128 T.C. No. 5 UNITED STATES TAX COURT RAINBOW TAX SERVICE, INC., Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket No. 7738-05. Filed March 8, 2007. Petitioner employed individuals to provide tax return preparation and bookkeeping services. Petitioner calculated its tax liability for petitioner’s tax years ending June 30, 2002 and 2003, using the graduated corporate income tax rates set forth in sec. 11(b)(1), I.R.C. Held: Petitioner’s tax return preparation and bookkeeping services constitute accounting services for purposes of sec. 448(d)(2), I.R.C., and petitioner is therefore subject to the sec. 11(b)(2), I.R.C., flat 35-percent tax rate applicable to qualified personal service corporations. Donna Joyner-Rodgers (an officer), for petitioner. Derek W. Kaczmarek, for respondent.Page: 1 2 3 4 5 6 7 8 9 10 Next
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