Why learn how to research tax law?
To perform tax research, it is important to understand the federal branches of government that create primary tax authority, whether statutory, regulatory, or case law. Moreover, it is helpful to have an understanding of the various types of administrative documents issued by the IRS and the Treasury Department, some of which are binding and some of which are predictive. This selective guide attempts to provide a framework for tax research, and where applicable, a brief discussion of the weight of authority accorded to many of these administrative documents.
Federal tax research follows many of the same principles as basic legal research. First, establish the significant facts. For instance, who is being taxed? What activity is being taxed? Determine if the transaction is proposed or completed. Second, identify the issues involved. Third, locate the relevant statutory language in the Internal Revenue Code, a primary legal authority that underlies relevant judicial and administrative law.
If you need help in interpreting the controlling statutory language, you may wish to consult legislative history or administrative pronouncements. If administrative pronouncements exist, and if courts have ruled on the validity of these pronouncements, locate the judicial opinions. You may also wish to determine whether there have been constitutional challenges to the statute or to an administrative interpretation.
If you are not familiar with the primary authority relevant to your research topic, it is best to begin with secondary resources such as treatises, journal articles, and looseleaf services. Such secondary authorities may help you to identify the relevant Code section and related issues. Finally, secondary sources are invaluable for providing a framework with which to identify, analyze, and explain issues in federal tax law.
