The IRS is not one to mess around with when it comes time for repayment. They are the least forgiving creditor when it comes to collecting what they think is owed to them. The IRS will seize assets including bank accounts and property such as wages or real estate.
Dealing with tax issues can often be a challenge and feel overwhelming for many people. Choosing to work with a tax resolution professional is often a great choice if you are dealing with the IRS. These tax relief specialists can guide you throughout the entire process to help you avoid making costly mistakes. You will also have much less stress knowing that an experienced professional is working hard on your behalf.
You open the mailbox, expecting the usual mix of bills and catalogs, but what you find is a collection letter from the IRS. It can feel like you are living in a nightmare that you can’t wake up from when you receive a collection letter from the IRS.
Even worse, that letter includes a demand for payment, which is the last thing you need to deal with. So, what do you do now since you have received the collection letter from the IRS? The steps you take could make all the difference, and here are some key things to do next.
Having to deal with tax problems such as IRS notices, audits, and penalties can be stressful. And if you ignore them, they become even more stressful! Fortunately, there is a solution to every tax problem. All you have to do is stay calm and focused, and you’ll be able to defend a tax return from an audit or pay off a tax debt.
Even for honest taxpayers, the IRS can be extremely frightening. Unlike most other government agencies, the IRS has unbridled power to attach your wages, freeze your bank account and even confiscate your property, and that is enough to send a chill up the spine of any taxpayer.
If you receive a letter from the IRS saying that you owe additional taxes, it is important not to panic. It may be a frightening situation, but there are things you can do to settle your tax debt and get back on the good side of the IRS.
Taxpayers do have options when resolving tax disputes and paying additional taxes due, and simply knowing what those options are can set your mind at ease.
Unpaid payroll taxes are a serious matter to the IRS and are some of the worst kinds of back taxes you can owe. If you’re a small business owner with a payroll tax problem, read on to learn what you can do to avoid the IRS crippling your business or worse, shut your business down completely.
Already in payroll tax trouble? Contact us to schedule a free, no-obligation consultation and let’s get your payroll tax issue resolved.
Why Small Business Owners Get into Payroll Tax Trouble in The First Place
It’s hard being a small business owner today, trying to pay your employees their paychecks every week, and pay the IRS all those payroll taxes!
Do you own a corporation, limited liability company (LLC), limited partnership, limited liability partnership, limited liability limited partnership, or business trust?
Or are you planning to form one of these entities?
If so, be alert. There’s a new federal filing requirement coming.
Back in 2021, Congress passed a new law called the Corporate Transparency Act (CTA) that requires corporations, LLCs, and other business entities to provide information about their owners to the Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN), which is a unit separate from the IRS.
You may have heard on the radio, TV, and online, that you can settle your tax bill for less than what you owe. But are these claims true? And can you really settle your tax debt without hurting yourself in the long run?
Some of these national tax resolution firms you hear advertising offer very little service, just look at their Google and Yelp Reviews. So, it’s important to know who to trust and get educated on what your options are to resolve your tax problem.
As a local expert Tax Resolution Firm serving the Bronx, New York, we encourage all readers facing a tax problem to contact us for a free consultation at www.ultimatetax-relief.net.
If you don't have money to pay what you owe the IRS, you have a few options to work with. Whatever you do, don’t ignore the letters from the IRS and don’t let your back tax problem go unattended. The IRS has a great deal of power when it comes to recovering money, they think is theirs.
When you owe the IRS money, they can garnish your wages, levy your bank accounts, put a lien on your home and seize other assets.
Here's what you can do if you find yourself not being able to pay your taxes. Note, we always recommend getting in touch with a tax resolution professional to help avoid the harsh penalties and interest that accrued on your back taxes. It’s far easier to navigate towards tax resolution if you have a professional working on your behalf. If you’d like to schedule a no-cost confidential tax relief consultation, contact us here. www.ultimatetax-relief.net
When you owe money to the IRS, it is hard to think about anything else. While being in debt is never fun, no matter who the creditor is, the IRS enjoys almost unlimited power to collect the money they are due.
Unlike your mortgage lender or credit card company, the Internal Revenue Service has the power to attach your wages, raid your bank account and even take your freedom. No other creditor even comes close in terms of its power and influence and taking on the agency on your own could be asking for trouble.
Dealing with the IRS is a walk in the park for many people. They file a tax return each year with the help of a tax resolution expert and either enjoy a refund or pay the balance due. But for most others, dealing with the IRS is a thorny path filled with obstacles. Those challenges could be a result of a simple mistake—either on the part of the IRS or the taxpayer—or they may happen when you can’t pay the balance due, can’t pay on time, or your tax return is selected for audit. Regardless of the cause, handling IRS problems successfully means adhering to certain rules and knowing your rights.
A growing number of people are leaving the world of traditional employment behind. These are the folks who are opening their own small businesses, the people who are embracing freelancing and the men and women who are using gig work to make a good income.
As this trend continues, many of those newly self-employed individuals are finding themselves at a loss, especially when tax season rolls around. One of the worst feelings is working so hard throughout the year, only to get blindsided by a huge tax bill you weren’t ready for.
While traditional employees can rely on the companies they work for to withhold taxes and report their earnings to the IRS, the self-employed are expected to complete these actions on their own.
One of the biggest stories in the world of business is the growing shift toward self-employment. An ever-increasing number of men and women are saying good bye to their colleagues, their cubicles, and their corporate overlords, choosing instead to make their own way in life.
If you are one of these self-employed individuals or a new member of the gig economy, tax filing season could be more complicated than you think. Instead of merely plugging in the numbers from your W2, you will need to gather multiple forms, crunch the numbers, seek out deductions and look for solutions to tax problems you did not even know existed.
If you are running a small business, you have one unwanted partner that will dig into your pocket every year, it’s the IRS. The IRS wants to know what you are doing, how much you are earning, and most importantly how much you are paying in taxes, and the tax agency is becoming increasingly aggressive in this regard. While the audit rate for individual returns has been hovering at far less than 1%, the audit rate for small businesses can be as much as 10 times higher.
It does not matter if you operate as a sole proprietor and use Schedule C to claim your income or if you are set up as a C-corp, S-corp, or LLC - the IRS is watching what you do, and if they think you are not paying your fair share they will certainly come calling. When that demand letter from the IRS arrives, knowing what to do next can make all the difference, and the more you educate yourself the easier it will be to deal with and eliminate, the tax debt.
It is no wonder so many Americans dread the April 15 tax filing deadline. The U.S. tax code already contains more words than the Bible, and hundreds of pages of new rules and regulations are often added.
With so much complexity, it is no wonder so many of us put off filing our taxes until the last possible minute, but taking that approach introduces its own stresses and can potentially land you in hot water with the IRS. What if you do not get it done on time? You can file for an extension, but you are still required to pay the taxes you owe plus penalties and interest. How do you know you didn't make a mistake with your last-minute tax filing? Something as simple as a mathematical error could increase the odds of an audit and put you in the crosshairs of the IRS.
Opening the mailbox and finding a letter from the IRS is frightening, but what happens next can be even scarier. The tax agency wields incredible power, and if they claim you owe additional taxes, they have many different options for forcing you to pay.
When the IRS claims you owe additional money, they will act quickly, and that could leave you reeling, and trying hard to preserve the money you need to pay your bills, feed your family, and keep a roof over your head. If you are employed, the IRS can reach into your paycheck, forcing the company you work for to withhold part of what you are owed until the tax debt has been satisfied.
The old saying that nothing is certain in life except death and taxes has never been truer, or more frightening. In the current environment, fear of the IRS is creeping in, and nothing will get your heart racing quite as fast as opening the mailbox and finding a letter from the tax agency.
When the IRS comes calling, you might think that there is nothing you can do. You may worry that you will have to liquidate your assets, sell your car, or even put your home on the market to afford what the IRS says you owe.
The good news is that you may not have to pay that total amount, and before you write that big check you should check out the alternatives first.
The holidays are here. Not to be a grinch but right around the corner is a less fondly anticipated time of year. Before you know it, you will be taking down the Christmas tree, pulling down the holiday lights and getting ready for the tax season to come.
Tax season is decidedly less fun than holiday season, but the two times of year do have one thing in common. Just like the holidays, tax season requires lots of preparation and planning, and if you want to be ready, you need to start early.
Cryptocurrency has become an incredibly popular way to invest, but the tax side of this virtual coin can be difficult to navigate. The IRS has gone back and forth over the years on its stance on cryptocurrency, making it confusing even for the most diligent investors.
In March of 2021, the IRS announced Operation Hidden Treasure in order to crack down on cryptocurrency reporting. If you've bought and/or sold cryptocurrency recently, it's important to declare your crypto correctly on your tax forms to avoid fraud and evasion charges.
Given how high the stakes are, it is surprising how little thought many people give to their taxes. All too often, individuals simply walk into a neighborhood storefront, hand over their most personal information and trust the person on the other side of the desk to do the right thing and prepare their taxes properly.
In many cases that trust is well placed, and the individual preparing the taxes is indeed the honest and trustworthy professional they claim to be. In other cases, however, the trust is misplaced, and the tax preparer will end up making mistakes that could cost the individual a great deal. If an audit is triggered by a deliberate misrepresentation or unintentional mistake, you will still be on the hook for any additional taxes, interest and penalties.