Taxing Tips for Restaurant Employees

Seattle possesses a wealth of delicious dining establishments with wait staff that really ensure customer satisfaction. As patrons, we reward this job well done with tips. Tips require special treatment when reporting for tax purposes. Both the employee and the employer of a tipping establishment have their own responsibilities for the accurate reporting of tips. This post covers employee responsibilities. Tips Read More

Payroll Taxes: 5 Common Mistakes for Businesses to Avoid

For many business owners, payroll taxes come with the cost of running a company and are an unavoidable task each year. However, there are ways to make your life easier, and there are mistakes that can make the process that much harder. Let’s examine 5 of the most common mistakes that you can easily avoid:   Filing payroll taxes late - While it might not seem like missing the deadline for payroll taxes is Read More

Musicians and the IRS

 Musicians and the Man Seattle is one of the nation’s cornerstones for music, and with good reason. It’s the birthplace of wildly popular acts, such as Soundgarden, Alice in Chains, Ann and Nancy Wilson of Heart, Pearl Jam, Macklemore and countless other musicians. It is home to legendary guitarists Jimi Hendrix and Kurt Cobain. The Emerald City also hosts a large pool of rising stars, like Malady of the Sevendials, Read More

Understanding Innocent Spouse Relief

Married couples get to enjoy a lot of key benefits when they file their tax return jointly, and it can even be a contributing factor as to why people decide to make their union legal in the first place. However, when one spouse decides to keep financial information from the other and misrepresents their situation when filing their taxes, needless to say, it creates a lot of problems. If you suddenly find yourself Read More

What to Do When the IRS Terminates Your Installment Agreement

Oh, no! You’ve gone and missed a payment and now the IRS has sent you Notice CP523, Installment Agreement Default Notice—Notice of Intent to Levy. What can you do? Not to worry. If your letter from the IRS is dated less than 30 days ago, you have time to call the toll-free number printed on the top of your letter and see what can be done to resolve the issue. Though you do have 30 days from the date of the notice, Read More

4 Factors an IRS Appeals Officer Considers During a Hearing

Owing money to the IRS can be a tough pill to swallow, but what can be even more challenging is the idea that they think you owe money when you actually don’t or when the IRS tries to collect the money from you unfairly without following its own administrative procedures.  If you’ve received a notification from the IRS that you have a debt to pay, or if the IRS has filed a Notice of Federal Tax Lien against you or Read More

The IRS Installment Agreement

Among the many ways taxpayers may resolve a tax debt with the IRS, the Installment Agreement is a popular choice.  Installment Agreements allow a taxpayer to make monthly payments towards a tax debt and often also reduce the amount of penalties and interest that must be paid. The IRS does set forth conditions that must be met to qualify for an agreement: All income tax returns must be filed, All employment Read More

A Step-by-Step Guide to the IRS Appeals Process

When you’ve worked diligently to complete your taxes and are satisfied with the results, it can be a shock to receive notification from the IRS stating that you actually owe more than you thought! If this occurs and you are absolutely sure that the IRS is incorrect in their calculations, you can choose to appeal their decision. The process to appeal isn’t complex, but must be followed correctly for the best Read More

A Brief Look at Washington State Business Taxes

Tax Costs of Doing Business in Washington State Today, I'd like to discuss four main taxes with which business owners in Washington State must contend. B & O Tax While Washington doesn’t have an income tax, businesses are subjected to a Business and Occupation (or B & O) tax.  This tax is a gross receipts tax measured on either the value of products, the gross proceeds of sale, or a business’s gross Read More

Drawing Unwanted Attention: 8 Red Flags That May Trigger an IRS Audit

Two words often strike fear in the hearts of tax paying individuals: IRS audit. It’s often perceived that an audit is completely random, but in reality there are several red flags that trigger the IRS to take a second look. Keep in mind that these issues do not necessarily guarantee an audit, but rather might increase your chances. It’s never a good idea to falsify information to avoid these items, so it’s best to be Read More