Learn what to do if you can’t pay the tax due on your return.
- March 29th, 2016
- David Greene
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First you should file your return on time even if you cannot pay the amount due. What you do not want to do is ignore the tax due. There are several ways you can arrange to pay the tax to…
What are common mistakes made in S-Corporation tax returns?
- March 22nd, 2016
- 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?
- March 15th, 2016
- 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?
- March 9th, 2016
- David Greene
- Comments Off on Can the IRS use private debt collectors to collect delinquent taxes?
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?
- March 3rd, 2016
- David Greene
- Comments Off on Does a divorced person still owe the taxes generated in a previous marriage?
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?
- March 1st, 2016
- David Greene
- Comments Off on What is the status of tax credits for tax year 2015?
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?
- February 23rd, 2016
- 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…
How long does the Offer in Compromise process take?
- February 9th, 2016
- 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…
When can a business deduct gifts to Charities?
- February 5th, 2016
- David Greene
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Gifts to charities by a business are not alweays deductible, but in some cases they are. The IRS Chief Counsel recently issued an Advice Ruling in which he said that when a business conducts a promotion where it advertises that…
Are consumer tax return preparation programs right for everyone?
- February 2nd, 2016
- David Greene
- Comments Off on Are consumer tax return preparation programs right for everyone?
The answer depends on the complexity of your tax situation. If you have only W-2 income and claim the standard deduction, you can probably prepare your own tax return or the available programs would be fine. However, if you claim…