Accountants and other tax practitioners are facing a minefield of new liability dangers as a result of the actions of tax shelter promoters who patent their tax reduction strategies, legal experts warned Congress.Testifying recently before the House Ways and Means Subcommittee on Select Revenue Measures, Internal Revenue Service Commissioner Mark Everson outlined a nightmare scenario for accountants who advise clients on estate and gift tax issues - only to discover that the tried-and-true tax reduction strategy that they recommended has been patented by another practitioner.
"In these cases, a practitioner who wishes to use a standard planning technique could expose himself and his client to potential liability for royalties or infringement litigation," Everson told Congress.
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