Final answer:
The incorrect statement concerns the authority of Tax Court decisions, as they are national in scope and can be persuasive across jurisdictions, even if not binding. Revenue Rulings and Revenue Procedures are authoritative IRS guidance but can be invalidated or modified by the courts. The importance of older court decisions is determined by their validity in current law, not just by their age.
Step-by-step explanation:
The statement that is INCORRECT with regard to the weight of authority of tax documents is: 'The opinions of the Court of Federal Claims and Tax Court are not binding on a taxpayer if they were issued with respect to a taxpayer who lives in a different jurisdiction.' This statement does not accurately reflect how the tax court system works. While it is true that decisions of the Court of Appeals are binding only within their respective circuits, the Tax Court is a national court, and its decisions are precedential and can be persuasive across jurisdictions, even if not binding on other courts. Revenue Rulings, and Revenue Procedures, however, do not have the same binding authority as court decisions, although they are considered authoritative guidance from the IRS. Court decisions can modify or hold Revenue Rulings and Revenue Procedures to be invalid, reflecting the dynamic nature of the law. Furthermore, while older court decisions may become less relevant over time due to changes in the law, their importance does not necessarily decline solely because of their age unless they have been overturned or contradicted by higher court rulings, including those from the Supreme Court, which are the most authoritative.