When an IRS tax liability goes to collections, it will either be assigned to the IRS Automated Collection System (“ACS”) or to the Collection field function, where a Revenue Officer will be assigned and charged personally with attempting to collect the unpaid tax. Some delinquent accounts will initially be assigned to ACS only to be …
Divorce, death of a family member, cancer, and IRS levies–these are among the most dreaded and stressful events one can experience in life. As a tax attorney whose clients have been levied by the IRS, I can tell you it will be more than a little stressful for the IRS to clean out your bank …
Check your notice to see if the IRS is correct in assessing penalties! If the IRS has made a mistake in assessing taxes against you, then if you can resolve the incorrect tax assessment, any penalties associated with the incorrect tax will also have to fall away. There are many ways an addition to tax …
How to Get the IRS to Remove Penalties and Interest Read More »
When a business first falls behind on taxes, whether it be by missing a 941 tax deposit or filing a return with a balance due, not much happens. Compare it to falling into a tranquil part of a river. As you slowly drift down the IRS collections river, you begin to face progressively rougher rapids …
Top 5 Deadliest Mistakes Made By Tax Indebted Businesses Read More »
Federal IRS Tax Lien An IRS Tax Lien is a legal claim on your property for the amount owed. An IRS tax lien is also the legal right to collect on the amount owed. An IRS Tax lien starts when a tax is assessed and you don’t pay it. For example, if you file a …
What Is An IRS Tax Lien And How Does It Affect Me? Read More »
Many individuals and businesses who fall behind with their taxes are struggling to make ends meet as it is, and the last thing they need is the added stress of having to figure out a way to resolve their tax debt. Many simply don’t have the ability to repay their entire tax liability in full, …
IRS Partial Payment Installment Agreements: Screaming Deal or Big Mistake? Read More »
When individuals and businesses need legal assistance, the natural inclination is to search for a local attorney. This makes sense 95% of the time because there is a strong likelihood that the attorney will need to appear multiple times in the local courtroom, and it is cost prohibitive for all but the very wealthiest to …
Tax Relief Near Me – Local Not Always The Best Option Read More »
One of the first things people often wonder when they incur a tax liability is how long the IRS has to collect it. Whether the IRS is going to haunt them for the rest of their lives is a very common concern. The good news is that the IRS can’t pursue collections from a taxpayer …
IRS Statute of Limitations: How Long Can IRS Collect Tax Debt? Read More »
“A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned — this is the sum of good government.” Thomas Jefferson, First Inaugural Address, 1801 There is a tad bit more government in …
I hear from my clients at times that an IRS Revenue Officer (tax collector) told them they could lose their house, they could be sued, their retirement and 401k will be taken, wages can be garnished, and a whole bunch of other awful scenarios. These types of threats keep people up at night and are …
Federal Payment Levy Program If you or your business has unpaid federal taxes and you receive income or revenues from the federal government or an agency of the federal government, watch out! You could be in for a rude awakening when the IRS and Treasury Department team up to keep monies that are due to …
How to Avoid the Dreaded Federal Payment Levy Program Read More »
To some business owners, the accounting part of their business is the last thing they want to deal with. “Leave that to the accountant or bookkeeper and let me get to work” is the sentiment I get from a lot of small business owners. Accrual Method of Accounting Many business owners just don’t have the …
Cash And Acurral Methods Of Accounting Can Impact The Outcome Of A Tax Collection Case Read More »
You’ve been overpaying your taxes all year long, saving money in your IRS ‘refund account’ with the expectation that you will get that big fat juicy refund early next year. You get some software and prepare your own return or hire a tax preparer exclaiming big money is waiting for you. That vacation is just …
Identity Theft and the IRS – Beware of Identity Thieves Stealing “Your” Tax Refund Read More »
If you are a shareholder in an S Corporation and you also work for that S Corporation, it is critical that that you pay yourself a reasonable wage. Many S Corporation owners take little or no compensation in the form of wages and, instead, disproportionately pay themselves in the form of distributions. This can lead …
Exploring the Consequences of Paying S Corporation Shareholders Unreasonably Low Wages Read More »
The answer to this question will depend on whether the liability is a joint liability or separate liability and whether you live in a community property state or not. If the IRS liability is a JOINT liability then YES, the IRS may levy both your and your spouse’s wages, assets, and/or accounts. When it comes …
Will The IRS Levy My Joint Bank Account With My Spouse? Read More »
