IRS attorney will ask you questions. If you have additional witnesses, you or your rep will ask them questions and then the IRS will question them. 

Then, the respondent (the IRS) can call forward witnesses and ask questions, and you or your counsel will get to ask those witnesses questions as well. The judge may also ask questions to any of the witnesses.

At the end of the trial, the judge may tell both sides to file a posttrial brief outlining the proposed finding of facts and legal arguments. The judge may also permit both parties to make an oral argument. The judge may make a "bench opinion" which is an oral statement of their opinion during the trial, and if so, you will receive a copy of the opinion in a few weeks in the mail. 

If you are dealing with a small case, the judge will issue a summary decision that cannot be appealed or relied on as precedent. In regular cases, the judge may enter a memorandum opinion or a Tax Court opinion. Memorandum opinions apply in cases where the law is settled, and the decision can be appealed. Tax Court opinions apply in cases that involve important legal issues or principles, and these decisions can be cited as legal authority in the future. You can also appeal Tax Court opinions. 

If the judge does not give you a bench opinion, you will get notified by mail, or you can check the Tax Court's website. New opinions are posted daily after 3:30 EST. 

Which documents should you bring to the trial?

You should bring any documents that were not included in the stipulation of facts, even if you have already provided those documents to the IRS. 

Who has the burden of proof in a Tax Court case?

Generally, you, the taxpayer, have the burden of proof in a Tax Court case. This means that you need to bring forward documents or testimony that prove the IRS's determination is incorrect. In rare situations, the IRS has the burden of proof, but only when the petitioner has entered credible evidence with respect to that issue.

If I win, is the IRS responsible for my legal costs?

Generally, no. If the IRS's position was substantially justified, you cannot recover your legal fees. However, if you are a prevailing party and the IRS's position was not justified, you may be able to get reimbursed for your legal costs. You must wait until the Court issues a decision to request a refund of fees and costs.

How to Appeal a Tax Court Decision

You must wait until the Tax Court issues a decision - often, the Courts issue an opinion before the actual decision. Then, you can appeal electronically or by mailing an appeal to: 

US Tax Court
400 Second Street, N.W. 
Washington, D.C. 20217. 

After you file the notice of appeal, the Tax Court will send a record of your case to the Court of Appeals. The IRS may be able to assess or collect the deficiencies redetermined in Tax Court unless you file a bond. 

You may also file a motion for reconsideration up to 30 days after the written decision. The judge who decided your case will review the motion for reconsideration. Usually, they only grant reconsideration in cases with unusual circumstances or substantial errors.

Situations Where Tax Court Is an Option

Now that you understand the basics of what to expect before, during, and after a Tax Court case, let's look at when you can take cases to Tax Court. Typically, you are allowed to petition the tax court if you receive a Notice of Deficiency (aka 90-day letter), you disagree with certain IRS determinations, or a significant amount of time has passed since you applied for innocent spouse relief, interest abatement, or tax-exempt status. 

Here's a more detailed breakdown of the exact situations where someone may petition the Tax Court. These options are noted on the type of the petition form, and you should select one:

• Notice of Deficiency - You may receive a notice of deficiency when the IRS assesses taxes against you through an audit, a return adjustment, or a substitute for return if you haven't filed a return.
• Notice of Determination on a Collection Case - For example, the IRS has filed a tax lien or proposed a levy on your bank account, wages, or other assets.
• Notice of Determination on a Request for Relief From Joint and Several Liability - Select this option if the IRS denied your request for innocent spouse relief or if you applied for innocent spouse relief over six months ago but have not received a decision. 
• Notice of Determination on Worker Classification - This applies in situations where the IRS is reviewing your classification of an employee/contractor.
• Final Determination for Disallowances of Interest Abatement Claim - Select this option if the IRS disallowed your interest abatement or has not responded to an abatement request made within the last 180 days. 
• Notice of Certification of Seriously Delinquent Debt - The IRS may certify your tax debt to the State Department, and you will lose your passport if you owe over $64,000 (as of 2025) and haven't made payment arrangements.
• Notice of Determination concerning Whistleblower Action - These notices generally concern awards given to whistleblowers, and they should outline your right to appeal to the Tax Court if you disagree.

The above examples are very technical, and they gloss over some of the exact situations where you may need to take a case to Tax Court. To help you understand more, here is a real-world example. 

Imagine you owe money to the IRS, and because you haven't made arrangements to pay your bill, the IRS sends you a wage garnishment notice. You appeal through a Collection Due Process (CDP) hearing, but the wage garnishment is allowed to stand. Now, you have the right to appeal in Tax Court 30 days after receiving that determination. 

Here's another example: You claim an earned income tax credit (EITC) and two dependents on your return. The IRS reviews your return and disallows the dependents and the EITC. The IRS sends you a determination letter about the decision. You appeal by taking the case to Tax Court.

Can you sue the IRS in Tax Court?

You can bring a legal suit against the IRS in Tax Court, as explained throughout this article. However, if you want to sue the agency for negligence or damages, you may need to take your case to the District or Federal Court rather than the Tax Court. Talk with an attorney for guidance.

Alternatives to Tax Court

Your situation must meet strict criteria for you to be entitled to take your case to Tax Court. Some situations require you to take a different appeal route, but in other cases, you may have the option to appeal through another channel even if you are entitled to go to Tax Court. 

Here are some of the options that you may want to look into:

• Collection Appeals Program - You can appeal collection actions and most decisions related to installment agreements through the CAP. The CAP program lets you appeal proposed liens and levies, which you cannot do through a CDP hearing or Tax Court case.
• Collection Due Process hearing - If you get a notice about a collection determination (lien, levy, denial of an installment agreement request, rejection of an offer in compromise request, etc.) that notes your right to a hearing, you may request a CPD hearing in 30 days. Generally, you can appeal unfavorable CDP decisions in Tax Court. In some cases, you can go to Tax Court without requesting a CDP hearing, but if possible, you should do the CDP first as it's an easier, less formal process.
• Equivalent Hearing - This is similar to a CDP hearing, but it's available to taxpayers who miss the deadline to request a CDP hearing. You have a year to request an equivalent hearing, and generally, by this time, the collection action may already be in progress.
• US District Court or the US Court of Federal Claims - If you have already paid the tax or if the IRS hasn't reacted to your refund claim filed at least six months ago, you can take your case to the US District or Federal Claims Court. You can also appeal to these courts if you disagree with the results of a Tax Court case. 

One main advantage of the U.S. Tax Court is that you can petition the Court, even if you haven't paid the tax yet. In contrast, you cannot go to District or Federal Claims court unless you have paid the tax in full or secured the liability with a bond in certain cases. Tax Court can also be useful in situations where you have exhausted your CAP or CDP appeal rights, but you still need another review. 

Who Can Represent You in Tax Court?

You can represent yourself in Tax Court, or you can hire an attorney or USTCP. 

Any attorney can represent you in Tax Court, but to protect yourself, you should always look for an attorney who specializes in tax law and who has experience representing clients in this court. 

Alternatively, a US Tax Court Practitioner is an enrolled agent or CPA who has passed a test to practice before the US Tax Court. EAs and CPAs can represent you for any matter in front of the IRS, but they cannot represent you in Tax Court unless they have this credential. 

Find Tax Court Representation Now

Although you can represent yourself, you should strongly consider working with a tax attorney or USTCP. TaxCure makes it easy for you to find a qualified professional. Use the search widget on this page or hit "Find a Local Tax Pro" at the top of the page. Then, select IRS or your state agency if you have both state and federal tax concerns. 

If desired, you may tick up to three problems relevant to your situation to ensure you get a pro who's experienced with that particular issue. Then, on the page of results, look at the options on the left side of the page. Expand the "Tax Solution" option, scroll near the bottom of the list, and select Tax Court.

Now, all of the options you see should be tax attorneys and USTCPs who have dedicated experience with the Tax Court. Look through the reviews and experience of each pro and reach out to one or more for a consultation. Take advantage of initial consultations and phone calls to find an attorney who's the right fit for your needs.