What is my process for resolving delinquent taxes for clients?
- David Greene
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Since each case is unique to its own set of facts, I can only discuss general guidelines of our process. When one retains me, he will sign a Form 2848 Limited Power of Attorney that allows me to represent him…
Is there a penalty for a tax return filed late that shows a refund?
- David Greene
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Fortunately, the answer is “No.” If you are due a refund on your taxes and file the return after the filing deadline (July 15 this year), the IRS will not charge you a late filing penalty. This is because you…
How is a levy different from a lien?
- David Greene
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I answered this question about the lien last week. This week I want to discuss how a levy differs from a lien. While a lien is simply recorded at the courthouse and is therefore a “passive” collection action (nothing happens…
Can a self-employed taxpayer still use the home office deduction?
- David Greene
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In a recent blog I discussed that unreimbursed employee expenses for a W-2 employee were no longer allowed as a miscellaneous deduction after 2017. However, that is not true for self-employed taxpayers who report their business on a Schedule C…
What is an Offer in Compromise based on Doubt as to Liability?
- David Greene
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The Offer in Compromise program is a voluntary program that is offered to certain taxpayers who are delinquent in their taxes. There are three types of offers, including this one. The other two types are an Offer in Compromise based…
Is unemployment income taxable?
- David Greene
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Unfortunately, unemployment income is taxable on the federal, state and local level. However, it is estimated that 37% of Americans do not know this and assume unemployment income is not taxable. The recipient has to ask the Agency to withhold…
Can a W-2 employee deduct unreimbursed employee expenses?
- David Greene
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Prior to 2017, if a W-2 employee had business expenses related to his employment that his employer did not reimburse, he could take a deduction for those expenses. However, the Tax Cuts and Jobs Act of 2017 eliminated those deductions…
How is a pension taxed?
- David Greene
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As a pension fund is growing during an employee’s working years, it is usually funded with pre-tax dollars and the money going into the pension is not taxed at that time. However, when a person retires and begins receiving his…
How are income taxes filed for a deceased person?
- David Greene
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When a spouse dies, assuming the couple filed as Married Filing Joint, the surviving spouse will still file a joint return for the year in which the spouse died. A death certificate must be attached to the return. For this…
What are the criteria for forgiving a PPP loan?
- David Greene
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The process to have your PPP loan forgiven is very complicated and is still being fine tuned by SBA, but here are some of the rules. (1) All funds must be used for covered expenses within 24 weeks of receiving…