An Action on Decision (AOD) is a formal memorandum prepared by the IRS Office of Chief Counsel that announces the future litigation position the IRS will take with regard to the court decision addressed by the AOD.

The following list initially presents these documents in reverse chronological order, from the present back to calendar year 1997.

View information about Using IRS Forms, Instructions, Publications and Other Item Files.

  1. Enter a term in the Find box.
  2. Click the Search button.
jwenn Èd
Nimewo Desizyon Livrezon Dat Piblikasyon
1999-02 Larotonda v. Commissioner, AOD CC-1998-010. An action on decision stating that the Service will not acquiescence to the Court's conclusion in Larotonda. Recent legislation warrants the withdrawing of this AOD. The statutory provision effectively at issue in Larotonda was modified by the Restructuring and Reform Act of 1998, Pub. L. No. 105-206, 112 Stat. 685 (1998), enacted on July 22, 1998. Section 3436 of the Act amends section 72(t) to provided that the early distribution tax shall not apply to a distribution made on account of a levy 03/03/2000
1997-01 Xerox Corporation v. United States, 41 F.3d 647 (Fed. Cir. 1994). Reflects the Service's disagreement that the U.S.-U.K. Income Tax Treaty allows a United States corporation to treat advance tax paid by a U.K. subsidiary as a creditable tax under I.R.C. § 902(a). 03/03/2000
1997-05 Hurt v. USA, 70 F.3d 1261 (4th Cir. 1995). Reflects the Service's disagreement with the Fourth Circuit's opinion that the Service was not entitled to collect statutory interest on the taxes assessed pursuant to a Tax Court decision based upon a settlement agreement. 03/03/2000
1999-01 Eisenberg v. Comm., 155 F. 3d 50 (2d Cir. 1998). This Action on Decision reflects the Service's acquiescence in the Court's conclusion, to the extent, that it held that there is no legal prohibition against the discount in the value of a gift of closely held stock by an amount attributed to the potential capital gains tax liability of the corporation upon liquidation, or upon the sale or distribution of its assets. The applicability of such a discount, as well as its amount, will hereafter be treated as factual matters to be determined by competent expert testimony. 03/03/2000
1999-10 Boyd Gaming Corporation v. Comm., 9th Cir. 1999. Reflects the Service's acquiescence in the Court's conclusion that held that the taxpayer's particular security and other business-related concerns provided sufficient justification for its policy of requiring employees to stay on the employer's business premise to satisfy "the convenience of the employer" test of section 119. In applying section 119 and Treas. Reg. § 1.119-1, the Service 03/03/2000
1999-17 Duke Energy Natural Gas Corporation v. Comm. Reflects the Service's nonacquiescence in the court's conclusion holding that natural gas gathering systems are property includible in asset class 13.2 and must be depreciated over a 7-year period. 03/03/2000
1997-02 United States v. Kao, 81 F.3d 114 (9th Cir. 1996). Reflects the Service's acquiescence in the result that the Service could not, by issuing summonses, compel taxpayers to sign consent directives authorizing the release of records from unidentified domestic and foreign banks. 03/03/2000
1998-04 Fredericks v. Commissioner, No. 96-7748. Reflects the Service's agreement with the circuit court's ruling that, based upon the particular facts of this case, the Service was equitably estopped from relying upon a Form 872-A to indefinitely extend the period of imitations for making an assessment when the Service's actions misled the taxpayer into believing that the form was not in effect. 03/03/2000
1997-10 Sun Microsystems, Inc. v. Commissioner, T.C.M. 1995-69. Reflects the Service's agreement that the income recognized by the taxpayer's employees under I.R.C. § 421(b) on the "disqualifying disposition" of incentive stock options were includable as "wages" incurred as a research expense in calculating the taxpayer's credit for increasing research expenses under I.R.C. § 41. 03/03/2000
1999-03 Murillo v. Commissioner, T.C. Memo. 1998-13. This Action on Decision reflects the Service's acquiescence in the Court's conclusion, in this case, that the Individual Retirement Account (IRA) forfeiture was similar to the Service's levy on a Keogh account in Larotonda v. Commissioner, 89 T.C. 287 (1987) (involving the predecessor to section 72(t)), and was outside the class of early distributions that Congress intended to discourage in enacting section 72(t). 03/03/2000
1997-04 Duncan v. U.S., Docket No. 95-228 (U.S. D.C.,E.D. Ky.) Reflects the Service's agreement that disability benefits paid from a Kentucky policemen and firefighter's retirement fund can be excluded from gross income under I.R.C. § 104(a)(1) as benefits paid under a statute in the nature of a workmen's compensation act. 03/03/2000
1999-08 Hospital Corp. of America and Subsidiaries v. Comm, 109 T.C. 21. Reflects the Service's acquiescence in the Court's conclusion, to the extent, that the Tax Court held that the term "tangible personal property," as defined under a pre-1981 ITC analysis, has continued viability under ACRS and MACRS. The issue as to whether the various disputed items are structural components or tangible personal property is a factual question. We do not agree with the court's determination with respect to the various disputed properties. We cannot 03/03/2000
1999-13 Dubin v. Commissioner, 99 T.C. 325 (1992) . Reflects the Service's acquiescence in the court's conclusion that held although section 6231(a)(12) expressly provides that a husband and wife who have a joint interest in a partnership shall be treated as one person, the regulations reverse that rule, stating that a husband and wife holding a joint interest should be treated as separate partners. Temp. Treas. Reg. § 301.6231(a)(12)-1T(a). The Court determined that the bankruptcy of the husband caused the partnership items on the 03/03/2000
1999-04 Oshkosh Truck Corporation v. United States 123 F.3d 1477. Reflects the Service's acquiescence that a presumed markup percentage must be used in computing the vehicular excise tax on automotive articles sold to the United States directly by manufacturers when there are no retail sales outlets for such automotive articles. 03/03/2000
1998-02 Bilzerian v. United States, 86 F.3d 1067 (11th Cir. 1996) Reflects the Service's acquiescence in the result reached by the Eleventh Circuit in holding that once an assessed tax liability is paid by the taxpayer, the Service cannot use administrative collection actions to collect that liability even if the Service had erroneously refunded all or part of the liability after its payment. 03/03/2000
1997-12 Jackson v. Comm, 108 T.C. 130 (1997) ( T.C. # 23558-94). Reflects the Service's agreement that a former insurance agent is not required to pay tax under the Self-Employment Contributions Act (SECA) on specified contractual termination payments he received from an insurance company upon the termination of his contract with the insurance company. 03/03/2000
1998-05 McCormick v. Peterson, CV93-2157 (E.D>N.Y. 1993). Reflects the Service's agreement with the district court's ruling that adding the words "under protest" to the signature of a tax return without otherwise modifying the words of the jurat does not cast doubt on the validity of the jurat and, accordingly, does not invalidate the document as a return. 03/03/2000
1997-13 Pacific Enterprises & Subs. v. Comm., 101 T.C. 1 (1993). This Action on decision reflects the Service's agreement that recoverable cushion gas and recoverable line pack gas, which are used to maintain adequate pressure in gas storage reservoirs and pipelines, respectively, are appropriately treated as nondepreciable capital assets. 03/03/2000
1999-06 Estate of Mellinger v. Commissioner, 112 T.C. 4 (1999). Reflects the Service's acquiescence in the Court's conclusion that closely-held stock held in a QTIP trust should not be aggregated, for valuation pusposes, with stock in the same corporation held in a revocable trust and includible in the decedent's gross estate. The Tax Court's decision in this case is consistent with the Service’s position regarding the valuation of minority interests passing to QTIP trusts. The proper funding of the 03/03/2000
1999-16 Conway v. Commissioner, 111 T.C. 350 (1998) Reflects the Service's acquiescence in the Court's conclusion that held that the transaction was a nontaxable exchange pursuant to section 1035. Consequently, the 10-percent penalty under section 72(q), which generally applies to taxable distributions from an annuity, was not applicable to the transaction. Section 1035(a)(3) provides that no gain or loss shall be recognized on the exchange of an annuity contract for another annuity contract. See also Treas 03/03/2000
1999-07 Vulcan Materials Commpany and Subsidiaries v. Comm. Reflects the findings of the Tax Court that the statutory language of section 902(a) and its regulations are unclear. The Court was not persuaded that the reference to "accumulated profits" necessarily meant all of the foreign corporation's accumulated profits for the year. The Court interpreted the language "on or with respect to the accumulated profits of such 03/03/2000
1999-09 IRS v. Waldschmidt (In re Bradley), (M.D. Tenn. 1999). This Action on Decision reflects the Service's acquiescence in the Court's interpretation of amended setion 121 in light of section 1398 and declining to follow Mehr and Barden, held that a bankruptcy estate steps into the debtor's shoes for purposes of section 121. 03/03/2000
1999-12 RJR Nabisco, Inc. et al. v. Commissioner, T.C. Memo. 1998-252. Reflects the Service's nonacquiescence in the Court's conclusion that held the graphic design and advertising campaign costs incurred by petitioner are currently deductible business expenses under I.R.C. §162. The Tax Court characterized the graphic design and advertising campaign costs as advertising costs and held the costs were deductible on the ground that the Service had conceded the deductibility of advertising costs in Rev. Rul. 92-80, 03/03/2000
1998-08 Fluor v. U.S., 126 F.3d 1397 (Fed. Cir. 1997). Although the Service agrees with the Federal Circuit's holding that an underpayment of tax that is eliminated by the carryback of excess foreign tax credits from a later year remains due and unpaid for purposes of computing interest until the year in which the credit arises, the Service does not agree with the court's determination that interest on the underpayment stops running on the last day of that tax year. 03/03/2000
1997-08 May Department Stores Co. v. United States, 36 Fed. Cl. 680. May Department Stores Co. v. United States, 36 Fed. Cl. 680 (Ct. Fed. Cls. 1996). AOD reflects the Service's agreement that, if a taxpayer elects to have overpayments of tax reported on a timely filed income tax return credited to the next year's tax liability without specifying the estimated tax installment against which the overpayment is to be credited, the Service, in computing interest on any subsequently determined tax deficiencies for the tax year in which the overpayments were reported, will not treat the reported overpayments of tax as having been credited against installments of 03/03/2000

Official Adobe Website