Federal tax law is derived from a variety of legislative sources, including the U.S.
Constitution, U.S. legislation and legislative history, and U.S. tax treaties. Due to the
significance of statutory law, the legislative background that led to the passage of this
legislation also serves as a significant source of federal tax law. Reports from judicial
committees or even recorded Senate or House debates may be included in this legislative
history.
The Internal Revenue Code (IRC), which contains most of these statutes, is published in Title
26 of the United States Code. But outside of the IRC, there are other tax laws. For instance,
the United States Code's Title 29, which is a section of the Labor Code, contains several tax
regulations that apply to retirement benefits.
The pronouncements of law from the Treasury Department and the IRS are known as
Treasury Regulations. These Regulations may be the consequence of administrative
authority granted to the Treasury or IRS by Congress or they may be expressly authorized by
Congress. Title 26 of the Code of Federal Regulations contains most of these regulations.
The Regulations are highly comprehensive and frequently offer extremely thorough
examples. The IRS is required to abide by these regulations, but the courts are not.
A secondary source is a source that complements primary materials by providing
explanations, analyses, or interpretations. Like Tax Law Treatises, Code Services, Practice
Guides, Study Aides & Tax News, and Journals. Even though secondary sources lack
authority, they are an essential component of any tax research plan.
Tax planning is frequently complex and depends on regulations that can be just as complex.
It is crucial that not only these various regulations are understood, but also the authority
that each of these various rules has. The sources that have been discussed offer a solid
foundation for tax preparation when used properly.
References:
MTL TX-LW Sources of Tax Law | Constitutional and Legislative Sources of Tax Law
(irstaxtrouble.com)
GW Law Secondary Sources - Tax Law Resources - GW Law Library: Library Guides at George
Washington University Law School (libguides.com)
Anderson For the Record : Newsletter from Andersen : Q1 2017 Newsletter : Know Your
Sources: The Importance of the Weight of Authority in Tax Planning
