What is IRS Form 5472?

What is IRS Form 5472?

What is Form 5471 and which category applies to you?

What is Form 5471 and which category applies to you?

How Long Does It Take to Fill Out IRS Form 5471 and 5472?

How Long Does It Take to Fill Out IRS Form 5471 and 5472?

If the IRS estimates one of its own forms will take 3 work-weeks to complete, should a taxpayer be able to claim an "onerous tax preparation credit" to reimburse them for lost income?  

Restricted stock tax problems

Restricted stock tax problems

How federal employees are treated by the IRS

Unfortunately, some federal employees are more equal than others. 

How federal employees are treated by the IRS

Tax planning seminar in Panama? Read this article first

Tax planning seminar in Panama? Read this article first

San Diego Tax Attorney turns on his own clients, celebrates with offshore marketing initiative

San Diego Tax Attorney turns on his own clients, celebrates with offshore marketing initiative

IRS Payroll Tax Problems – What You Need to Do?

When you fail to pay your payroll taxes, you will incur the wrath of the IRS that can result in huge penalty and debts. This can cause you to lose your business and freedom. You know very well about how much trouble the IRS can bring on you when you have tax issues, so there will be no point in scaring you further by mentioning their negative side. So let’s focus on the positive changes it can bring to your otherwise successful business.

Companies need working capital and cash flow to keep their business running successfully. But sometimes a business will be in short of cash and fails to pay the taxes. Therefore you need to address the root cause of the problem that eliminates the cash flow shortage and resolve the tax issues. If you don’t, you will find yourself out of business. Suppose if your unpaid payroll taxes get magically erased through some way, then how good you will feel? Even if it happens, can you assure yourself that you won’t be facing this problem again?

Fortunately, there exists a solution to every tax problem. In order to resolve the payroll tax problems and protect the future of your business, you should get a professional payroll tax help. To help to turn around your company which is in distress now, it is necessary to have someone with years of experience in this field to be with you always. In addition to resolving the tax problems, you will never be alone when negotiating with the IRS as this qualified tax attorney will do all the talking on your behalf. The IRS is the most aggressive collection agency, so only an experienced person can effectively deal them.

You need to get expert help from a tax attorney who is specialized in payroll taxes in order to save your business. You don’t have to suffer the IRS threat all alone. A consultation with an experienced person can turn your payroll tax nightmare into a distant memory and helps to bring back your business into the right track. So before things get worse, immediately contact an attorney who provides genuine care about your concerns and tax issues.

Don’t give up hope when you are encountering payroll tax problems. If we change our focus to positive side, there are some good things which emerge out during these stressful times. Stay calm and get the right tax help. A qualified professional is more like a friend who can guide you and provide assistance thereby making the financial impact on your business as minimal as possible. Business owners who are already in hot water with the IRS should get assistance from a tax attorney immediately. There is no other person qualified to represent your company regarding payroll tax issues than an attorney skilled in such matters.

Is there any law that says you have to pay income tax?

Is there any law that says you have to pay income tax?

What is an IRS summons?

What is an IRS summons?

For one, it is not a subpoena. Nor does it mean you are the subject of a criminal investigation. But yes, you should take it seriously. 

OVDP during IRS Shutdown

OVDP during IRS Shutdown

What You Need To Do When the IRS Garnishes Your Bank Account

If you think that the money in the bank account is going to be safe from the IRS, then you are completely wrong. It is a nightmare situation – You’re at the ATM. To your great shock, you aren't able to withdraw the cash. Your balance shows negative. You rush to the bank only to find that your account is under IRS bank levy and you receive a copy of levy notice letter from them. You are totally shattered.

Do not think that you cannot come out of this levy. As a tax attorney, I can assure that for each and every tax problem, there is a solution. In-fact, there's no such thing as a hopeless tax case. The next few paragraphs will tell you how.

1. The Internal Revenue Service has enforced a levy but the cash in your account will not go immediately to the government.  The bank will freeze your money for a three week period from the date of levy after which only it will be transferred to the IRS. So within this time period, you need to do the negotiations with the IRS and request for the money to be returned to your bank-account. This is called as levy release.

2. The IRS could possibly ask various details such as your previous tax returns, the amount withheld from your salary for income tax and also your estimated tax payments. There are exceptions to the regular practices, so the IRS employee is not the last word.

3. You will need to complete a form which IRS uses to capture your financial situation. This form is referred to as Collection Information Statement and from this the IRS will know exactly how to garnish you in the future, including other bank accounts and the wages. So utmost care has to be taken about the information you are going to provide to the IRS.

4. In case your application is denied, you have the right to appeal against IRS enforcement actions. There are two main appeal processes- Collection Appeals Program or CAP and Collection Due Process. Most IRS actions related to tax collection can be appealed with the CAP process. Not only that, Collection Appeals Program provides taxpayer a higher success rate  when compared to other programs like Audit Appeals, Offer in Compromise and Collection Due Process. You know what, IRS publishes a rule book called Internal Revenue Manual (IRM) to guide their agents and it gets regularly updated by the federal government. But IRS employees has a hard time with this book since it is very complicated and many times, they miss to follow the rules exactly right during the tax collection process.  Here we use this effectively to win the CAP appeal by pinpointing the mistakes and the rules that was not followed by the IRS agents to the appeals officer.  When it is shown with supported documents, the appeal officer will reverse the IRS levy enforcement and your garnishment gets released.

5. You got a garnishment relief. However it doesn’t mean you can relax yourself forever since a levy release is often temporary. It is just a start of your representation. It's best to immediately begin work towards getting a permanent solution. Every cloud has a silver lining so it's time for you to analyze the choices available. To stop the bank levy permanently, settle your tax debts as soon as possible or take the alternate steps that is available to you. Otherwise, don' get surprised to see many more IRS garnishments on your hard earned money.

IRS shutdowns: As painful as possible

IRS shutdowns: As painful as possible