South Carolina Tax Law Firm PA

U.S. Tax Court Attorney in South Carolina

If the IRS has sent you a notice of deficiency, often called a 90-day letter, you can challenge the proposed tax in the United States Tax Court without paying it first. The petition deadline is strict. South Carolina Tax Law Firm PA represents individuals and businesses across South Carolina in U.S. Tax Court cases, from filing the petition through settlement negotiations with the IRS and, when a case does not settle, trial.

Call (803) 753-7376 or request a consultation. Have the IRS notice in front of you, including the date on it and the last day to petition the Tax Court, which the IRS prints on the notice.

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What the U.S. Tax Court is

The U.S. Tax Court is a federal court in Washington, D.C., that hears disputes between taxpayers and the IRS. It is independent of the IRS. Its judges travel to cities around the country to hold trials, including Columbia, South Carolina. The Tax Court is the only court where you can dispute a proposed federal tax deficiency before paying it, which is why most federal tax litigation happens there.

Most Tax Court cases never reach trial. After a petition is filed, the case is usually sent to the IRS Independent Office of Appeals for settlement discussions if Appeals has not already considered it, and the IRS is represented by attorneys from the IRS Office of Chief Counsel. Many cases resolve through a negotiated settlement, written into a stipulated decision that the court enters.

IRS notices that give you the right to go to Tax Court

The Tax Court can only hear a case when the IRS has issued a specific notice that gives you that right. The most common are:

  • Notice of deficiency (90-day letter). The IRS’s formal determination that you owe additional income, estate, gift, or certain excise tax, usually after an audit or an automated underreporting notice such as a CP2000.
  • Collection Due Process notice of determination. The decision IRS Appeals issues after a Collection Due Process hearing on a levy or lien.
  • Innocent spouse final determination. An IRS decision denying all or part of a request for relief from joint liability, or no decision six months after the request was filed.
  • Worker classification determination. An IRS determination that workers you treated as independent contractors are employees for employment tax purposes.
  • Other determinations. Certain whistleblower award decisions, partnership adjustments, interest abatement denials, and passport certification for seriously delinquent tax debt.

A 30-day letter, a balance-due notice, or a CP2000 is not one of these notices. If you received one of those, you are usually earlier in the process, and an IRS appeal or a response during the audit may be the right next step.

Tax Court petition deadlines

  • Notice of deficiency. 90 days from the date of the notice, or 150 days if the notice is addressed to you outside the United States (IRC 6213(a)). The Tax Court treats this deadline as strict and cannot extend it. If the last day falls on a weekend or a legal holiday in the District of Columbia, the deadline moves to the next business day.
  • Collection Due Process. 30 days from the date of the notice of determination (IRC 6330(d)).
  • Innocent spouse. 90 days from the date of the final determination letter (IRC 6015(e)).
  • Worker classification. 90 days from the date the notice of determination was mailed (IRC 7436).

Count from the date printed on the notice, not the day it arrived. Filing a late petition generally ends your chance to dispute that notice in Tax Court, leaving only the slower and more expensive option of paying the tax and suing for a refund. The U.S. Tax Court website explains the court’s rules and filing system.

How a Tax Court case works, step by step

  1. Confirm the deadline and the type of notice. We check the date of the notice, the last day to petition, and that the notice was properly issued.
  2. File the petition. The petition identifies each error in the IRS determination and the facts that support your position. It is filed electronically through the court’s DAWSON system, with a $60 filing fee that can be waived for those who cannot pay. Filing generally stops the IRS from assessing the disputed tax while the case is pending.
  3. Choose the case type and place of trial. We decide with you whether to elect the small tax case procedure, and request Columbia as the place of trial.
  4. Answer and settlement through Appeals. IRS Chief Counsel files an answer. If Appeals has not already considered the case, it is usually referred there for settlement discussions before trial.
  5. Informal discovery and stipulations. The Tax Court expects the parties to exchange information informally and to agree in writing to as many facts and documents as possible. A well-built stipulation narrows the trial to the issues that are truly in dispute.
  6. Trial. If the case does not settle, it is set for a trial session. We present witnesses and documents, cross-examine the IRS’s witnesses, and argue the law to the judge. There is no jury in Tax Court.
  7. Briefs and decision. In regular cases, the parties usually file written briefs after trial, and the judge issues a written opinion. The decision states the tax and penalties, if any, that you owe.
  8. Appeal and South Carolina follow-up. A regular case decision can be appealed to the U.S. Court of Appeals for the circuit where you live, which for South Carolina residents is the Fourth Circuit. A final federal change usually also changes your South Carolina return.

Small tax cases: $50,000 or less

If the amount in dispute, including penalties, is $50,000 or less for each tax year, you can usually elect the small tax case procedure, often called an S case (IRC 7463). S cases use simpler rules of evidence, are heard by a judge or special trial judge in a less formal setting, and do not require post-trial briefs. The tradeoff is that an S case decision cannot be appealed by either side and does not serve as precedent for other cases. Whether an S case makes sense depends on the issues, the amount at stake, and whether the same issue may come up in later years.

Other courts for federal tax disputes

The Tax Court is not the only option. If you pay the full tax first and the IRS denies a claim for refund, you can sue for a refund in the U.S. District Court for the District of South Carolina, where a jury trial is available, or in the U.S. Court of Federal Claims in Washington, D.C. Each court follows its own body of precedent, and the IRS is represented by Department of Justice attorneys in refund suits rather than IRS Chief Counsel. Choosing the right court is a strategic decision we make with you based on the issues and how each court has decided them.

Tax Court cases and your South Carolina taxes

South Carolina income tax starts from federal taxable income, so the result of a Tax Court case usually changes your South Carolina tax too. South Carolina generally requires you to report a final federal change on an amended South Carolina return within 180 days. Disputes with the South Carolina Department of Revenue do not go to the U.S. Tax Court. They follow the state’s own SCDOR appeal process, which leads to the South Carolina Administrative Law Court. The firm handles both the federal and the state side.

Attorney experience

The firm is led by attorney Daniel P. Knudsen, who has represented taxpayers in tax controversies for more than 10 years, including litigation before the U.S. Tax Court. Before entering private practice, Daniel represented taxpayers before the IRS at a Low Income Taxpayer Clinic funded through the IRS Taxpayer Advocate Service grant program, and worked in the Executive Division of a state department of revenue.

Daniel holds an LL.M. in Taxation and certificates in International Taxation and State and Local Taxation from Georgetown University Law Center, and completed the Tax Litigation Training Program, a professional certificate program, at Villanova University Charles Widger School of Law. Every Tax Court case is handled by an attorney from the petition through final resolution.

Tax Court representation throughout South Carolina

Our office is in Spartanburg, and we represent Tax Court clients throughout South Carolina, including Greenville, Columbia, Charleston, North Charleston, Mount Pleasant, and Rock Hill. The U.S. Tax Court holds trial sessions for South Carolina cases in Columbia. Much of a Tax Court case, including settlement discussions with IRS Appeals and Chief Counsel, happens by phone, video, and written filings, so you do not need to live near Spartanburg or Columbia.

U.S. Tax Court questions

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

No. That is the main advantage of the Tax Court. A timely petition generally stops the IRS from assessing and collecting the disputed tax until the case is decided. Interest keeps running on any amount you are finally found to owe, so in some cases a deposit to stop interest makes sense.

What happens if I miss the 90-day deadline?

The IRS can assess the tax, and the Tax Court generally cannot hear a case on that notice. You may still be able to pay the tax and file a refund claim, request audit reconsideration, or raise the issue in a Collection Due Process hearing in limited situations. Get advice quickly, because those options have their own deadlines.

How long does a Tax Court case take?

Many cases settle within about a year of the petition. Cases that go to trial, especially regular cases with post-trial briefs, can take longer before the judge issues a decision.

Where would my trial be held?

For South Carolina cases, the Tax Court holds trial sessions in Columbia. The place of trial is requested when the petition is filed. Some proceedings, such as status conferences, are held remotely by video.

Who has the burden of proof?

In most cases the taxpayer must show that the IRS determination is wrong, which is why records and testimony matter. The burden can shift to the IRS in some situations, and the IRS bears the burden on certain issues, such as the civil fraud penalty and new issues it raises after the notice.

Can I represent myself in Tax Court?

Yes, and many people do, especially in small tax cases. But the IRS is represented by trained attorneys, the court has its own rules of practice, and the stipulations and evidence you put in the record decide the case. An attorney can file the petition correctly, negotiate with Appeals and Chief Counsel, and try the case if it does not settle.

Related article: IRS Notice of Deficiency: What the 90-Day Letter Means

Related tax controversy services

Talk to a South Carolina Tax Court attorney

If you received a notice of deficiency or another IRS notice giving you the right to petition the Tax Court, call (803) 753-7376 or request a consultation as soon as possible. Tell us the type of notice, the tax years involved, and the date on the notice. Please don’t include confidential details in the contact form. Submitting it does not create an attorney-client relationship.

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South Carolina Tax Law Firm PA is a private law firm and is not affiliated with the U.S. Tax Court, the IRS, the South Carolina Department of Revenue, or any government agency. Attorney responsible for this content: Daniel P. Knudsen, 405 S. Pine St., Suite F, Spartanburg, SC 29302. This page provides general information, not legal advice. Every case depends on its own facts, and no particular outcome can be promised.

Reviewed by Daniel P. Knudsen, attorney, October 2026.

405 S. Pine St., Suite F, Spartanburg, SC 29302

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