Professional tax relief services help you resolve tax debt—and regain control of your finances.
Reduce the stress and cost of an audit with professional tax representation—from first notice to full resolution.
An IRS Notice CP49 is a letter from the IRS informing you that they used all or part of your tax refund to pay a past-due tax debt that you have.
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An IRS CP501 is an official notice from the IRS Collections Unit that is sent to taxpayers to inform them that they have an outstanding debt.
There are many ways taxpayers can deal with getting their tax debts settled but the best path for each taxpayer depends on the circumstances of their case.
A tax refund offset occurs when the Federal Government’s Treasury Offset Program withholds part or all of an expected Federal tax refund to pay past-due debt.
Yes, you can indeed receive a tax benefit for installing new energy efficient windows on your house – provided that certain conditions are met.
Even though the amount you owe the State of New York Taxation Department seems overwhelming in terms of your ability to pay, there are some options open to you.
I'm inheriting $44,000 from my father's house being sold in New York. I just want to know how much tax, if any, would I have to pay in South Carolina. Thank You
When it comes to medications, you can only deduct the amounts that you pay for medicines or drugs that have been prescribed for you by a doctor.
In 2023 the tax returns are due April 18th for most taxpayers. However, if you live in California, Alabama, or Georgia your taxes may be due at a later date.
My brother's wife died and he was left with the house. He gifted (no exchange of money) me the house and I sold it. How do I report capital gains?
The biggest chunk that will be deducted from your paycheck is most likely taxes, both federal and state. Federal taxes include income tax and FICA.
The IRS wants to get paid but it understands a lot of folks cannot pay in full right away, so the IRS created several ways to work with taxpayers who owe money.
Falling behind on your California payroll tax payments effects not only your employees, but also on your business operations as the EDD imposes penalties.
If the IRS hasn't debited your accound payment, the first step is to contact your bank to see if the payment has been taken from your account.
To claim a dependent on your tax return (and all the credits that come with that dependent), your child must meet a set of requirements.
Fortunately, the short answer to the original question is yes, Illinois state payroll tax debt can quite possibly be reduced.
The IRS has the power to impose some very strong penalties for businesses that fall behind in their obligations to make the scheduled payroll tax deposits.
An Offer in Compromise may help certain taxpayers who cannot pay their tax debt to the California Franchise Tax Board in full. Let's review the requirements.
The IRS has established payment programs to allow a personal or business debt to be paid off over an agreed period of time. Here's how to set up a payment plan.
The length of a tax audit depends on many factors and can go on for months or even years. You don't have to face a tax audit alone though - TaxAudit can help!
A large tax refund alone will not necessarily generate a tax audit, but if the reason why you received a large refund is questionable the IRS may peek closely.
Taxpayers receive an IRS CP503 because they have an unpaid tax debt. This is the 2nd notice the IRS sends taxpayers that they have an outstanding balance due.
You can indeed arrange IRS payments. You can negotiate a plan with the IRS to pay your debt off in either a short-term or long-term series of installments.
Can you negotiate to avoid a wage garnishment before it starts? Can you negotiate the amount of the wage garnishment? Let's explore the answers.
You owe money to the IRS and you can’t pay it all off right now. Let's explore different payment plan options based on your tax situation.
The IRS treats payroll tax debt seriously. Any employer or employee whose job it is to collect and pay the taxes, but willfully fails, can be held responsible.
Now that you have received a notice from the IRS, you want to know if you are still going to get your tax refund. The answer is – maybe. Ler's explore more.
Your son does not need to report or pay tax on the $70,000 you gifted him from the inheritance your wife received from her mother’s probate! Let's explore more.
There is a very good chance you can get a deduction on your taxes for the State sales taxes that you had to pay on your new car, truck, van, or other vehicle.
What can cause a tax audit? Let’s talk about some of the primary triggers that may cause you to receive an audit or other notice.
Making sure your tax return is correct, even if that means amending your return, is better than having an incorrect return and hoping the IRS doesn’t notice!
Do we actually know what a tax audit is, why they exist, and what we can do to prepare for one? Let's explore the answer to these tax audit questions.
The IRS has an Offer in Compromise program to allow qualified taxpayers settle their tax debt for less than the full amount owed. Here's what you should know.
The answer to “Can I Deduct Property Taxes?” is not simple. Hopefully, this article will give you a better understanding of when you can deduct property taxes.
A taxpayer can seek relief from a spouse's tax burden by applying for the Innocent Spouse program or the Injured Spouse program, depending on the circumstances.
If the IRS notices that you filed an amended return, will that cause them to inspect your tax return more closely and trigger a full-blown tax audit?
The IRS takes payroll tax debts very seriously and has the power to impose some very strong penalties for businesses who fall behind in this area.
"Winning a tax audit,” simply means that you’ve paid the IRS no more than you rightfully owe. This is where the professionals at TaxAudit come in to help!
Two payroll tax deferral programs were launched in 2020 in an attempt to relieve the cash flow squeeze that was affecting both businesses and their employees.
The IRS has a fixed amount of time to try to get you to pay your tax debt. This fixed period is known as the “statute of limitations,” which generally 10 years.
The gap between what taxpayers owe versus what they actually pay looms large. IRS audits are an attempt to collect the funds required to close this gap.
If you owe the IRS money for taxes and have not been able to pay or make other arrangements, the IRS has the legal right to seize some of your possessions.
State agencies who collect income tax can audit your tax return. One of the most common reasons for a state audit is the audit of your federal tax return.
Yes, the IRS does offer payment plans to those taxpayers who owe taxes. The IRS offers a series of payment plan options for those who need more time to pay.
If you’ve been lucky enough to never receive a love letter from the IRS, you’ve probably wondered: What is it like to go through a tax audit?
If you volunteer for an organization, do you get a tax deduction for your time or talent? Let's also look at volunteering use of property and other expenses.
If the IRS is taking your refund, sometimes you need a qualified tax professional who understands IRS collection procedures to intercede on your behalf.
As the person wrapping up your loved one’s financial affairs, you know at the very least you will need to file their final individual income tax return.
Communicating with the IRS to work out a payment plan, put a hold on your account, or even negotiate a lesser amount due may help delay or avoid the IRS levy.
Father died 30 years ago. Stepmother just sold house and children split father's portion of sale (after filing of an affidavit of heirship). Do we owe taxes?
TaxAudit specializes in tax relief help, and we are so confident in our ability to help taxpayers navigate tax debt - we believe we have it down to a science.
The 2021 expense limit for this credit is $8,000 for one qualifying child, and $16,000 for two or more qualifying children. The credit is a % of those expenses.
TaxAudit provides Tax Debt Relief services that make dealing with the IRS or state less stressful. We know the the laws regarding taxes and tax debt collection.
To know if your home inheritance is taxable income you will need to start by figuring out what your step up in basis is - the property value when someone dies.
There are many options for managing your small business tax debt. A tax resolution specialist from TaxAudit can guide you in choosing the best approach.
To claim a child for this credit, the child has to meet several tests. Biology isn’t a disqualifier in claiming dependents, but other factors must be met.
One of the best ways to check the status of your refund is on the IRS website. Your tax professional may also be able to give you a timeframe for your refund.
If you are one of the millions of taxpayers who use TurboTax to file their taxes, you may have asked: Can I deduct my TurboTax purchase? In short: it depends!
The IRS will issue Letter 6419 to provide the total amount of advance credit that was paid to the taxpayer - keep this letter for your 2021 tax return!
If you find yourself with tax debt due to unpaid payroll taxes, you may have options to help settle the debt. Let’s review some payroll tax debt relief options.
If you have a large tax bill, figuring out your options for getting out of tax debt can be stressful. Thankfully, there’s a proven approach you can follow.
If you’re struggling with back taxes, you may be able to qualify for assistance under an IRS initiative called Fresh Start. Here are 3 ways to be eligible.
When a taxpayer fails to file their return, the IRS will come knocking usually in the form of a notice of tax due for back taxes. Back tax help is available.
Estimated tax payments are additional payments that taxpayers may make on a quarterly basis to cover any additional taxes that may be due.
A taxpayer with a sole proprietorship and reports business income and expenses on a Schedule C may claim a prorated amount of the Audit Defense Membership.
Taxpayers who are behind on their federal taxes may be surprised to know that their Social Security benefits are ripe for the picking by the IRS.
Back taxes are defined as taxes that were not paid in the year they were due. Penalties and interest may also get tacked onto back taxes if they remain unpaid.
One way to find out how much money you owe the IRS is to use the IRS Online Account tool, which allows you to view helpful information about how much you owe.
If you haven’t received a notice from the IRS, but think you might owe money to the IRS, you can also utilize the IRS' Online Account tool.
My Aunt died and the bank sold her house. The bank sent me a check for "excess proceeds" from the house sale. Do I owe any tax on this money?
Whether you will be taxed on the money received from a trust will depend on the type of trust and the instructions laid out, the assets titled, and more.
Generally, the IRS has ten years from the date tax is assessed to collect a delinquent tax liability. However, the answer is not that straight forward.
Yes, TaxAudit is a good company that has been providing clients with A+ rated tax representation services since 1988. TaxAudit truly cares for its clients.
A lien is when the IRS makes a legal claim to property as security for the payment of tax debt. There are many methods to resolve an IRS tax lien.
The fastest answer is how far back do you need to file? How deep do you want or need to dig into your records to get your taxes up-to-date with the IRS?
You are ready to begin the process of preparing your back taxes – but you realize your records are lost. Never fear. There are ways to rebuild your records.
There are several tax benefits which you might want to anticipate before you file your 2021 tax return next year. Here is a summary of some of the tax changes.
If you are under audit, it is acceptable to submit your current tax return. Just be mindful that you may have to amend it once the previous year's audit closes.
The IRS encourages electronic filing to avoid processing delays. However, you may mail your IRS and state returns in. You can find the address required here.
The IRS takes payroll tax delinquency seriously – so seriously that IRS Revenue Officers have closed down businesses for not paying them. Tax help is available.
The IRS denied your request, so what now? What if you do not have resources to pay the additional tax that may not have been yours to begin with?
There are several different tax breaks available for solar panels used either in the home or in a business. Let’s look at a couple of examples.
You can "deduct" real estate taxes paid over the course of owning a piece of land in the year the land is sold, if the land was vacant, but there is a catch.
Generally, as long as the incarcerated person is a US citizen (or resident alien), has a valid SSN, and is not claimed as a dependent, they may qualify.
If I haven't worked in a couple of years and didn't file taxes or get the first stimulus check, then where do I start or how do I file?
What a satisfaction it is saying goodbye to old debts. There are several options available to taxpayers who want to make a payment for back taxes to the IRS.
There are a bevy of options available to taxpayers who want to make a payment to the IRS online. The IRS even has an app for that!
When people ask me for advice on how they should deal with filing unfiled tax returns, I usually tell them to file the most recent year first.
You can deduct certain state and local taxes (SALT) if you choose to itemize deductions on your tax return rather than claiming the standard deduction.
Knowing whether you are liable for back taxes owed by your spouse depends upon a variety of factors. Let's discuss the various aspects of spouse liability.
When a taxpayer receives a collection notice from the Internal Revenue Service, their typical first reaction is one of panic but it doesn't have to be scary.
The length of an audit depends heavily on the issues being addressed, the level of documentation required, and the Examination Division doing the audit.
The cost of baby formula for your own infant is generally not considered something you can write off on your taxes. However, there are exceptions.
The IRS can attempt to collect unpaid taxes for ten years from the time the tax was assessed. The IRS can try to collect the tax in a variety of ways.
Consider the potential risks and benefits before adding an adult child or caregiver as an owner of your home, bank account, credit card, or any other asset.
If you choose to mail in your tax payment to the IRS or state, I recommend mailing it via certified return receipt or priority mail so that you can track it.
When operating a business, the last thing you want to worry about is being audited by the IRS or a state agency. Record keeping should be a high of a priority.
The tax gap is the difference between what the government actually collects in taxes versus what they should have collected to cover the real tax liability.
If you owe the IRS back taxes, don’t start spending your refund before it arrives. The IRS can levy or take your refund and apply it to your tax debt.
First, it is essential to make sure you actually owe the tax due. The next step is to figure out how to pay the tax as quickly and painlessly as possible.
A person may be relieved of paying some or even all of the tax, penalties, and interest on a tax debt if they meet the conditions for Innocent Spouse Relief.
The interest rate charged by the IRS on back taxes is the federal short-term rate plus 3%. The rate is set every 3 months.
Yes, there are legitimate tax relief companies that can help you reduce your tax debt. However, there are scam companies as well. Learn what to look out for.
TaxAudit is the exclusive provider of TurboTax® Audit Defense. The phone number for TaxAudit’s customer service department is 877.829.9695.
The employer has the job of gathering the information needed from the affected employee to determine the correct wage garnishment amount from the IRS tables.
The answer for most states is no. However, 6 states allow some form of this tax break (AL, IA, LA, MO, MT, OR), but only AL, IA, and LA allow a full deduction.
With the July 15th tax deadline approaching, here’s what you need to know. (1) If You Need More Time, You Can Still File for an Extension (2) Pay What You Owe
The reality is you can sell your house to your child, grandchild, or anyone else for that matter, for $1. But just because you can doesn’t mean you should.
Yes, it is possible to make a deal to keep the IRS from garnishing your paycheck. Making payment arrangements with the IRS maybe all that is needed.
When you enter into a payment plan with the IRS, known as an Installment Agreement, the IRS will release an active wage garnish order.
Before your audit defense certificate can be sent via email, TurboTax must first notify TaxAudit of the audit defense purchase. This usually takes 1 to 6 days.
I am a mobile notary Signing Agent. When doing quarterly payments, would I claim pay on the month I do appt. or when I get paid?
In 2011, the IRS launched the Fresh Start program and has since expanded the program in the hopes of assisting more taxpayers who carry federal tax debt.
The IRS has published a “Dirty Dozen” list to warn taxpayers to beware of joining the thousands of people who lose millions of dollars to scammers each year.
Taxpayers must constantly be on the lookout to avoid getting caught up in the many scams and schemes that try to separate us from our hard-earned dollars.
Generally, yes. If you owe back taxes or have a payment agreement with the IRS, you will still receive a stimulus check if you are eligible to received one.
Thankfully, for those who owe federal income taxes on their 2019 individual income tax return or are on the hook for prior tax years, help has arrived.
The IRS may collect federal taxes that are due by garnishing (levying) a taxpayer’s wages. The IRS will notify your employer to begin garnishing the wages.
The Fresh Start program is designed so that taxpayers pay their debt in full within six years, and without a serious financial burden being placed upon them.
If you owe back taxes, there are options to resolve your back taxes, and TaxAudit can help. Here are a few possible options:
On March 20, 2020, U.S. Treasury Secretary Steven Mnuchin announced that the Treasury Department is extending the filing deadline for 2019 tax returns.
There is a growing number of criminals and fraudsters that are constantly trying to gain access to our bank accounts through clever scams and schemes.
Yes, it is possible to pay taxes in installments. For many people, the process of applying for an installment plan with the IRS may not be difficult.
Two words: almost anything. Wages, retirement accounts, bank accounts, vehicles, houses, furniture, and even passports are all fair game.
Tax Topic 151 means the Department of Treasury will be taking your refund or part of your refund to pay for something that has been reported that you owe.
No matter the cause of each person’s tax debt, there are a number of different programs offered by the IRS to help taxpayers get back into the good books.
Options are available to those who cannot pay their taxes in full by the deadline. A good line of communication with the CA Franchise Tax Board is critical.
Having a tax bill is not a situation anyone wants to be in. Fortunately, there are ways to deal with tax debt owed to the IRS. Let's explore a few solutions.
The answer to this depends on your particular financial circumstances, how much you owe the IRS, and why you owe them money in the first place.
A tax professional spends four to ten or more hours per audit - think of the time and stress you could save yourself if you purchase pre-paid audit defense.
If certified by the IRS to have seriously delinquent tax debt, the U.S. State Department can deny passport applications or revoke currently active passports.
Generally, amending an already filed tax return will not extend the time the IRS has to audit the return, which is normally three years.
Even if you cannot deduct your unreimbursed business expenses for your federal return, you may still be able to deduct them for your state return.
With excellent customer service and well-trained tax professionals, TaxAudit is set up to be the best tax debt relief program in the industry. Here's why:
Sales tax on a car or automobile purchase might be deductible. It depends on the taxpayer’s circumstances. Generally, the following conditions must all be met.
Tax deductions and credits serve the same purpose − to reduce the amount of a taxpayer's tax owed. The way that each serves this purpose is different.
Millions of individuals and business owners in America currently have unpaid IRS tax liabilities. Here are a few items to consider for tax debt relief options.
You can call the IRS to see if your refund has been flagged for garnishment. Then you can reach out to set up a payment plan − if warranted.
If you paid off a prior year state or local tax obligation to your state, you can include these payments as a state tax deduction, subject to the $10,000 cap.
Besides official IRS examinations, the IRS also conducts other types of tax reviews that are not classified as official audits, and these are far more common.
Non-refundable credits can reduce your tax liability to zero. Refundable credits can give you money back if the amount of the credit is more than you owe.
Before signing on the dotted line, it’s important to understand the potential tax, liability, and equity issues of transferring your house deed to your child.
Inmates are responsible for filing taxes. While you can certainly help your boyfriend file his taxes, you can’t sign and submit the return on his behalf.
A Notice of Deficiency (aka Statutory Notice of Deficiency, Stat Notice, 90-day letter) is the last letter the IRS sends before making its assessment of tax due
Some people can, and some people can’t. It depends on the date your divorce was finalized whether you fall under the new TCJA tax law.
The IRS’s “Where’s My Refund” app should be your first your first destination to find out the status of your refund.
A bonus is considered a supplemental wage payment and is therefore subject to slightly different withholding guidelines under federal rules.
Choosing the right tax preparer is serious. Picking the wrong tax professional may have a severe impact on the health of your finances. So choose wisely!
The first thing to do is to check every name and Social Security number listed on the return with what is listed on their Social Security cards.
Not all taxpayers are required to file a federal income tax return. Determining if you have a filing requirement starts by evaluating your gross income.
While increasing allowances leaves you with more available funds throughout the year, it will have a rippling effect and your tax refund will decrease.
Here is a list of some of the taxpayers who will generally benefit from the new tax law.
Many people will likely owe extra money as a result of inadequate withholding because the new withholding tables were not accurate.
Taking these few steps today will save you time and hassle come time to file your 2018 tax returns in 2019.
TCJA (The Tax Cuts and Jobs Act). Not since the Tax Reform Act of 1986 has there been a more sweeping reform of the tax code.
The Tax Cuts and Job Act presents many substantial changes to filing requirements; however, the reporting of healthcare coverage remains consistent.
So, what happens if you miss an Installment Agreement payment and/or can no longer make the agreed upon payments?
In order to avoid a failure-to-pay penalty, it’s important to file your tax return by the filing deadline − even if you can’t pay what you owe in full.
Lottery earnings are generally reported on Form W-2G, taxed as ordinary income, and expected to be reported as “other income” on the federal tax return.
This may seem like a strange question, but with over 1.1 billion dollars of unclaimed money at stake, it's a question worth asking.
The new bill lowers some current tax rates, which changes the income thresholds at which the rates apply. Below is a comparison chart outlining the differences.
The IRS recently issued a warning that tax-related scams are still on the rise and are urging taxpayers to take caution!
The IRS general rules for keeping tax records and returns is you must keep them for the period of time in which the IRS can audit you and assess additional tax.
The IRS can request the State Department to revoke a currently active passport of a U.S. taxpayer with severely delinquent tax debt.
While real IRS letters go through the mail, tax scammers have shipped out their own tax bills in an attempt to take advantage of the unsuspecting taxpayer.
One of the most frequent scams we see during tax season is that of the crooked tax preparer.
This scam involves cybercriminals approaching a tax preparer in the guise of a potential client, sending an email which asks about using the preparer’s services
There are some tax benefits available to our military personnel. These adjustments are designed to give back to the men and women who have given so much for us!
President-elect Trump has listed a series of major changes and reforms that he aims to make during the first 100 days of his presidency.
The IRS has some quick and helpful tips for those who are anxious to get their yearly tax filing out of the way.
The IRS recently announced that their "Get Transcript Online" feature is now available for taxpayers who would like to obtain their tax transcripts.
I got a phone call from the IRS last week.
The IRS is well aware that the U.S. Olympic Committee pays medalists a cash bonus of $25,000 for winning gold, $15,000 for silver, and $10,000 for bronze.
Scammers, despite their many flaws, tend to be clever, and often create fake charities that have names strikingly close to vetted non-profit organizations.
If you missed the tax filing date, you are certainly not alone; there are thousands of taxpayers who miss the filing cutoff every year.
You have three extra days this year to file, as 2015 federal tax returns are not due until April 18th (or April 19th for residents of Maine or Massachusetts).
While tax season may have ended, scam artists are still working around the clock and the IRS is continually encouraging taxpayers to keep a vigilant eye out.
I have a question about a head of household. My ex-husband passed away, which left his mother needing someone to care for her. I took her into my home…
The TAS is an independent organization within the IRS, created with the intention of identifying and resolving problem areas within the tax system.
As this year’s tax season shifts into full gear, tax scammers are at hard at work.
Hello fellow taxpayers. The Wily Tax Blogger is back to kick off 2016 with a new blog about an investment management tool I’ve discovered.
The correspondence at the focus of my holiday lament is IRS Letter 4464C, otherwise known as the <em>Questionable Refund 3<sup>rd</sup> Party Notification</em>.
Congress extended many of the tax breaks that were set to expire at the end of 2015 as well as expanded a number of other tax provisions.
January is right around the corner, so let’s make a tax list - and check it twice - for last minute tax saving opportunities!
"We have our own marketing and design business. This year we ordered expensive gourmet chocolate gift baskets for each of our ten clients to thank them..."
Here are 3 tips to help make the upcoming tax filing season just a little bit easier.
There are only two months left in the year. What can I do now to avoid paying a big tax liablity on my Schedule C business next year?
The Cadillac tax has zero to do with automobiles and everything to do with health care.
Tax nightmares aren’t just for scammers. They can happen to people who make innocent mistakes, and even to those who believe they are doing the right thing.
In essence, the flat tax is a system of taxation where one tax rate is applied to some types of income with no deductions.
What do “Scarface” Capone and a tax audit have to do with each other? Scarface went to prison for - of all things - tax evasion!
I got a CP2000 notice from the IRS. It says I owe $12,269 for securities I sold. I purchased the stock in 2005 and sold it at a loss of almost $10,000...
We wanted to let you know that, yes, there are some tax benefits to hitting the books.
While I was working out at the gym, someone broke into my locker and stole my diamond ring. It’s my wedding ring and I always take it off before doing...
My boyfriend and I are buying a house together, and the property includes a rental apartment above the garage. How should we report our rental income?
My wife and I are considering installing a solar electrical system on our house - can we use the cash in our IRA to pay for it?
Starbucks? Coffee beans? Lattes? What do they have to do with taxes? Don’t worry, we will get to that! But first, let’s discuss your Golden Years again...
Are disability payments taxable? This is a good question, but there is no correct general "yes" or "no" answer.
I do PR in the Bay Area. My hairstylist says I can deduct my entire salon bill on my taxes because it helps me look good at events. Is this correct?
I want to donate to my favorite politician’s 2016 campaign for our state’s House of Representatives. Are there limits to how much I can deduct?
Should I include notary feeds on my tax return?
I received a 1095-A form for health insurance after I had already filed my taxes.
I would really appreciate some advice on filing estimated taxes. Please let me know if you provide this service.
The IRS estimates they received over 2.4 million fraudulent returns for the 2013 filing year. If you’ve been the victim of this type of crime…
My husband spends a lot of time printing church service bulletins and other special design and print jobs. Can he deduct the time he works as a volunteer?
What is the best option are for getting rid of an old vehicle? Should I donate it for the auto valuation guide value of $3,000 or sell it now for $1,500?
My husband and I bought a home. We sold our old house a few months later. Will the profit on the old house be taxed if we do not roll it into the new house?
The expenses I paid out on my rental were $12,000 more than my rental income, yet my tax return shows a deductible rental loss of zero. Why?
These thieves use a legitimate taxpayer’s name, address and social security number to file a fraudulent return claiming a large refund, and then divert...
You want to save money towards your retirement, but your employer does not offer a retirement plan, such as a 401(k). You are not alone...
What do I do with a stepdaughter who doesn't live with us? She is in college and lives with her mom. How do I list that? My husband pays child support.
You have your traditional IRA account invested at your bank but you are not happy with the rate of return. You’ve heard that it’s possible to move your IRA...
My wife made a $5,000 contribution to her IRA in last year. Through using TurboTax, we learned that we don't have the earned income to support a deduction...
You just found out your Uncle Jerry passed away and that he had listed you as the sole beneficiary to his traditional IRA account. You go down to the bank...
U.S. citizens and resident aliens who work and live overseas during large portions of the tax year may still have IRS tax filing requirements.
You might have thought that with the new Health Care Reform more of all the money you spend on health insurance and medical expenses would be deductible.
I am a policy and procedure writer for a company. Due to my long commute, my boss lets me work from home one day a week. Can I write off my home office?
You have been talking to your financial advisor or hear in the news how great Roth IRAs are and that you should be contributing to a Roth IRA.
Crowdfunding is a popular way to raise funds for businesses, charities and individuals. It occurs when someone asks others to contribute to their idea or cause.
My wife and I are preparing our taxes, and, due to her employment situation(s) and our investments, we have received a number of 1099s...
When your electronically filed tax return is rejected by the IRS, it can be frustrating. But, most of the time, there’s a simple explanation for the rejection.
My brother was moved to a nursing home/memory care unit. He had to live in the nursing home area until the memory care unit had an opening. When he was in...
Are you short on cash and don’t have the money to pay your tax bill? The IRS does have a few options for the taxpayer who is cash short at tax time.
filed my tax return, and then a W-2 came in the mail for a job I worked earlier this year that I had forgotten about. How do I file this?
The Earned Income Tax Credit is available to workers who earn $52,427 or less from wages or self–employment.
If you have started a family, you know there are many things to take into consideration, including planning for your child’s education.
My wife and I bought a townhouse in 2014. What tax deductions can we take?
With the tax filing season in full swing, the IRS has reissued warnings to all taxpayers to be on alert for tax scams.
My wife has an IRA under professional management with a financial advisor here in Portland. Can we deduct the fees charged for his services?
There is some misconception in the words “head of household.” Yes, in the ordinary sense of the term you may be head of household, but when it comes to taxes...
The holidays have come and gone, footballs are filling the air as bowl games and playoffs are well underway, and it’s time to start thinking about…taxes?
What form do I file with the IRS for 2014 for a fraud case where I lost lots of money. The fraud case was adjudicated and the offender now sits in Fed Prison.
Is there a threshold as to when a married couple filing jointly would fall under the AMT? There is not a threshold, per se. AMT, or Alternative Minimum Tax...
Want to pay less taxes on inherited retirement accounts? Beneficiaries have options available that may result in increased benefits and less taxes due.
I use suits for work, and the dry cleaning expense is substantial. I don't use the suits outside of work. Can I deduct the dry cleaning as a business expense?
The holiday season is a time for giving, but if you don’t follow the carefully prescribed rules for charitable giving, the IRS may disallow your deduction.
I’ve never been married and I have no children. I’ve been successful in my career and have some money saved. I want to give my six nieces and nephews $20,000
We had solar put on our house this year. Is it tax deductible? A tax credit is available for qualified solar electric property costs and qualified solar water..
received a phone call from IRS telling me that I owe them $2,500. They said they sent me a letter in January of 2014 that I signed for telling me the errors...
We heard about it all the way back in 2010, but the Individual Mandate − or Minimum Essential Coverage − did not go into effect until this year.
My husband passed in February of this 2104. We have always filed a joint return. What do I need to do this year?
We loaned our car to a missionary home for a visit and fundraising. Can we deduct the mileage as a charitable contribution?
This installment of Know Your Pro will introduce you to a different kind of Pro here at TaxAudit. With in-depth knowledge of all the services we offer...
I have a daughter who is eligible for the American Opportunity Tax Credit of $2,500.00. Can she also use the Lifetime Educational Tax Credit of $4,000.00?
I had a new roof put on the house. Is it tax deductible? A new roof is generally considered to be an improvement to the structure.
A long time ago, before there were tax software programs, before our social welfare programs were written into the Internal Revenue code, and when Federal...
My wife is a nurse, but she does not have a degree. She is interested in taking classes to get a BSN degree - a bachelor of science in nursing.
I took care of my three nieces and a nephew (all under 17 years of age) up until the end of last month, August 28, 2014, to be exact. I claimed these kids...
If at this late date you still haven’t filed your tax return, here are some tips to help you avoid many of the most common tax return errors.
Uncle Sam expects to see that Fair Market Value (FMV) listed on your tax return for that tax year as income.
Can I claim the interest I pay on my RV on Schedule A as mortgage interest on a second home? As long as your RV loan is secured by the RV and the...
Casualty losses can happen to taxpayers, such as a fire caused by a faulty heater. Do you have copies of your important documents in a safe place?
If I'm going to do home repairs, such as a roof and heating, which will cost about $15,000, would it be better to take out a home equity loan to pay for it or..
When it comes to proving deductions taken on a tax return, the burden of proof is on the taxpayer, according to the Internal Revenue Code (IRC).
I had bariatric surgery and must take a number of vitamins daily. These vitamins are purchased over the counter without a prescription.
If you made an mistake on your taxes or omitted required information, such as a late-received W-2 or K-1, you can file an amended return on Form 1040X.
It’s still not too late to make adjustments to your withholding or estimates to make sure your 2014 taxes will be done correctly and you will not be surprised..
We live in Florida, and we are thinking about buying a second home in Maine for the summer months. Will we be able to deduct the mortgage interest on our taxes?
We bought our home in 2009, in Arkansas, did major improvements, and then leased it out from 2010 though 2014. We now have the place up for sale...
The overall percentage of individual tax returns examined in 2013, published by IRS, is about 1%; however, this number only takes into account “examinations”
My brother is in assisted living; what part of his expenses can be deducted? He needs assistance with getting dressed and all daily hygiene activities.
Let’s talk about business deductions for members of the military. The same rules apply for active duty personnel and reservists.
My personal residence cost basis is higher than the expected sale price. Is there a way to get a tax benefit from a loss on this property?
If you are a member of the U.S. Armed Forces, there are tax breaks written just for you. Merchant Mariners and American Red Cross employees do not qualify...
We have been asked to build some basic boxes to be used as a stage for a company. They plan to pay us but are not placing us on their payroll as employees.
If you like to gamble, you probably already know that your gambling winnings are considered income, especially if you gamble within the United States.
The IRS and National Taxpayer Advocate Nina Olson announced the adoption of a new Taxpayer Bill of Rights.
I completed a short sale in 2014 and was wondering if it’s possible to avoid taxes on the difference. I sold it for $142,000, the bank got $127,000, and the...
Years ago, I was just like most people when it came to taxes. Just the thought of doing my tax return gave me hives. I had been burned twice at tax time...
My house got water in it this past month. I needed to clean up the mess, replace the carpet, pad and doors. My insurance would not cover the loss.
1. Taxes Might Be Your Biggest Expenditure 2. Many Major Life Decisions Have Tax Consequences 3. Knowing About the Latest Tax Breaks Could Save Money 4. Taxes..
Now that the furor, for the most part, over the Affordable Care Act has subsided a bit, let's take a quick look at the PENALTY for not abiding by this law?
This decision is likely to impact many taxpayers, particularly anyone expecting to inherit an IRA from a parent or someone else.
I would like to know if I need to declare my Roth IRA and traditional IRA accounts on my tax return even if I haven't contributed to them in the last 4 years.
Could you advise on how the value of items is determined for charitable contributions? I am about to donate several of my designer suits to charity.
Yes, Uncle Sam loves lawsuit settlements just like plaintiffs do. Before you start spending the money, there are some things you need to know.
Tired of feeling like the government is taking your last penny? Having trouble making ends meet? There is a solution – provided you are willing to move.
We adopted our grandson three years ago - he is now a freshman in high school. When he goes to college, will his tuition be tax deductible?
I bet you all do not want to even see the word TAX right now! I know what you are doing. Lying in your hammock or lounging by the pool drinking a lemonade.
There are so many ways that taxpayers have tried to do an end run on the tax system that the IRS issues an updated consumer alert each year titled...
Taxpayers who must pay alimony to a former spouse may deduct it from his/her tax return as an adjustment to income.
How do you know if you have spent substantially full time repairing and maintaining a rental property when you stay in it so it doesn't count as a personal day?
All paid tax return preparers are required to have an IRS PTIN (Preparer Tax Identification Number) which they must enter on the tax returns they prepare.
If you have a dedicated credit card for your business, can you use the statement as the receipt for your business entertainment, meals, travel, etc.?
First job ever? What do you do about those pesky tax forms they gave you at the job? How do you fill them out? Why are they taking all that money out!?
We took out a home equity loan to redo our basement. The contractor did not perform the work as agreed and what was performed had to be torn out...
My son was arrested in December of 2012 and spent the entire year of 2013 in jail awaiting trial. During that year I paid his attorney fees, car payments...
You may have heard that if you are self-employed, or you are expected to entertain clients as part of your job, you can deduct the costs of those meals...
I have a good friend who owns two rental homes here in California. The tales he tells regarding these “assets” are not for the faint of heart.
Is there a tax benefit to making a charitable contribution to my church directly from my IRA rather than writing a check and deducting it from my tax return?
Continuing on with Scams 8-12, let’s look at the third set of scams in The Dirty Dozen. False Income, Expenses or Exemptions: Another set of scams...
Continuing on with Scams 5-7, let’s look at the second set of scams in The Dirty Dozen: Return Preparer Fraud: Most preparers are honest, and want the best...
There could be a number of reasons for a delayed refund. The IRS may be eliminating the possibility of identity theft, or it is possible a tax audit is pending.
I bought a house in Arizona in 1996 for $95,000. I did two cash-out refi’s totaling about $30,000 through 2004. I sold the house in 2014 for $165,000, and..
Every year during awards season, the IRS announces its list of the Top Twelve Scams of the Year, or, The Dirty Dozen. Watch for these scams and report them...
You got your return filed on time and you’ve got a nice big refund coming. But the funds don’t show up in your bank account when you expected them to. Now what?
I took out a medical loan for $36,000 dollars for full mouth restoration by two dentists due to infections. My insurance only covered $890. Can I deduct it?
You owe money to the IRS – now what? Don’t faint, don’t freak out, and don’t worry! There are simple ways to take care of that balance due.
The April 15th deadline is approaching. Taxpayers are most likely to make errors on returns when they are rushing to finish their returns before the deadline.
I travel for a living and my company knows I have pets. I have to have them kenneled when I am traveling for work. Can I expense the cost of the kennel stay?
If you are upset about the national debt, you can make a deductible charitable contribution to the Bureau of the Public Debt to help out.
I use my car in my business. How much of it is tax deductible, and what type of travel is deductible? Are my trips going back and forth to work deductible?
Filing for a tax return extension does NOT give you an extension of time to pay your tax bill.
A refund is NOT a bonus and a balance due is NOT a penalty. When you began working, you filled out a W-4 stating how many exemptions you wanted.
Household employers: Did you hire someone to care for your children in your home? Do you have a gardener, a handyman, or a chauffeur?
I gave my daughter $10,000.00 for a down payment on her house. It was earmarked in our trust to be paid to her on our death. I inherited the money from her...
They say that happy employees make for happy customers, and at TaxAudit those happy employees start with managers like Eric.
Feeling sick? Broke a foot? Broke a tooth? Kids in braces? Are these deductible on your taxes? Well – maybe. Medical, dental, and even alternative health care..
The fastest way to get your money without paying additional fees is to e-file your return and have the money Direct Deposited to your bank account.
I was an owner contractor on the restoration of my house. I bought some used construction equipment to do the work, items like gas powered pressure washer...
Michael Jackson stirs up many good memories for me. I mean he is the Elvis of my generation. I vividly remember getting his Thriller record for Christmas...
In a recent case of tax evasion, Ty Warner, the creator of “Beanie Babies” was hit with $53.6 million in penalties for hiding money offshore.
Our adult Sunday School class had a Christmas project of supplying Christmas clothes and toys for a needy family with several children and a disabled father.
Tax scams increase exponentially during the income tax filing season. If you want to avoid being a victim, be aware that when someone offers you a “chance of...
I lived with my younger cousins, ages 11 and 4, in 2013 except for about 2 months when I stayed with my father while he was sick. I provided more than...
Phone Scams: There are numerous phone and internet scams claiming to be the IRS (or other government agencies). Do not give personal information to anyone...
In order to qualify for an Earned Income Tax Credit (EITC) of up to $6,044, you must first meet these two qualifications: You must have earned income...
As for an individual with a business, it is beneficial to research what is on the market in regards to business accounting software. There are numerous...
I’m sure you remember when Susan Boyle became an overnight web sensation. Since then, thousands of hopeful musicians, writers, artists, and dancers...
It’s a long story that begins long before the arrival of the first Form 1040 Income Tax Return of Annual Net Income of Individuals...
Introducing Carolyn Richardson! Our highly effective and experienced tax audit professional from Hawaii! With her three decades of tax experience,…
Here are some simple tips to help you reduce your audit risk: Proofread your tax return A mistake on just one figure or item can present IRS audit flags…
Taxes! Usually, this word creates a strong emotive reaction. We older people tend to not remember the days back when we first filed our very first 1040 EZ.
It’s that time of year when taxpayers begin to get massive headaches. If you feel your head pounding, following these simple tips could save you more pain.
Have you ever thought about New Year’s Tax Resolutions? What can I do better when it comes to my personal and business taxes?
When your tax return is audited, the IRS will ask to see records and documents that show how you came up with the dollar amounts reported on your tax return.
If you had a debt forgiven and you were personally liable for the debt, you will likely receive a Form 1099–C, Cancellation of Debt.
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