The Internal Revenue Service reminded taxpayers last month that they will need to resume paying their taxes on July 15 as its “People First Initiative” to provide tax and penalty relief in response to the novel coronavirus pandemic comes to a close. July 15 is also the date, of course, when taxpayers were expected to […]
Posts Tagged ‘Installment Agreement’
The Internal Revenue Service reminded taxpayers Wednesday that they will need to resume paying their taxes on July 15 as its “People First Initiative” to provide tax and penalty relief in response to the novel coronavirus pandemic comes to a close. July 15 is also the date, of course, when taxpayers will be expected to […]
This time last year, the IRS was processing federal returns with few problems — nearly 138 million by the third week in May. This year, with staff sent home because of the novel coronavirus, the agency has only processed 117 million returns, down 14 percent from last year, according to the latest statistics for the […]
c These are truly trying times for everyone. For the Internal Revenue Service, our nation’s tax (and now stimulus) administrator, times are about to get even more hectic. The IRS is in the middle of a perfect storm. It’s in the midst of a busy filing season — with about 70 million individual tax returns […]
Seeking the help of an accountant or tax preparer is one of the best ways to identify deductions, reduce tax liability and make sure your return is correct before filing with the IRS. But every now and then, something happens that forces a big change in your tax situation. And when a new life event or […]
There are typical actions that are taken when closing a business. You must file an annual return for the year you go out of business. If you have employees, you must file the final employment tax returns, in addition to making final federal tax deposits of these taxes. Also attach a statement to your return […]
If you don’t file a tax return, the IRS may file for you with something called a Substitute for Return to determine the amount you owe them. A substitute for return is the IRS’ estimation of what you owe for that year. They use past returns, as well as income reported by your employer(s) to approximate […]
The IRS won’t call you out of the blue. Maybe the letters “IRS” turn up on your caller ID, or you might pick up the phone blindly and the voice on the other end of the line says it’s Joe Smith calling from the Internal Revenue Service. Hard as it might be to prevent it, […]
Doubt As To Collectability The Offer in Compromise (OIC) for doubt as to collectability is a settlement initiated by a taxpayer based on a snapshot of the taxpayer’s financial situation. In many cases, taxpayers can settle large tax debts for significantly less than they owe. The IRS will consider a client’s Reasonable Collection Potential (RCP), […]
1. The Right to Be Informed Taxpayers have the right to know what they need to do to comply with the tax laws. They are entitled to clear explanations of the laws and IRS procedures in all tax forms, instructions, publications, notices, and correspondence. They have the right to be informed of IRS decisions about […]