Category: Tax

There has been quite a bit of talk about the IRS budget increase and its plans to hire an army of IRS agents. Given this news, those who have filed incorrect tax returns may be wondering if they should go back and file amended tax returns. This often depends on whether the time period for……

Executors who administer probate estates often have to deal with back taxes that the decedent owed. They may also have to deal with estate tax liabilities owed by the estate. While the probate process is governed by state law, state law gives way to Federal law when it comes to back taxes. The IRS has……

The U.S. Tax Court is unique in many ways. It has its own rules and the rules do not always comport with the rules that apply in other Federal courts. One example is that a party cannot just “non-suit” a case in tax court. A non-suit is the process of simply dismissing an action that……

Marriage presents a number of difficult tax questions. One question is whether both spouses can be held liable when they file separately and one spouse fails to pay their taxes. This is a common marriage tax question that we are asked. One might think that the married filing separate status fully protects the other spouse.……

If you owe back taxes and are litigating the case with the IRS, what happens if you come into money? The IRS has broad levy powers. Can the IRS get the money even though the taxes are being disputed in court? The answer can vary based on whether the underlying tax liability is being disputed……

The IRS’s collection efforts can impact different taxpayers differently. While the IRS has broad collection powers, there are some taxpayers who are largely immune from the IRS’s collection efforts. This varied impact is partly due to the range of collection tools Congress has provided to the IRS. The IRS lien notice provides an example. Many……

There are a lot of unanswered questions when it comes to the tax rules for IRAs and other qualified plans. IRAs and qualified plans can shelter a significant amount of income from tax. Defined benefit plans are an example. A business owner can contribute and shelter up to $245,000 in these plans in 2022. This……

Life has a way of getting in the way. Whether it is a health issue, a financial setback, or some other circumstance. The IRS often finds itself having to contend with these situations experienced by taxpayers. This often comes up when there are back taxes. Or when the life issue results in back taxes. Taxpayers……

The IRS has missed just about every deadline in the past few years. Most of the IRS’s employees have basically been on paid vacation for the past few years. When Covid-19 first emerged, IRS employees were sent home. They were paid not to work. While private-sector employees scrambled to find ways to work, many IRS……

There are several tax laws that have to be considered to determine when and how costs to develop websites are deductible. These expenses are almost always deductible. These tax laws raise timing questions. It’s a matter of when the expenses are deductible. For those who are developing website businesses as side-hustles, the issue takes on……