This course discusses recent judicial and administrative tax decisions impacting individuals and pass-through entities. A brief review of the judicial and administrative tax system includes a discussion of which court a taxpayer should use when an administrative remedy cannot be reached after an IRS audit. A review of salient court cases includes the following topics:

  • What is included/excluded in gross income?
  • What deductions are allowed from gross income based upon whether an activity is “engaged in for profit” or a “passive activity,” what is an “ordinary and necessary business expense,” and not a personal expense.
  • Deductions from adjusted gross income, including limits on charitable contribution deductions.
  • Trust fund tax penalties, including determining who is a “responsible person” for paying federal employment taxes.
  • Tax Administration issues including relief from joint and several liability, and “innocent spouse” relief on a married filing jointly tax return.
  • Tax penalties imposed for: failure to file/pay, filing a frivolous tax return, fraud, negligence, gross valuation misstatement, and failure to report ownership of a Foreign Bank Account.

This course also discusses how to avoid/minimize common mistakes made when filing a tax return.

Learning Objectives
  • Identify and understand how the court system works when appealing an unfavorable IRS audit determination, and how the IRS administers the tax laws.
  • Discover and understand the definition of gross income.
  • Discover and understand the limitations on deducting expenses from gross income.
  • Explore and understand the requirements for itemizing deductions and claiming the charitable contribution deduction.
  • Explore and understand the tax liability of a “responsible person” for unpaid trust fund taxes and the role penalties play in the administration of federal tax law.
Last updated/reviewed: December 11, 2023
2 Reviews (22 ratings)


Anonymous Author
I enjoy the court cases. It provides more insight into challenges and reinforces the importance of knowing the law.

Anonymous Author
Was looking for tax updates but going through the court cases didn't make this a cut and dry approach.

Course Complexity: Foundational
No advanced preparation or prerequisites are required for this course.
Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
Course Syllabus
  Introduction to 2023Federal Tax Update2:00
  Federal Judicial System2:38
  Federal Tax Administration System5:20
  Gross Income22:40
  Deductions From Gross Income21:40
  Deductions From Adjusted Gross Income16:20
  Deduction From Adjusted Gross Income Cont'd15:13
  Trust Fund Tax Penalties3:48
  Tax Administration3:10
  Civil and Criminal Penalties2:42
  FBAR Penalties and Conclusion3:56
  2023 Federal Tax Update1:39:26
  Slides: 2023 Federal Tax UpdatePDF
  2023 Federal Tax Update Glossary/IndexPDF