U.S. Tax Court Attorney: Petitions, Settlement, and Trial

What the U.S. Tax Court is, and why it matters

The U.S. Tax Court is a federal court that hears disputes between taxpayers and the IRS. Its judges hear only tax cases.

For most taxpayers it has one decisive advantage over every other court: you do not have to pay the disputed tax first. In U.S. District Court or the Court of Federal Claims, you generally must pay the full amount and then sue for a refund. In Tax Court, you challenge the IRS’s numbers while the money stays in your hands.

The Tax Court is based in Washington, D.C., but its judges hold trial sessions across the country. In California, those include Los Angeles, San Francisco, San Diego, Fresno, and, since September 2026, Sacramento.

Cases filed by California residents are generally appealed to the Ninth Circuit. That matters for some of the rules discussed below.

Which IRS notices can you take to Tax Court?

Not every IRS letter gives you the right to go to Tax Court. The court can hear your case only after the IRS issues a specific type of “ticket,” and each one has its own deadline.

A 30-day letter, a CP2000 notice, or a general “change to your return” notice is not a ticket to Tax Court on its own. These are earlier steps that usually come before a Notice of Deficiency.

That earlier stage is the best time to bring in counsel, because a strong response can keep the case from escalating. If you are not sure which notice you have, send it to us before the clock runs.

The 90-day deadline, and why it is stricter for Californians

Treat the petition deadline as absolute.

Over the past few years, several federal appeals courts (including the Second, Third, Sixth, and Eighth Circuits) have held that a late deficiency petition can sometimes be excused under a doctrine called equitable tolling.

The Ninth Circuit, which covers California, has held the opposite. In its view the 90-day deadline is jurisdictional, so a petition filed even one day late is dismissed, whatever the reason.

Until that changes, Californians should assume there is no safety net. Calendar the date printed on the notice, and file early. Courts are still ruling on this question, so check for recent decisions or ask an attorney.

If the deadline has already passed, you still have options, but they are narrower and usually require paying first:

• Asking the IRS to reconsider through audit reconsideration.
• Paying and filing a refund claim that can later be taken to federal district court.

Call us before you assume the case is over.

How a U.S. Tax Court case works, step by step

1. Petition. We draft and file the petition, which identifies the IRS determinations you dispute and raises your affirmative defenses. The filing fee is $60, petitions are filed electronically through the court’s DAWSON system, and you choose the city for your trial.
2. The IRS answers. An attorney from the IRS Office of Chief Counsel is assigned and files an answer. From this point, that attorney is your opponent.
3. Referral to IRS Appeals. If IRS Appeals has not already reviewed the case, it is often sent to the IRS Independent Office of Appeals for a settlement conference. For many taxpayers, this is the first time anyone at the IRS weighs real litigation risk.
4. Informal discovery and stipulations. The court expects both sides to exchange information informally first, often through a “Branerton” letter. Both sides also agree in writing on as many facts and documents as possible, which narrows the dispute and often drives settlement.
5. Trial calendar. When a case is set for trial, the court issues a notice and a pretrial order. It sets firm deadlines for pretrial memoranda, exhibits, and status reports, and missing them has real consequences.
6. Trial and decision. If the case does not settle, a single judge hears it, without a jury. Most regular cases end with post-trial briefs, an opinion, and a final decision, which can be appealed to the federal court of appeals for the taxpayer’s region.

Most Tax Court cases settle, and the petition is your leverage

The large majority of Tax Court cases are resolved without a trial. That is not a reason to treat the petition as a formality; it is the reason to get it right.

Once a case is docketed, the IRS has to weigh its own litigation risk:

• Will the examiner’s conclusions hold up before a judge?
• Do its records support the penalties it proposed?
• How much of its case rests on assumptions rather than evidence?

A well-built petition and a well-documented case change that calculation. Our goal is the best available outcome, and often that means settlement on favorable terms well before trial.

In one matter, two IRS Notices of Deficiency proposed more than $557,000 in tax and penalties across six years. We settled the case in U.S. Tax Court down to roughly $38,000 in federal liability.

With avoided interest and California exposure, the client effectively saved over $1.2 million.

Results depend on specific facts. Past results do not guarantee future outcomes.

Small tax case or regular case?

If the amount in dispute, including penalties, is $50,000 or less for any one tax year, you can elect the Tax Court’s “small tax case” procedure (often called an S case).

S cases use simpler, more informal procedures, but the decision is final. Neither you nor the IRS can appeal it, and it cannot be cited as precedent in other cases.

The procedure can suit a straightforward dispute, but it is not automatically the right choice. The election is easier to make correctly at the start than to change later, and we help clients decide based on the stakes and the issues.

Already filed on your own? When to bring in a Tax Court attorney

Many people file their petition without a lawyer, which the court allows. The trouble usually starts later, when one of these happens:

• The IRS attorney calls.
• A Branerton letter arrives asking for documents.
• A status report comes due.
• A trial notice sets a date a few months out.

At that point the case runs on court rules and deadlines that are unforgiving to anyone handling them alone.

We regularly step into pending cases, including cases where a prior attorney has withdrawn. We file an entry of appearance, contact the IRS attorney, and take stock of deadlines and the record.

Then we decide quickly whether to pursue settlement, request more time, or prepare for trial. The court’s rules also allow attorneys to enter a limited appearance for certain purposes, which can help in some situations.

If your trial is weeks away, call immediately. The sooner we are involved, the more we can do.

The kinds of Tax Court cases we handle

We represent individuals, business owners, and high-net-worth taxpayers in Tax Court across a wide range of issues, including:

• Audit adjustments and disallowed deductions, including substantiation disputes where records are incomplete or third parties have gone out of business. See our IRS audit defense practice.
• Denied tax credits, including residential solar and other energy credits.
• Cryptocurrency and NFT disputes, including unreported digital-asset income, cost-basis reconstruction, and theft-loss deductions. See cryptocurrency accounting and audits and our guide to crypto theft-loss deductions.
• Unreported income and international issues, including foreign income and foreign information-return penalties. See our offshore and international tax practice.
• Penalties, including accuracy-related and fraud penalties. Whether the IRS followed its own procedures, such as obtaining required written supervisory approval, can decide the outcome.
• Collection cases after a Collection Due Process hearing, including levy and lien disputes and financial hardship. See IRS tax collections.
• Innocent spouse relief for joint-return liabilities. See our article on innocent spouse relief.
• Unfiled returns and substitute-for-return assessments, where the IRS prepared a return for you and the numbers are wrong. See unfiled tax returns.
• High-net-worth, partnership, and S corporation matters, including cases that come out of IRS Large Business & International and Global High Wealth examinations.

Is Tax Court the right forum for you?

Tax Court is usually the best forum because you do not have to pay first, but it is not the only one.

• Already paid the tax? The path is generally a refund claim and, if it is denied, a refund suit in federal district court or the Court of Federal Claims.
• Department of Justice involved? If the DOJ Tax Division has filed suit to collect an assessed tax or to enforce a summons, the case is in federal district court and follows different rules.

Choosing the forum is a strategic decision with lasting consequences. Our attorneys are admitted to practice in the Tax Court and in federal district court.

Why taxpayers choose Kugelman Law for Tax Court

We have seen Tax Court cases from inside the court. Founder and managing attorney Alex Kugelman served as a judicial law clerk at the U.S. Tax Court in Washington, D.C., from 2012 to 2014.

Clerking means working directly on the cases in front of the court: reviewing the record, researching the law, and drafting work for a Tax Court judge. Alex brings that understanding of how the court evaluates evidence, arguments, and procedure to every case we file.

We know how the IRS builds its case. Otto Bosch is a former IRS Revenue Agent from the Global High Wealth group of the IRS Large Business & International Division.

He spent years building the examination files and revenue agent reports that IRS attorneys later rely on in Tax Court. He knows where those files tend to be strong and where they tend to be thin.

Two Tax Court-admitted attorneys, one team. Alex and Otto are both admitted to practice before the U.S. Tax Court.

Alex has nearly two decades of federal tax controversy experience, including Tax Court and U.S. District Court litigation. We represent clients in Tax Court throughout the country.

Privileged from the first conversation. We offer paid consultations that are fully protected by attorney-client privilege.

Before you send documents to the IRS, decide whether to petition, or respond to an IRS attorney, you can talk through your exposure in confidence.

For CPAs and attorneys referring a Tax Court matter

Many of our Tax Court clients come to us through their CPA, enrolled agent, or another attorney. We are glad to work alongside a client’s existing tax professional, keep them informed, and return the client for ongoing compliance work.

If a petition deadline is close, call us directly at (415) 968-1780 so we can move quickly.

Guides on IRS disputes and Tax Court

• Why you want a former IRS Revenue Agent attorney on your team
• Inside the IRS audit playbook
• Tax attorney vs. CPA for IRS audit defense
• IRS intent-to-levy notices and your appeal rights

Frequently asked questions

How long do I have to file a petition with the U.S. Tax Court?

For a Notice of Deficiency, generally 90 days from the mailing date, or 150 days if it was addressed to you outside the United States. Rely on the “last day to petition” date printed on the notice. Other notices differ; a petition after a Collection Due Process determination is generally due within 30 days.

Do I have to pay the tax before going to Tax Court?

No. The Tax Court is the only court where you can generally challenge an IRS deficiency without paying it first. In federal district court or the Court of Federal Claims, you generally must pay in full and sue for a refund.

What happens if I miss the 90-day deadline?

The IRS can assess the tax and begin collection. The Ninth Circuit, which covers California, treats the deadline as jurisdictional, so a late petition is dismissed even though some other circuits allow limited exceptions. Options such as audit reconsideration or a refund claim may remain, so speak with an attorney quickly.

Do most Tax Court cases go to trial?

No. The large majority settle, often through the IRS Independent Office of Appeals or negotiations with the IRS attorney on the case. A carefully prepared petition and record are what make a favorable settlement possible.

Can I represent myself in Tax Court?

Yes, and many people file on their own. Trouble often starts later, when deadlines, discovery requests, stipulations, and trial preparation begin. If your case is moving toward trial, an attorney can enter the case and take over.

What is a small tax case (S case)?

An optional, simpler procedure available when the amount in dispute, including penalties, is $50,000 or less for any one tax year. The trade-off is that the decision cannot be appealed by either side and cannot be used as precedent.

Who is the IRS attorney contacting me about my Tax Court case?

After you file a petition, an attorney from the IRS Office of Chief Counsel represents the IRS in your case and may contact you about settlement, documents, or stipulated facts. Anything you say or provide can be used in the case, so it is wise to have counsel handle those communications.

What does a consultation cost?

We offer paid consultations fully protected by attorney-client privilege; we do not offer free consultations. A paid consultation keeps your conversation confidential and gives you a real analysis of your case, deadlines, and options. Call (415) 968-1780 to schedule.

About our Tax Court attorneys

Alex Kugelman is the founder and managing attorney of Kugelman Law and a former judicial law clerk at the U.S. Tax Court in Washington, D.C. (2012–2014). He has nearly two decades of federal tax controversy experience, including Tax Court and U.S. District Court litigation.

Alex is admitted in California and before the U.S. Supreme Court, the U.S. Tax Court, and the U.S. District Courts for the Northern and Eastern Districts of California. He served as the 2018 San Francisco Chair of the Federal Bar Association’s Tax Division.

He was quoted in the Financial Times and the New York Post in July 2026 on California’s proposed billionaire tax and residency audits.

Otto Bosch is a tax controversy attorney at Kugelman Law and a former IRS Revenue Agent from the Global High Wealth group of the IRS Large Business & International Division.

Otto is admitted to practice before the U.S. Tax Court and in Missouri, has been an IRS Enrolled Agent since 2024, and holds an LL.M. in Taxation. He represents Spanish-speaking clients in federal tax matters.

He was quoted in Tax Notes in 2026 on IRS examination training and the LB&I audit campaign targeting deferred legal fee structures.

Speak with a U.S. Tax Court attorney

If you received a Notice of Deficiency, have a petition deadline approaching, or already have a case on the Tax Court’s docket, talk with us before the next deadline.

Schedule a paid, privileged consultation by calling (415) 968-1780 or visiting our contact page.

This page is attorney advertising and general information, not legal advice. Deadlines and procedures depend on the specific notice and facts. Contacting Kugelman Law does not create an attorney-client relationship.