TL;DR Imagine receiving an unexpected visit from an IRS Revenue Officer at your home or business. It’s a situation that can be overwhelming and intimidating. But fear not! In this comprehensive guide, we’ll explore the world of Revenue Officers and equip you with the knowledge and tools to navigate these encounters. Prepare to dive deep […]
IRS Collections
What If You Miss an Installment Agreement Payment?
TL;DR Setting up an installment agreement with the IRS is one of the quickest, most effective ways to stay in good standing and get your balance paid off over time. However, sometimes, you might miss a payment and fear your agreement will be canceled or the IRS will come after you. If you’ve missed a […]
What Happens with Cash Transactions Over $10k?
TL;DR If you run a business that handles larger cash transactions, you probably know that federal law requires you to report cash payments of more than $10,000 by completing a Form 8300, which is jointly issued by the IRS and the Financial Crimes Enforcement Network. This form, which requires the payor’s name, address, and tax […]
IRS Fresh Start Program: Myth vs. Fact
TL;DR If you’ve been dealing with overwhelming tax debt, you’ve probably seen or heard ads for the IRS Fresh Start program. The ads likely promise that the program will provide options to pay down or settle the tax debt. But what’s the truth about the IRS Fresh Start process? Keep reading to find out. Understanding […]
Who Qualifies for IRS Forgiveness?
You’ve probably heard about IRS tax forgiveness – this phrase is used heavily in tax relief advertisements, and it’s an enticing idea for people with tax debt. So, is it real? Is it possible? Yes, the IRS does forgive some taxes – but only if you qualify. To help you out, this post explains who […]
Will the IRS Find Out I Haven’t Filed Taxes?
Whether you haven’t filed your taxes on purpose or time just got the better of you and you forgot, don’t assume that the IRS hasn’t noticed. Yes, the IRS has to keep track of over 150 million tax returns each year, but it is very difficult to slip through the cracks. While you may think […]
What Is Tax Negligence?
When clients call Paladini Law for the first time, they often have questions about what negligence means, who can represent them, and what they should bring to a first meeting. This guide answers those questions. Tax negligence refers to careless or reckless handling of your tax obligations, such as: Negligence can result in substantial accuracy […]
What Does the IRS Know About Your Old Unfiled Taxes?
If you haven’t filed your taxes in years, you aren’t alone. More importantly, you aren’t out of options. Thousands of taxpayers fall behind each year, for reasons ranging from life upheavals that put them in survival mode to confusion over tax filing requirements to simply forgetting to file. If you don’t file and the IRS […]
How to File an IRS Collection Due Process Hearing
Getting behind on paying your taxes is a common issue in the U.S., and there are many reasons for not paying—you could have missed a deadline without knowing it, you may be experiencing financial hardship, or you could disagree with the amount the IRS assessed against you. But if you continue to avoid payment after […]
IRS Unlimited Statute of Limitations on Unfiled Returns
TL;DR Dealing with unfiled tax returns can be daunting. Many taxpayers wonder how long the IRS can pursue them or whether there’s a time limit after which tax issues expire. This article breaks down the rules in plain language, focusing on IRS deadlines and statutes of limitations, and explains what happens when you haven’t filed […]
What Assets Can the IRS Legally Seize to Satisfy Tax Debt?
TL;DR If you have just received a notice from the Internal Revenue Service (IRS) stating that they intend to enact a tax levy, you’re going to be alarmed. Your biggest questions will likely be “Can they actually do this?” and “What can they take?” The answer to the first question is “Yes.” When you owe […]
IRS Options for Tax Debt Under $50,000: Payment Plans & More
TL;DR If you’re struggling with IRS tax debt under $50,000, you’re not alone—and the good news is that the IRS offers several tax debt resolution options to help. Owing a large tax balance can be stressful, but the IRS offers payment plans and other relief programs designed for individuals in your situation. In this article, […]
IRS Gambling Losses Audit
TL;DR Gambling winnings are taxable income for federal and state taxes and must be reported, often via Form W-2G or as “other income” on Form 1040. Recreational gamblers can deduct gambling losses only if they itemize on Schedule A, and only up to the amount of gambling winnings. Losses cannot offset non-gambling income, and any […]
Do Tax Relief Companies Really Work? How to Avoid Rip-Offs
TL;DR Few financial issues are as stressful as unpaid taxes. The IRS can seize your assets, revoke your passport, and leave you financially destitute. That’s why the tax relief industry has grown so rapidly over the last 30 to 40 years—promises to handle state and federal tax issues sell, whether or not a company can […]
The IRS 10-Year Collection Rule: Taxpayer Hope or Hype?
TL;DR What is the IRS 10-year collection rule, and how could it impact your tax debt? Officially called the Collection Statute Expiration Date (“CSED”), this critical tax law generally limits tax collection efforts to 10 years from the assessment date. But certain events can pause or extend this period. Let’s dive in. The IRS’s Time […]
IRS Form 9297: What It Means, Why It Matters, and How To Respond The Right Way
You opened the mail and found IRS Form 9297, the Summary of Taxpayer Contact. That single page means an IRS revenue officer has been personally assigned to your case. It’s no longer just the Automated Collection System sending you balance-due letters. A collection employee—an individual revenue officer—is now contacting you directly to collect payment on […]
Tax Court Takeaways: Even Tyga Needs To Make Estimated Tax Payments to Get an Installment Agreement
Background Michael R. Stevenson, aka Tyga, recently sought review in Tax Court of an Intent to Levy Notice issued by the IRS. Tyga timely filed his 2019 federal income tax return but failed to pay the reported liability of $2,166,469. In an effort to collect this liability, the IRS issued a notice of intent to […]
IRS Notice LT-11
How Long Does an IRS Audit Typically Take?
The IRS has three years from the due date of a return or when you actually file the return to audit you. Most audits are completed in under a year, but they can sometimes take longer. Bear in mind that three years is the limit under normal circumstances. If you excluded more than 25% of […]
Understanding the IRS Collections Process
Like most creditors, the IRS will act on its right to collect taxes that you owe. In the beginning, its collection process is similar to what you may have encountered with an overdue credit card or utility bill: you get a Notice and Demand for Payment (also known as a CP501 notice) in the mail […]
