Oregon Tax Court Partially Sustains Taxpayer’s Income Tax Assessment Appeal

The Oregon Tax Court issued a decision partially granting taxpayer’s appeal against the Department of Revenue’s notice of assessment for the 2016 tax year. The dispute centered on whether the taxpayer had properly reported $658,693 in income from a securities company on his personal tax return. Despite conflicting evidence and record-keeping issues, the court found taxpayer’s tax preparer credible and concluded that the income had been reported through a related S corporation. The court upheld the adjustment for $332,051 in constructive dividends, removed the additional $658,693 income adjustment. [Hamlin v. Dep’t of Revenue, Or. T.C., Magistrate Div., No. TC-MD 230278N, ...