Yearly Archives: 2025

In a landmark decision, the U.S. Court of International Trade has struck down several of former President Donald Trump’s most sweeping tariffs, ruling that he overstepped his authority under the International Emergency Economic Powers Act (IEEPA). The three-judge panel found that the 1977 law does not give the president “unbounded authority” to impose tariffs on goods from nearly every country, a move that has been celebrated by small businesses and a coalition of 12 states that challenged the tariffs in court.

The tariffs in question included the so-called “trafficking,” “worldwide,” and “retaliatory” tariffs. These measures imposed steep duties, 25% on Mexican and Canadian products, 20% on Chinese goods, and a general 10% duty on all imports from U.S. trading partners, with even higher rates for some countries. Trump’s administration had argued these tariffs were necessary to address threats from international criminal cartels and to respond to what it called a “lack of reciprocity” in trade relationships. 

The judges made clear that while IEEPA allows the president to act in response to a declared national emergency, any authority it confers is subject to “meaningful limits” and cannot be used as a blank check for sweeping trade actions. The panel further noted that an unlimited delegation of tariff authority would be unconstitutional, citing the separation of powers and doctrines that prevent Congress from handing over its core legislative functions without clear boundaries.

State attorneys general and small business plaintiffs hailed the ruling as a major victory for the rule of law and for American families and businesses. Oregon Attorney General Dan Rayfield stated that the tariffs had “triggered retaliatory measures, inflated prices on essential goods, and placed an unfair burden on American families, small businesses and manufacturers.” New York Attorney General Letitia James echoed this sentiment, calling the tariffs “a massive tax hike” that would have led to more inflation and job losses if allowed to continue.

On the other side, the Trump administration defended its actions, arguing that persistent trade deficits and foreign countries’ nonreciprocal treatment of the U.S. constituted a national emergency. 

The court’s decision not only vacates the challenged tariff orders but also permanently blocks their operation. While the plaintiffs’ request for a preliminary injunction was denied as moot, the ruling sends a strong message about the limits of presidential power in trade policy. It also sets a precedent that could shape future administrations’ use of emergency powers in economic matters.

Ultimately, this case underscores the enduring importance of constitutional checks and balances. By reaffirming Congress’s primary role in setting tariff policy, the court has drawn a clear line against executive overreach, reminding all branches of government that even in times of perceived crisis, the law and the Constitution remain paramount.

Have a Constitutional Law Problem?

 

for a FREE Tax Consultation

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Sources:

1.     https://www.law360.com/tax-authority/federal/articles/2346278?nl_pk=c7e157db-9214-4c8a-8304-373a69b1532e&utm_source=newsletter&utm_medium=email&utm_campaign=tax-authority/federal&utm_content=2025-05-29&read_main=1&nlsidx=0&nlaidx=1   

2.      https://www.nytimes.com/2025/05/28/business/trump-tariffs-blocked-federal-court.html            

3.      https://www.businessinsider.com/donald-trump-tariffs-blocked-federal-court-2025-5         

4.      https://www.aljazeera.com/economy/2025/5/29/us-trade-court-rules-trumps-sweeping-global-tariffs-are-unlawful 

5.    https://www.politico.com/news/2025/05/28/federal-court-strikes-down-trumps-april-2-tariffs-00373843  

Read more at: Tax Times blog

If you’re a Florida business owner, the thought of a tax audit from the Florida Department of Revenue (DOR) might make you uneasy. But the reality is, an audit isn’t always a bad thing if you are prepared which will make the process much smoother. Here’s what you need to know if you receive that official audit notice.

Why Does the Florida Department of Revenue Audit Businesses?

First, let’s clear up a common misconception: not all audits are triggered by suspicion of wrongdoing. In fact, most are routine. 

How Are Businesses Selected for Audit?

Selection for a Florida tax audit can happen in several ways:

·         Information sharing with the IRS or other states

·         Random computer selection

·         Analysis of your Florida tax returns

·         Industry publications and directories

So, if you’re selected, it doesn’t necessarily mean you’ve done anything wrong.

How to Prepare for a Florida Tax Audit

·         Keep your records organized and up to date.

·         Respond promptly to DOR requests.

·        Communicate openly with the auditor and ask questions.

·        Consult a tax professional, preferably an experienced tax attorney, if you’re unsure about anything.

The Audit Process: Step by Step

1. Notification

You’ll receive a “Notice of Intent to Audit Books and Records” (Form DR-840). This document tells you which taxes and periods are under review. You’ll also get a list of records you’ll need to provide.

2. Desk vs. Field Audit

·         Desk Audit: Conducted at the DOR office; you mail or upload your records.

·         Field Audit: Conducted at your business location; the auditor comes to you.

3. What Records Will You Need?

Be prepared to provide:

·         Federal and Florida tax returns

·         General ledgers and journals

·         Depreciation schedules

·         Cash receipt and disbursement journals

·         Purchase and sales journals

·         Sales tax exemption or resale certificates

Tip: Florida law requires you to keep records for at least three years. If you can’t provide records, the DOR will estimate your tax liability based on whatever information is available.

4. The Audit Itself

The auditor may interview you or your representative (if you want someone else to handle it, file a Power of Attorney form). They’ll ask about your business structure, accounting systems, and day-to-day operations.

Pro Tip: Assign a knowledgeable employee to assist the auditor and help gather records. Well-organized documentation can make the process much easier and faster.

5. Your Rights During the Audit

You have the right to:

·         Be informed about the audit’s findings and any proposed changes

·         Ask questions and get clear explanations

·         Have your representative, preferably an experienced tax attorney, present .

After the Audit: What Happens Next?

Once the audit is complete, you’ll receive a summary of the findings. If you owe additional taxes, you’ll get a Notice of Proposed Assessment. You’ll have 30 days to review and respond before any payment is due.

But remember: not all audits result in extra taxes. Sometimes, the auditor will find that everything is in order or even that you’re due a refund.

What to Do If You Disagree with the Audit Findings

If you disagree with the results of a tax audit, you have the right to challenge the findings. Here’s how:

1. Request a Reconsideration: Provide additional evidence or clarification to the FDOR to address the discrepancies.

2. File an Appeal: If the reconsideration doesn’t resolve the issue, you can file an appeal with the Florida Division of Administrative Hearings.

3. Seek Legal Counsel: Engage a tax attorney to represent you in disputes and ensure your rights are protected.

Conclusion

A Florida tax audit can feel overwhelming, but with proper preparation and a proactive approach, you can navigate the process with confidence. Understanding why audits occur, knowing what to expect, and taking the necessary steps to prepare, including hiring an experienced Tax Attorney, is critical to ensuring a favorable outcome.

By cooperating with auditors and seeking professional guidance when needed, you can emerge from the audit process with minimal disruption to your personal or business finances.

Are You Being Audited by the
Florida Department of Revenue (FDOR)?

Contact the Tax Lawyers at 

Marini & Associates, P.A.

 

for a FREE Tax Consultation

at www.TaxAid.us or www.TaxLaw.ms

or Toll Free at 888-8TaxAid (888 882-9243)

 

Read more at: Tax Times blog

According to Law360, the U.S. Tax Court decided on May 19, 2025, in Garcia v. Commissioner, docket number 27496-22P, for the first time that its review of a challenge to an IRS certification of tax debt as "seriously delinquent" is not limited to the agency's administrative record, saying a trial is needed in a man's case to determine the facts.

In the ruling, the full Tax Court rejected the Internal Revenue Service's request to find through summary judgment that the agency correctly certified the $130,000 tax debt of Alberto Garcia Jr. as seriously delinquent under Internal Revenue Code Section 7345(a), a designation that can cause a taxpayer's passport to be revoked.

Garcia argued that his tax liabilities, dating to 2005 through 2008, were unenforceable because they were so old and therefore couldn't constitute a seriously delinquent debt under the law. 

The IRS countered that the agency qualified for an exception to the 10-year time limit on collections because Garcia's liabilities had been reduced to judgment by a federal court within the proper time frame. 

Because He Was Never Served With The Lawsuit.

The court said the case tasked it with deciding an issue of first impression. As Judge Emin Toro framed it in writing the opinion for the court: "What is the scope of our review or, put differently, on what evidence do we determine whether the commissioner's certification that a seriously delinquent tax debt exists is correct?"

The court concluded that the text of the law and the court's precedents require it to review the case from the beginning, or "de novo," meaning that the review must include evidence introduced at trial.

"Because Mr. Garcia raises a genuine issue of material fact as to whether he was served in the district court suit, we cannot conclude at this stage of the proceedings that the liabilities at issue are legally enforceable," Judge Toro said.

If You Have Serious Delinquent IRS Debt, You Should Consult with Experienced Tax Attorneys, As There Are Several Ways Taxpayers Can Avoid Having the IRS Request That the State Department Revoke Your Passport. 

  Want To Keep Your US Passport?
 

 

Contact the Tax Lawyers at 

Marini & Associates, P.A.

for a FREE Tax Consultation Contact us at:

www.TaxAid.com or www.OVDPLaw.com 

or Toll Free at 888-8TaxAid (888)882-9243.

 

Read more at: Tax Times blog

This Is an Example of How Not to
Handle an IRS Collection Matter!

According to the DoJ, a Florida man was sentenced on May 14, 2025 to 24 months in prison for evading nearly $2.4 million in taxes on income he earned from his business.

The following is according to court documents and statements made in court: Roger Whitman manufactured and sold Rife machines, devices that use energy waves to purportedly treat a wide range of medical conditions. Between 2002 and 2018, Whitman generated millions of dollars in gross receipts from the sale of such equipment. Whitman also has a long history of non-compliance with his tax obligations, having not filed an individual income tax return since 1997 and not made any tax payments since 2000.

In 2012, the IRS assessed nearly $800,0000 in taxes against Whitman for 2002 through 2009 and then began trying to collect these taxes from him. To thwart the IRS’s collection efforts, Whitman formed a trust with his girlfriend serving as the trustee. Whitman then directed his income from the business into the trust’s bank accounts and used the funds from these accounts to pay personal expenses. In approximately July 2019, to further thwart IRS efforts, Whitman formed a new entity to operate his business.

Through his actions, Whitman caused a tax loss to the IRS of more than $2.4 million. 

In addition to his prison sentence, U.S. District Judge John Antoon II for the Middle District of Florida ordered Whitman to serve one year of supervised release and pay $2,314,220.15 in restitution to the IRS.

Have an IRS Tax Problem?

for a FREE Tax HELP Contact us at:
www.TaxAid.com or www.OVDPLaw.com
or Toll Free at 888 8TAXAID (888-882-9243)

Read more at: Tax Times blog