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IRS Liens. IRS Levy. Tax Consultant. Offer in Compromise Tax Help

IRS Liens. IRS Levy. Tax Consultant. Offer in Compromise Tax Help The AUR (Automated Under Reporter) Unit handles filed returns that miss a 1099 or W-2. The ASFR (Automated Substitute for Return) Units in Holtsville (Small Business/Self Employed) and Fresno (Individuals) handle the IRP documents which do not match any filed 1040’s. The computer is […]

Reviews from my 12/7 webinar on “IRS Correspondence”

Reviews from my Webinar on Thursday:    I thought the webinar went great – and I even did the first 45 minutes or so on my phone coming back from LaGuardia airport on the M60 bus (not highly recommended for stress-free viewing, but it worked).  It seemed like the technology worked well Excellent presentation by […]

IRS Liens. IRS Levy. Tax Consultant. Offer in Compromise Tax Help

IRS Liens. IRS Levy. Tax Consultant. Offer in Compromise Tax Help How does the IRS “know” that a taxpayer “should” file a return? By law, many entities must report the income they pay to individuals. A 1099 MISC/DIV/INT/B or a K-1 are just some of the income reporting documents that are filed directly with the […]

IRS Liens. IRS Levy. Tax Consultant. Offer in Compromise Tax Help

If you request an extension of time to file by the tax deadline and you paid at least 90 percent of your actual tax liability by the original due date, you will not face a failure-to-pay penalty if the remaining balance is paid by the extended due date. If both the failure-to-file penalty and the […]

Tax Consultant. IRS Taxes Offer in Compromise. IRS Lien. IRS Levy

Failure to File or Pay Penalties: Eight Facts IRS Tax Tip 2012-74, April 17, 2012 The number of electronic filing and payment options increases every year, which helps reduce your burden and also improves the timeliness and accuracy of tax returns. When it comes to filing your tax return, however, the law provides that the […]

IRS Levy. IRS Lien. IRS tax debt. Tax Consultant. IRS Compromise

I used to joke that since interest is calculated daily, wouldn’t the IRS computer burn out at 12:01 am…just based on attempting to calculate the client’s new balances? The concept of the assessed balance avoids this potential daily burn-out. All the IRS computer needs to remember is the benchmark of the assessed balance on each […]

Tax Consultant. IRS Levy. IRS Lien. Offer in Compromise. Garnish

Looking back to our $10,000 tax assessment, the interest is 4% or $1.10/day and the penalty is $50/month. If it logically takes the IRS computer time to process and mail out a bill, easily fifty days has passed. Let’s not forget the failure to estimate penalty (call it $820 for this example). The first bill […]

Tax Consultant. IRS Levy. IRS Lien. IRS wage garnishment. OIC

The assessment of tax is part of what we are told is the “assessed balance”. As we know, the IRS charges penalty and interest (P&I). Currently (and reviewed quarterly) the IRS interest rate for underpayments is 4%, compounded upon itself, accrued daily. That is not so bad, I wish that I had credit cards at […]

IRS Assessment IRS Tax Lien, Levy IRS levy. Back Taxes.

This 23c date is the assessment date; the legal date that sets in motion the ten-year Collection Statute Expiration Date (CSED). This also starts the Collection Process. This notion of the assessment starting the CSED clock is important to teach you at this level as it sets the stage for later discussions. Congress did not […]

IRS Settlement. IRS back Taxes. Penalty Abatement

Objective To understand the importance and definition of the Assessment of a tax liability and the statutory periods of collection and expiration. To understand the differences between Assessment, Collection and Refund Statutory Expiration Dates. To understand the relationship of penalties and interest with the assessment periods. To understand the relationship between Liens and Levies in […]