Happy New Year!

We hope you are getting off to an exciting, happy new start this January. Every year seems to show great promise and 2019 feels like it could be a good one. Every year, however, also has its challenges and changes. As most of you probably know, the federal government has been partly shut down for over three weeks. This shutdown has affected the IRS, which has not been able to fully function. Although it may be a nice break not hearing from the IRS, our politicians cannot shut down the government forever. Recently, the IRS has promised that it will begin sending refunds to tax filers soon. The bureau also announced that tax season would start on January 28. But many accountants and taxpayers worry that the shutdown could spell trouble later in the year. Not only has the IRS fallen behind in answering questions, ithasn’t provided final regulations about [...]

By |January 18th, 2019|IRS|0 Comments

What Happens When the IRS Sends a Letter?

Every year, the Internal Revenue Service (IRS) audits thousands of American taxpayers and businesses. When that happens, it becomes stressful. If the government determines that money is owed, it will attempt to collect by adding penalties, filing tax liens against property and taking a percentage of wages. Most taxpayers are unprepared to meet such demands, even when if they feel that their mistakes are honest ones. Delinquent taxpayers who try to work with the IRS directly, oftentimes dig a deeper hole for themselves – despite their best intentions not to. Although the IRS agent auditing them may be courteous and even helpful, the auditor’s job is to make sure the government gets paid at the taxpayer’s expense. If the auditor suspects that the taxpayer is trying to hide important information or is not being truthful, the case could be assigned to the IRS’ Criminal Investigation Division. In fact, over half [...]

By |September 4th, 2018|IRS|0 Comments

The IRS Can Now Revoke Your Passport If You’re Behind on Your Taxes

Taxes can be a complicated ordeal. Whether you file yourself or use a professional service, it’s important to be educated on the rules of the game. This year especially, thinking about the tax code causes stress and a whole lot of confusion. One piece of the incredibly long code is jumping up on people that didn’t know it existed. Section 7345 of the tax code is generally referenced for the criminal tax cases. There is however a new section that involves your passport. While the IRS can’t exactly swipe your passport from you, they do have the ability to send a certification to the State Department declaring you unfit for passport renewal. This can only happen if you owe a serious amount of back taxes to the IRS. Usually defined as $50,000 or more, being seriously tax delinquent can put a real damper on your travel plans. Now, being this [...]

By |December 13th, 2017|IRS|0 Comments

Can I Settle My Back Taxes with the IRS For a Lower Amount?

There can be a lot of conflicting information on whether or not you can settle your back taxes for a lower amount with the IRS. With so much information to shift through on the web, we have compiled all the necessary information about what your options are, if you can really settle for a lower amount, and what it will take to get to that point. Firstly, the simple answer is yes, you can settle your back taxes for a lower amount with the IRS. However, there are many stipulations and rules you will face before you are able to achieve that goal. You can file a form with the IRS called an “Offer in Compromise.” On the most basic level, an Offer in Compromise technically allows you to erase most of the back taxes you owe by making an “offer” to the IRS of an amount of money you [...]

By |November 14th, 2017|IRS|0 Comments