After two long years, a woman from Rapid City, South Dakota claimed a victory over the Internal Revenue Service. The woman, Laca Ossenfort, convened a news conference to announce the settlement in her battle against the IRS.
In 2010, the IRS notified Ms. Ossenfort that she was personally liable for taxes and penalties that totaled $1.3 million because of an acquisition by Pioneer Credit Counseling, a company for which she is an administrator. The liability was apparently incurred in 2005 when Pioneer Credit counseling purchased the assets of a company Ms. Ossenfort also had an interest in personally, Savoy.
At the time, there was a service agreement in place between the two companies.
Upon receiving the tax assessment, Ms. Ossenfort, with the assistance of tax attorneys, appealed the penalty in the United States Tax Court. A settlement was reached between Ms. Ossenfort and the IRS before the trial date in September, according to a spokesperson for Ms. Ossenfort.
According to a spokesman from the IRS, the Internal Revenue Service does not comment on any settlements.
Documents from the Tax Court disclose the fact that both parties are paying their own tax attorney fees and that Ms. Ossenfort was not awarded any additional costs that she may have incurred while this case played out.
While the spokesman for Ms. Ossenfort did not disclose the exact details her battle against the IRS, he did say that it was offered by the IRS after it dropped the claim. He also remarked that both Ms. Ossenfort and Pioneer Credit Counseling were content with the settlement reached in the case.
If you have a similar dispute with the IRS, or if you think that you have been unjustly assessed a tax that you should not be liable for, please contact a competent and knowledgeable tax attorney.
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