A Brief Overview of IRS Penalties for Nonpayment

We’ve all heard stories about the consequences of not paying your taxes. Al Capone is one famous example. More recently, Eric Galanti, former owner of three bars and restaurants in Seattle, was sentenced to eight months in prison for several misdemeanor counts of failing to file tax returns (and, by extension, pay his taxes). Although these are extreme examples, they are also reminders that the IRS frowns on Read More

Lower Your Tax Debt with an Offer-in-Compromise

The IRS has a debt settlement program called an Offer-In-Compromise.  It can be used by individuals and by businesses, such as restaurants, Airbnb owners, and professional service firms who owe the Internal Revenue Service more money than they can afford to pay can use this tax resolution tool to lower their debt. The IRS accepts offers-in-compromise to taxpayers to give them a “fresh start” without their tax Read More

When an IRS Installment Plan Makes Sense

If you have outstanding debts with the IRS, one the most important things to remember is that the IRS wants to work with you to settle your debt and even provides options to help you do so. One of these options is called an installment agreement. An installment agreement is like a payment plan, and it enables you to pay off your tax debts over time via monthly payments. There are several different types of Read More

The 5 Most Common Causes for an IRS Audit

Getting audited by the IRS is something everyone hopes they never have to go through. Even though audits are relatively rare for most people, it’s important to make sure you do everything you can to ensure that it doesn’t happen to you. Luckily, there are a lot of things you can do to lessen your chances of getting audited. Below we take a look at some of the most common causes for an IRS audit.  1.   Failing to Read More

How to Choose a Tax Attorney to Assist You

Choosing a Tax Attorney There are a number of things you should consider when choosing a tax professional or tax attorney to assist you with your tax problem: Hire a Tax Professional If you are facing a challenging audit with the potential for a large tax bill or for harsh penalties, a tax attorney, who is trained in negotiation skills and understands tax law will be best suited to negotiate a favorable outcome.  Read More

Tax Law 101: An Audit vs. Correspondence Audit vs. Adjustment Letter

Coming home to a notice from the IRS is never a fun moment, regardless of whether or not you are someone who always pays their taxes and submits their returns on time. However, just because you received a letter from the IRS doesn’t mean there’s any reason to panic. Although you might have thoughts of a terrifying tax audit circling in your brain, it’s actually fairly unlikely that a comprehensive audit is on your Read More

Facing Your Tax Problems

Business owners and others with tax problems often get into trouble by trying to avoid their problems or by believing at some level that if they ignore their problems, they will go away.  A client of mine came to me a couple of years ago after being injured at his construction job.[1]  This severely limited his ability to find gainful employment in his field.  The settlement process was taking much longer than Read More

Yes, You Can Make a Deal With the IRS!

If you owe the IRS a tax debt and are struggling to pay it off, then you’ve probably come to dread hearing the mailman pull up to your house. But, contrary to popular belief, dealing with the IRS doesn’t have to be so difficult or scary. At the end of the day, the IRS just wants to see that you are making an effort to work with them to figure out how to pay off your debt. That’s why if you’ve received notices or Read More

How to Fight Against Wage Garnishment

Whenever you owe money to the IRS, there are several things they can do in order to make sure you begin repaying your debt. A common route the IRS will take is by imposing a levy on your personal property, money, or wages. Receiving a levy notice from the IRS is a stressful experience, and you’ll want to make sure you do everything you can make sure the IRS does not actually go through with collection proceedings. Read More

New Tax Act Changes What You May Deduct

The newly passed Tax Cuts and Jobs Act (TCJA) has made big changes to the items that may be deducted as itemized deductions. The TCJA has changed both what and how much is deductible for state and local income or sales taxes, property taxes on homes, home mortgage interest, charitable contributions, and more. The TCJA also raised the standard deduction in 2018 to $12,000 for single taxpayers and $24,000 for married Read More