The Reversal of Judicial Decisions by Statute: U.S. v. Home Concrete & Supply, LLC

• In Event: Taxation 3

Abstract

This paper reviews the history of Home Concrete and its reversal by Congress. It finds that statutory reversals arise for the same reasons many tax laws are enacted, e.g. an effort to raise revenue or improve compliance by discouraging aggressive positions on tax returns. But in the case of the amendments to §6501(e)(1)(B), the result is the removal of a statutory defense from an adjustment, additional tax reporting by taxpayers, more work for the return preparers and unnecessary uncertainty regarding the possible opening of a statute of limitation that a taxpayer believed was closed.

Authors

• Donald T Williamson, American University

• Andrew Blair Staley, Bloomsburg University of Pennsylvania