Kostelanetz partner Michael Sardar discussed his observations on the latest developments in tax controversy, including the challenges practitioners are facing as a result of reductions in the IRS workforce.
Michael addressed the pessimism that many felt at the beginning of 2025, given the expected funding cuts and fears that IRS enforcement would stall. But Michael notes that tax enforcement has continued apace.
“The IRS, the boots on the ground, the people working day to day? Yes, while there has been some disruption and certainly some folks have left the IRS, those that have remained continued to do their job well and see things through,” Michael said.
Although some challenges persist in light of funding cuts and shifting priorities within the IRS, Michael remains optimistic that IRS operations will stabilize as 2025 comes to a close.
You can watch the video here.
About Michael
Michael has extensive experience on a wide range of tax controversy and white-collar criminal defense matters, and he represents clients in all stages of civil and criminal tax controversies before the IRS, state tax authorities, the Department of Justice, and local prosecutors. Additionally, Michael represents clients in gift and estate tax audits, where he is called upon to assist taxpayers in challenging the IRS’s valuation of gifts and bequests and/or the includability of certain transfers.