What are some tax advantages for school?
- David Greene
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Here are some school related tax tips. (1) Although private school tuition is not deductible, the child care component of the tuition is deductible for kids under 13. (2) Also for kids under 13, before and after school care may…
The 2023 Tax Day has now come and gone!
- David Greene
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Since tax day is now behind us and all of you have hopefully filed your return or an extension, you can now relax for awhile. Therefore, I thought that today I would share a little comic relief. Hope you enjoy….
When is the best time to file an Offer in Compromise?
- David Greene
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In general, i.e. in terms of “now” as opposed to several years ago, this is a good time to deal with the IRS. They have generally been more willing to compromise and make better deals for the taxpayers than in…
Does an Offer in Compromise by one ex-spouse absolve the other from the debt?
- David Greene
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If you and your ex-spouse filed jointly, you both are jointly and severally liable for the entire tax bill. This means that you both owe the entire amount and the IRS can pursue either or both of you for payment…
Can the IRS make me adjust my withholding amount on my paycheck?
- David Greene
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Yes, they can but sometimes you should voluntarily make that adjustment yourself. It is a common issue among our clients that they do not have enough taxes withheld from their paycheck. When you work as an employee, you fill out…
Can one file a second Offer in Compromise after the first is rejected?
- David Greene
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Yes, you can certainly file another Offer, especially when there is a change in your circumstances. However, we should look at another possibility first. When an Offer is rejected, you have 30 days from the date of the official rejection…
What can one do to avoid an audit?
- David Greene
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I often get asked this question just after tax season. There is nothing you can do to guarantee that you will never be audited. However, by following three simple rules, you can minimize your chances of being audited and, if…
What has to be filed for the non-custodial parent to claim the child as a dependent?
- David Greene
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This question deals with the same problem the reader had last week, but in a different way. If a taxpayer seeks to claim dependent children after a divorce but is not the custodial parent, he must file Form 8332 with…
Is an ex-spouse only responsible for one half the taxes on a return with delinquent taxes?
- David Greene
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I have been asked this question before. The general answer is that a spouse owes all of the taxes because he signed the return. For a joint return the signers are jointly and severally liable for the tax. This means…
How can the IRS deny a taxpayer’s exemption for his child?
- David Greene
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Usually, when the IRS denies your exemption for a child, it means that someone else filed before you did, claiming the same child as an exemption. This usually arises when a stepparent and biological parent both claim the exemption. However, in…