Getting Results – A big tax controversy win

In U.S. Tax Court and in the Ninth Circuit Court of Appeals, JMBM successfully represented against the IRS the two California founders of a women’s apparel business. The IRS attempted to disallow our clients’ deduction of business losses from their charter jet operation, saying that the business was not being run with the intent of making a profit. We demonstrated that, while the operation wasn’t their primary business, our clients had applied their business skills to operating the jet business and had kept detailed records documenting their management efforts, facts that established their right to the deduction under the Tax Code.