Can a wage levy be stopped by agreeing to a voluntary payment plan?
- David Greene
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The answer depends on who is levying the wages. The South Carolina Department of Revenue will not release a levy after it has attached until the levy is paid in full. They take 25% of the employee’s gross (before taxes)…
What are common mistakes made in S-Corporation tax returns?
- David Greene
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Although many Form 1120 S-Corporation tax returns are prepared by paid tax preparers, many also run into audit trouble. Many preparers make mistakes from time to time for various reasons. In fact the IRS just released a study that found…
Is there any truth to the argument that personal income taxes are illegal?
- David Greene
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I get this kind of inquiry every couple of years. The argument is that the IRS only has authority to collect taxes from corporations, not individuals. Over the course of my practice, I have represented several individuals who tried to…
Can the IRS use private debt collectors to collect delinquent taxes?
- David Greene
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Yes, the IRS has begun that practice again, but only if certain criteria are met. If you remember, several years ago the IRS used private debt collectors on a wide variety of cases. They eventually stopped the practice due to…
Does a divorced person still owe the taxes generated in a previous marriage?
- David Greene
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I have been asked this question many times before. The general answer is that he 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…
What is the status of tax credits for tax year 2015?
- David Greene
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Will any of the tax credits we had in tax year 2014 still be available for tax year 2015? Yes, I’m happy to say that the Protecting Americans from Tax Hikes (PATH) Act of 2015 preserved many of the consumer…
What exactly is the Trust Fund Penalty?
- David Greene
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First let me clarify that the Trust Fund Penalty is not really a penalty added to tax owed but is a portion of the payroll taxes owed by a corporation. The Trust Fund Penalty only applies to corporations, not to…
Is a Personal Representative ever liable for the delinquent taxes of the deceased?
- David Greene
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If the deceased owes delinquent taxes at death, the IRS must file a claim for taxes owed by that decedent just as any other creditor must. They can collect out of the estate, but not from the Personal Representative’s personal…
What are the differences in a will and Durable Power of Attorney?
- David Greene
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Each individual, even husbands and wives, needs to make a will in order to pass his/her assets after death. A Durable Power of Attorney, though, simply gives someone you trust the authority to act in your behalf when you can’t…
How long does the Offer in Compromise process take?
- David Greene
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Let me make one thing clear at the outset, dealing with the IRS is not like dealing with your neighbor down the street or a local business. A submitted Offer will not be resolved in a matter of a few…