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 [...]
The Minnesota Department of Revenue (MDR) generally has 3.5 years from the date a tax return was due to assess additional tax. If the MDR audits a taxpayer’s return and increases the tax liability, how much time does the taxpayer have to appeal and contest the additional assessment? Below are the general time frames within [...]
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 [...]
Defaulted Installment Agreements The IRS expects taxpayers to pay all of their tax liabilities in full, at the latest, at the time the liabilities are due. When this is not possible, the IRS may allow taxpayers to pay their liabilities during a period of time through a monthly payment plan. These payment plans are called [...]