10 Mar
Posted by admin as IRS Problem, IRS Tax Help, Offer In Compromise - OIC, Tax Controversy, Tax Help, Tax Relief
Today is the first day of the rest of your life. If things haven’t been going well lately, get a fresh start with a fresh attitude. The best is yet to come! Michael Josephson, of Character Counts.
Tax debt settlement help – get reliable tax relief
If you find yourself unable to comprehend the complexities of paying [...]
24 Feb
Posted by admin as IRS Problem, IRS Tax Help, Tax Planning, Tax Relief, trust
Basic Trust Taxation Rules
It is estimated that $4.8 trillion in wealth will be inherited or transferred from one generation to the next by 2015, with much of it transferred through a variety of trusts. Filings of trust returns (Form 1041) are now the third most frequently filed income tax return behind individual and corporate returns. [...]
18 Feb
Posted by admin as IRS Problem, Tax Controversy, Tax Relief
Plane was crashed into Austin building by man angry at IRS, authorities say
A software engineer is presumed dead after flying his small plane into an office building. At least 13 people on the ground are injured and one is unaccounted for.
Source: LA Times
By Richard Fausset and Richard Serrano
Reporting from Washington and Austin, Texas
A disgruntled software [...]
30 Jan
Posted by admin as IRS Audits, IRS Problem, Tax Help, Tax Relief
Entertainment Industry Income tax help
Every working Entertainer in the US is required to file his or her income tax returns on time and this means going through every receipt and transaction made throughout the previous year to make sure that everything is properly and accurately reported.
Unfortunately, filing your income tax return on time is a [...]
29 Jan
Posted by admin as IRS Problem, IRS Tax Help, Tax Relief
Prepared Remarks of IRS Commissioner Doug Shulman to New York State Bar Association Taxation Section Annual Meeting in New York City, Jan. 26, 2010
It’s a great honor to address the New York State Bar Association Taxation Section. I look forward to beginning a dialogue with you that will start – but I trust – not [...]
07 Jan
Posted by Mike Habib, EA as Back Taxes, CA FTB, IRS Audits, IRS Problem, IRS Tax Help, Offer In Compromise - OIC, Past Due Tax Returns, Payroll Tax Problems, Sales Tax Audit, Tax Controversy, Tax Help, Tax Relief, Wage Garnishment
Southern California Tax Relief Services
IRS tax Relief, FTB tax Relief, BOE tax Relief, EDD tax relief
At Mike Habib, EA, a SoCal tax firm, we understand that being notified that your tax return is being challenged by the IRS or the FTB can be scary. When you are faced with an audit, or a collection action, [...]
24 Dec
Posted by Mike Habib, EA as IRS Problem, IRS Tax Help, Tax Controversy, Tax Help, Tax Relief, Unfiled Tax Returns, Wage Garnishment
Tax Problems – Tax Problem Resolution
When tax problems occur, it can be difficult to hide from the IRS. Being familiar with these tax problems allow you to recognize them as soon as they occur. Whether you are an individual or a business entity, make sure that you are aware of these common problems regarding taxes.
Payroll [...]
17 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Federal Tax Lien, IRS Problem, IRS Tax Help, Offer In Compromise - OIC, Past Due Tax Returns, Payroll Tax Problems, Tax Controversy, Tax Help, Tax Relief, Unfiled Tax Returns
Table 16. Delinquent Collection Activities, Fiscal Years 2005-2008
[Money amounts are in thousands of dollars.]
Activity
2005
2006
2007
2008
(1)
(2)
(3)
(4)
Returns filed with additional tax due:
Total amount collected [1]
[r] 27,615,348
[r] 29,172,915
[r] 31,952,399
28,465,648
Taxpayer delinquent accounts (thousands):
Number in beginning inventory
5,981
6,478
7,074
8,240
Number of new accounts
5,870
6,100
7,146
7,099
Number of accounts closed
5,373
5,504
5,980
6,107
Ending inventory:
Number
6,478
7,074 [...]
Cash IS Taxable
Law school grad turned call girl Cristina Warthen under house arrest after cheating the Government
Source: NY Daily News
Law school comes in handy when trying to evade taxes as a call girl, or at least that’s what one Stanford graduate seemed to think.
Cristina Warthen – a 2001 Stanford Law School graduate – was sentenced [...]
Morality and Charlie Rangel’s Taxes
It’s much easier to raise taxes if you don’t pay them.
Source: WSJ
Ever notice that those who endorse high taxes and those who actually pay them aren’t the same people? Consider the curious case of Ways and Means Chairman Charlie Rangel, who is leading the charge for a new 5.4-percentage point [...]
IRS Did Not Fail to Properly Credit Checks Against Married Couple’s Tax Liability (Kovacevich, TCM)
The IRS properly credited five checks toward the outstanding tax liability of a law firm and not the individual tax liability of an attorney and his wife. For the tax year at issue, the taxpayer/husband was improperly characterized as an [...]
05 Jun
Posted by Mike Habib, EA as Back Taxes, IRS Audits, IRS Problem, IRS Tax Help, Tax Controversy, Tax Help, Tax Relief, US Taxes
IRS to seek more regulation of tax preparers
The IRS reported that it is working on new rules that will require paid tax preparers to be licensed. This will improve tax compliance and reduce tax preparer fraud; IRS Commissioner Doug Shulman announced that on June 4, 2009.
A whopping eighty percent of taxpayers get help with their [...]
24 May
Posted by Mike Habib, EA as IRS Audits, IRS Problem, IRS Tax Help, Tax Controversy, Tax Help, Tax Relief, opportunity letter
UBS CLIENT PLEADS GUILTY TO FILING FALSE TAX RETURN HID ASSETS WORTH $3 MILLION IN SECRET SWISS BANK ACCOUNT
Ft. Lauderdale Yacht Broker Second UBS Client Charged, First to Plead Guilty
WASHINGTON – Robert Moran, of Lighthouse Point, Fla., pleaded guilty on criminal information charging him with filing a false income tax return, the Justice [...]
24 May
Posted by Mike Habib, EA as IRS Audits, IRS Problem, IRS Tax Help, Tax Controversy, Tax Help, Tax Relief
U.S. JUDGE BARS TWO CONNECTICUT RESIDENTS FROM PREPARING FEDERAL TAX RETURNS FOR OTHERS
Father and Daughter Prepared Tax Returns That Falsified and Inflated Deductions for Customers
WASHINGTON – A federal district court in Connecticut has permanently barred Wethersfield residents Deowraj Buddhu and his daughter, Sunita Buddhu, from preparing federal tax returns for others. Mr. Buddhu [...]
09 Mar
Posted by Mike Habib, EA as IRS Problem, IRS Tax Help, Tax Controversy, Tax Help, Tax Relief
Tax Relief Services
Filing tax returns is a necessary hassle, and everyone – even prudent individuals – are prone to errors. Tax delinquency is becoming a common problem as the harsh economy renders more people incapable of paying their taxes for various reasons.
Luckily, resolving delinquent tax liabilities need not be traumatic. If you’re one of [...]
05 Mar
Posted by Mike Habib, EA as IRS Problem, IRS Tax Help, Offer In Compromise, Offer In Compromise - OIC, Payroll Tax Problems, Tax Help, Tax Relief
Fifth Circuit finds tax-exempt hospital’s chairman liable for trust fund penalty
Verret v. U.S., (CA 5 2/26/2009) 103 AFTR 2d ¶2009-576
Mike Habib, EA Tax Relief & Tax Problem Resolution
In an unpublished per curiam decision, the Court of Appeals for the Fifth Circuit has affirmed a district court’s finding that the chairman of the board [...]
03 Mar
Posted by Mike Habib, EA as Back Taxes, IRS Problem, IRS Tax Help, Past Due Tax Returns, Tax Relief, Unfiled Tax Returns
IRS has a check for you
Mike Habib, EA Tax Relief & Tax Problem Resolution
IR-2009-16, March 3, 2009
WASHINGTON — Unclaimed refunds totaling approximately $1.3 billion are awaiting over a million people who did not file a federal income tax return for 2005, the Internal Revenue Service announced today. However, to collect the money, [...]
28 Feb
Posted by Mike Habib, EA as IRS Problem, IRS Tax Help, Offer In Compromise, Offer In Compromise - OIC, Past Due Tax Returns, Tax Controversy, Tax Help, Tax Relief, Unfiled Tax Returns
Widow entitled to equitable spousal relief for some years
Martinez, TC Memo 2008-165
Mike Habib, EA Tax Relief & Tax Problem Resolution
The Tax Court held that a widow was entitled to equitable spousal relief for two of four tax years even though she had knowledge of her and her husband’s tax liabilities, because she took [...]
27 Feb
Posted by Mike Habib, EA as IRS Notice, IRS Problem, IRS Tax Help, Tax Help, Tax Relief, US Taxes
President’s FY 2010 budget will propose many major tax changes for businesses and individuals
“A New Era of Responsibility: Renewing America’s Promise,” the Administration’s preview of its FY 2010 budget, is available at http://www.omb.gov
Mike Habib, EA Tax Relief & Tax Problem Resolution
On Feb. 26, 2009, the Obama Administration released a document titled “A New Era of [...]
25 Feb
Posted by Mike Habib, EA as IRS Notice, IRS Problem, IRS Tax Help, Tax Relief, US Taxes
Energy tax incentives in the American Recovery and Reinvestment Act of 2009
Mike Habib, EA Tax Relief & Tax Problem Resolution
The recently enacted “American Recovery and Reinvestment Act of 2009” (the 2009 economic stimulus act) includes a package of tax incentives to encourage investments in renewable energy projects or more-efficient technologies. I’m writing to [...]
25 Feb
Posted by Mike Habib, EA as IRS Notice, IRS Problem, Tax Relief, US Taxes, Unfiled Tax Returns
“Making Work Pay” tax credit in the American Recovery and Reinvestment Act of 2009
Mike Habib, EA Tax Relief & Tax Problem Resolution
The recently enacted “American Recovery and Reinvestment Act of 2009” (the 2009 economic stimulus act) contains a wide-ranging tax package that includes tax relief for low and moderate-income wage earners, individuals and families [...]
25 Feb
Posted by Mike Habib, EA as Back Taxes, IRS Notice, IRS Problem, Past Due Tax Returns, Tax Help, Tax Relief
Tax changes affecting individuals and families in the American Recovery and Reinvestment Act of 2009
Mike Habib, EA Tax Relief & Tax Problem Resolution
The recently enacted “American Recovery and Reinvestment Act of 2009” (the 2009 economic stimulus act) contains a wide-ranging tax package that includes tax relief for low and moderate-income wage earners, individuals and [...]
24 Feb
Posted by Mike Habib, EA as IRS Audit Reconsideration, IRS Audits, IRS Problem, IRS audit advice, IRS audit guide, Tax Controversy, Tax Relief
TIGTA assesses how well IRS Examination function scrutinizes all open tax periods during audits [Audit Report No. 2009-30-034]:
IRS Examination function employees do not always appropriately inspect and examine prior and/or subsequent year tax returns when warranted, the Treasury Inspector General for Tax Administration (TIGTA) said in a new audit.
Auditors reviewed [...]
24 Feb
Posted by Mike Habib, EA as IRS Problem, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Help, Tax Relief
IRS not obligated to accept offer in compromise
Bennett, TC Memo 2008-251
Mike Habib, EA
The Tax Court held that the IRS did not abuse its discretion when it refused to accept the taxpayer’s settlement offer, which was higher than the amount it had calculated the taxpayer could pay. Instead the Service could place part [...]
24 Feb
Posted by Mike Habib, EA as Back Taxes, IRS Audit Reconsideration, IRS Problem, Past Due Tax Returns, Tax Controversy, Tax Relief
Seventh Circuit classifies computer programmer as an independent contractor
Suskovich v. Anthem Health Plans of Virginia, Inc., (CA 7 1/22/2009) 103 AFTR 2d ¶2009-385
The Court of Appeals for the Seventh Circuit, affirming a district court, has concluded that a computer programmer was an independent contractor and not an employee.
Facts. Anthony Suskovich worked for WellPoint/Anthem (WellPoint) [...]
24 Feb
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Past Due Tax Returns, Tax Controversy, Tax Relief, US Taxes, Unfiled Tax Returns
IRS urged to issue pre-April 15 guidance for Madoff victims
An influential voice in politics, former New York State Governor George Pataki, has asked IRS to issue pre-Apr. 15 guidance for victims of the Ponzi scheme alleged to have been perpetrated by dealer and advisor Bernard Madoff and his firm. Separately, members of the Senate Banking [...]
09 Feb
Posted by Mike Habib, EA as IRS Federal Tax Lien, IRS Problem, Tax Controversy, Tax Help, Tax Relief
IRS Speeds Lien Relief for Homeowners Trying to Refinance, or Sell their house
Contact Mike Habib, EA to release your IRS Federal Tax lien
The Internal Revenue Service announced an expedited process that will make it easier for financially distressed homeowners to avoid having a federal tax lien block refinancing of mortgages or the sale of [...]
16 Jan
Posted by Mike Habib, EA as IRS Audits, IRS Problem, Tax Controversy, Tax Help, Tax Relief
As you can see from the article below, the IRS tax code is getting more complicated than ever. Further, the IRS’s reach of audits has no limits.
If you have a tax problem, can not pay your tax bill or is facing an IRS tax audit contact us now.
Tax problem complicates Geithner’s confirmation process
As reported by the [...]
13 Jan
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Tax Relief, US Taxes, Unfiled Tax Returns
As you start to organize your records for your 2009 tax preparation, I thought you might find this brief rundown of 2009 tax changes useful.
* ADOPTION TAX CREDIT increases to $12,150 for adoption
of an eligible child.
* SECTION 179 maximum deduction decreases to $133,000.
Phase-out threshold is $530,000. (It is generally
expected that a stimulus law in early [...]
05 Jan
Posted by Mike Habib, EA as Back Taxes, Bank Levy, IRS Audit Reconsideration, IRS Problem, IRS Tax Penalties, Offer In Compromise, Offer In Compromise - OIC, Past Due Tax Returns, Payroll Tax Audit, Payroll Tax Problems, Penalty Abatement, Sales Tax Problem, State Tax Audit, Tax Controversy, Tax Help, Tax Relief, Unfiled Tax Returns, Wage Garnishment, Wage Levy
No More Tax Problems in 2009
Mike Habib, EA
Here is a New Year resolution you can’t afford to ignore… No more tax problems!! Yes, you can get rid of your tax problems in 2009.
You can solve your tax problems and get tax relief through our tax resolution services. You can finally get a [...]
30 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Help, Tax Relief
Taxpayer’s failure to timely file breached offer-in-compromise justified renewed collection action Trout, (2008) 131 TC No. 16
Mike Habib, EA
The Tax Court has concluded that IRS didn’t abuse its discretion in finding that a taxpayer had breached his offer-in-compromise (OIC) and deciding to proceed with its collection efforts where the OIC made timely filing [...]
30 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Audit Reconsideration, IRS Audits, IRS Problem, IRS Tax Penalties, Offer In Compromise, Offer In Compromise - OIC, Payroll Tax Audit, Tax Relief, US Taxes
Capital contributions did not restore or increase shareholders’ tax bases in loans to S corporations Nathel, (2008) 131 TC No. 17
Mike Habib, EA
The Tax Court has held that taxpayers’ capital contributions to S corporations did not constitute income to the S corporations and that the contributions did not restore or increase their tax [...]
IRS reminds taxpayers to make use of recent tax law changes before December 31st [Fact Sheet 2008-26]:
Mike Habib, EA
With the end of tax year 2008 just weeks away, IRS has issued a number of tax tips that taxpayers should consider.
Among the tips are the following—first-time homebuyers (those who have not owned [...]
15 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Tax Relief, US Taxes, Unfiled Tax Returns
IRS tips for year-end charitable contributions IR 2008-138
Mike Habib, EA
IRS reminds individuals and businesses making contributions to charity that they should keep in mind several important tax law provisions that have taken effect in recent years. One provision offers older owners of individual retirement arrangements (IRAs) a different way to give to charity. [...]
15 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Offer In Compromise, Payroll Tax Problems, Tax Controversy, Tax Relief
A roadmap to disaster area tax relief in 2008 legislation
Mike Habib, EA
The 2008 calendar year has seen more than the usual share of natural disasters in the U.S., and legislation designed to provide tax relief to the victims. By and large, legislative relief has been granted on an ad-hoc basis, with an attempt [...]
15 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Tax Controversy, Tax Help, Tax Relief, US Taxes, Unfiled Tax Returns
IRS boosts 2008 housing cost allowances for those working abroad in high-cost areas Notice 2008-107, 2008-50 IRB
Mike Habib, EA
A new Notice effectively increases the maximum housing cost exclusion for U.S. citizens and residents working abroad in specified high-cost locations. The increases are based on geographic differences in foreign housing costs relative to U.S. [...]
Fact sheet explains wage compensation of S corporation officers Fact Sheet 2008-25
Mike Habib, EA
A recently released IRS fact sheet provides useful information for S corporations and their owners concerning the proper tax treatment when corporate officers perform services for the entity. Specifically, it explains the proper employment tax treatment of payments made to [...]
15 Dec
Posted by Mike Habib, EA as IRS Problem, Payroll Tax Audit, Payroll Tax Problems, Tax Controversy, Tax Relief
Roundup of recent employment tax rulings
Mike Habib, EA
There have been several recent rulings issued in the employment tax area. Here is a summary:
Joint employment. A federal district court has ruled that a property management company was the joint employer of leasing consultants who worked out of the management company’s call center through three different [...]
02 Dec
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Tax Controversy, Tax Relief
Gambling winnings or losses?
Mike Habib, EA
As a US taxpayer, you can deduct gambling losses only if you itemize your deductions on form 1040. You can claim your gambling losses as a miscellaneous deduction on IRS Form 1040, Schedule A. However, the amount of losses you deduct can not total more than the amount of [...]
11 Nov
Posted by Mike Habib, EA as IRS Problem, Tax Controversy, Tax Relief, US Taxes, trust
Estate not taxed on transfer of decedent’s pension to charitable beneficiary PLR 200845029
IRS has privately ruled that an estate will not be taxed on a distribution of the decedent’s pension benefits to a charitable beneficiary of the estate.
Facts. An individual, whom we’ll call, Smith, died owning an interest in a defined benefit [...]
11 Nov
Posted by Mike Habib, EA as Back Taxes, IRS Problem, Past Due Tax Returns, Payroll Tax Problems, Tax Relief, Unfiled Tax Returns
Year-end tax planning client letter with checklist
As the end of the year approaches, it is a good time to think of planning moves that will help lower your tax bill this year and possibly the next. Factors that compound the challenge include the stock market’s swoon, the difficult economic climate we’re in right now, [...]
11 Nov
Posted by Mike Habib, EA as IRS Problem, IRS Tax Penalties, Payroll Tax Audit, Payroll Tax Problems, Tax Relief
Timely reminder for small businesses to steer clear of trouble on payroll tax and retirement plan contributions IRS Employee Plan News (Fall 2008)
In these trying times, with cash scarce and credit hard to find, a small business might be tempted to “temporarily” use money it deducts for taxes and retirement plan contributions from [...]
11 Nov
Posted by Mike Habib, EA as AMT, Back Taxes, IRS Problem, Past Due Tax Returns, Tax Controversy, Tax Relief
As I’m sure you’re aware, on Oct. 3, 2008, the President signed into law the Emergency Economic Stabilization Act of 2008 (P.L. 110-343). Although virtually all of the press coverage of this law has concentrated on its hotly debated $700 billion financial industry bailout plan, the legislation also contains scores of tax changes, mostly [...]
23 Oct
Posted by Mike Habib, EA as IRS Problem, Tax Controversy, Tax Relief
Special refund procedures for coal producers and exporters on excise tax paid on exported coal Ann. 2008-103, 2008-46 IRB
In a new Announcement, IRS has advised taxpayers how to claim a refund of the excise tax on exported coal under the new procedures provided in Sec. 114 of the Energy and Extension Act of 2008 [...]
23 Oct
Posted by Mike Habib, EA as IRS Problem, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Relief
Appeals Court reverses ruling that denied taxpayer Section 530 Relief
Trucker tax relief, trucking tax relief, trucking tax problem resolution.
Peno Trucking, Inc. v. Commissioner, CA6, 102 AFTR 2d ¶ 2008-5360
Trucking Tax Help – Trucking Tax Relief – Trucker Tax Help
The U.S. Court of Appeals for the Sixth Circuit has affirmed a U.S. Tax Court [...]
Charitable extenders and incentives in the 2008 Extenders Act
The Tax Extenders and Alternative Minimum Tax Relief Act of 2008, which was enacted on Oct. 3, 2008, extends several expired charitable giving tax breaks and provides several new tax incentives for charitable giving. Here is a brief overview of the charitable provisions in the new [...]
07 Oct
Posted by Mike Habib, EA as IRS Problem, Mortgage Tax Debt Relief, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Relief
Mortgage debt relief extension, tax relief for community banks, and crackdown on some executive compensation in the 2008 Economic Stabilization Act
I am writing to provide details regarding three tax provisions in the Emergency Economic Stabilization Act of 2008: which was enacted Oct. 3, 2008. Those provisions are: (1) an extension for home mortgage debt [...]
07 Oct
Posted by Mike Habib, EA as IRS Problem, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Relief
AMT relief in the 2008 Extenders Act
I am writing to provide details regarding three key provisions in the “Tax Extenders and Alternative Minimum Tax Relief Act of 2008” (the 2008 Extenders Act), which was enacted on Oct. 3, 2008. The provisions extend partial relief to individual taxpayers from the alternative minimum tax, or [...]
07 Oct
Posted by Mike Habib, EA as IRS Problem, Offer In Compromise, Offer In Compromise - OIC, Tax Controversy, Tax Relief
Individual and business extenders and other relief provisions in the 2008 Extenders Act
The “Tax Extenders and Alternative Minimum Tax Relief Act of 2008” (the 2008 Extenders Act), which was enacted on Oct. 3, 2008, provides extensions for several popular tax breaks and the addition of several new relief provisions, including disaster area tax relief. [...]
29 Sep
Posted by Mike Habib, EA as IRS Audits, IRS Problem, IRS Tax Penalties, Offer In Compromise, Offer In Compromise - OIC, Payroll Tax Problems, Penalty Abatement, Tax Controversy, Tax Help, Tax Relief, US Taxes, Unfiled Tax Returns
Once is enough as far as collection of the trust fund recovery penalty is concerned Chief Counsel Advice 200838027
The IRS has issued a new Chief Counsel Advice (CCA) on the trust fund recovery penalty. The IRS notes that the CCA may not be used or cited as precedent.
IRC §6672, imposes a penalty on [...]