Yes. If you owe money to the Internal Revenue Service (IRS), the IRS has many tools it may use to collect that money, including foreclosure action against your home. This is usually a tool of last resort for the IRS. The IRS will generally take many other steps to try to collect the outstanding federal [...]
When an individual has outstanding federal tax liabilities, the Internal Revenue Service (IRS) has a number of tools at its disposal to try to collect the liabilities from the individual, including levying the individual’s wages (I.R.C. § 6331(a)). When the IRS issues a wage levy notice to an employer, the employer must pay the IRS [...]
Starting January 1, 2018, through December 31, 2025, job-related moving expenses are no longer tax-free. The newly enacted Tax Cuts and Jobs Act (TCJA) makes many significant changes to employee benefits, including changes to the treatment of job-related moving expenses. Prior to the enactment of TCJA, the cost of moving an employee, their family, and [...]
Are Sexual Harassment Settlement Payments and Attorney Fees Tax Deductible? It depends on whether the business requires a nondisclosure agreement as part of the settlement. Previously, under IRC §162, businesses were allowed a deduction for amounts paid in connection with a legal settlement pursuant to employee complaints such as discrimination and sexual harassment. However, Section [...]
I missed the deadline to file my tax return. Now what? The deadline for individual taxpayers to file their 2017 Forms 1040, U.S. Individual Income Tax Return, was April 18, 2018. Generally, the filing deadline for Forms 1040 is April 15 of the following tax year. However, as was the case for the 2017 filing [...]
Offshore Voluntary Disclosure Program Ends September 28, 2018 The IRS recently announced that it will end its Offshore Voluntary Disclosure Program (OVDP) on September 28, 2018. To participate in the OVDP before it ends on September 28, 2018, a taxpayer must submit a complete offshore voluntary disclosure. The disclosure must (1) conform to the requirements [...]
New IRS Test Criteria for Streamlined Installment Agreements: Liabilities Up to $100,000 Eligible for Streamlined Installment Agreement The IRS recently extended its test program for streamlined installment agreements to allow individual taxpayers with up to $100,000 in assessed tax, penalties, and interest to apply for streamlined installment agreements. This article addresses some of the benefits [...]
I am often asked how long do I have to maintain records to protect myself against actions by the Internal Revenue Service? Along with that question comes the question about whether the IRS has the burden of proving a taxpayer owes the tax (assuming it met its burden when first assessing the tax) if many [...]
The IRS must give a taxpayer written notice, sent by certified mail, at least 30 days before it takes any collection action like a bank levy or a wage levy. IRC Section 6331(d). In 1998, Congress added the requirement that the IRS advise the taxpayer of his or her right to a Collection Due Process [...]