Washington, DC, November 13, 2025 – Three attorneys now at Miller & Chevalier Chartered – Michael J. Desmond, Robert J. Kovacev, and Samuel A. Lapin – authored or co-authored amicus briefs in the recently decided U.S. Tax Court case Patel v. Commissioner, 165 T.C. No. 10 (2025). The briefs were submitted on behalf of the U.S. Chamber of Commerce and the National Association of Manufacturers (NAM) and address application of the codified economic substance doctrine under Internal Revenue Code (IRC) § 7701(o).

Patel is the first opportunity the Tax Court has had to consider section 7701(o) and the question of whether the statute requires a threshold relevancy determination. Consistent with the position taken in the two amicus briefs, the Tax Court held that it does. Commenting on the decision, Desmond noted that "the court's unanimous, reviewed opinion should eliminate any question over whether a threshold relevance determination is required before a court digs into the subjective and objective prongs of the codified doctrine, which will avoid protracted factual inquiries of many transactions."  

Miller & Chevalier welcomes the Tax Court's thoughtful engagement with the amici perspectives and its clarification of the doctrine's scope in this context.

About Miller & Chevalier 

Founded in 1920, Miller & Chevalier is a Washington, DC law firm with a global perspective and leading practices in Tax, International Law, Litigation, ERISA, White Collar Defense and Internal Investigations, Government Contracts, and Government Affairs. Miller & Chevalier is a top-ranked firm sharply focused on targeted areas that interact with the federal government. A significant number of firm lawyers have held senior positions in the U.S. government and have written many of the regulations they currently help clients navigate. For more information on the firm, visit www.millerchevalier.com.

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