Posts about

How the IRS Works

Understanding Tax Penalties and Interest: What Taxpayers Should Know

Taxpayers who fail to file their taxes on time might face a failure-to-file penalty. Typically, this penalty amounts to 5 percent of the unpaid tax for each month or part of a month that the tax return remains overdue, reaching a maximum of 25...

IRS Ramps Up Efforts Against Aggressive Employee Retention Credit Claims

In a concerted effort to address questionable Employee Retention Credit (ERC) claims, the Internal Revenue Service (IRS) has sent over 20,000 letters to taxpayers, informing them of disallowed ERC claims. These notifications pertain to entities that...

6 Crucial Tips to Avoid an IRS Audit

Getting audited by the Internal Revenue Service (IRS) can be a stressful and time-consuming experience. To help you steer clear of this potential nightmare, I'm here to offer some valuable advice from my years of experience as an accountant. While...

What is Injured Spouse Relief

Injured spouse relief is a program that provides tax relief to spouses who have had to pay out-of-pocket expenses for qualifying medical expenses. These expenses can be related to the injury or illness of either spouse and can include things like...

Innocent Spouse Relief Part 1 – Innocent Spouse, 6015(b)

For people who are married and file a joint tax return, if only one spouse is responsible for the errors or omissions on that return, the IRS may be able to hold both spouses liable for any resulting tax deficiencies and penalties. This is known as...

Challenging A Tax Debt In Bankruptcy

Bankruptcy is commonly thought of as a way to get rid of debt. But what many people don't realize is that bankruptcy can also be used to challenge certain types of debts - including taxes. Challenging a tax debt in bankruptcy is complex, and it is...

Discharging Taxes Through Bankruptcy

Filing for bankruptcy can be a scary process, but it may provide relief from certain debts, including taxes. If you are struggling to pay your taxes and meet other financial obligations, bankruptcy may be a viable option for you.

Using Bankruptcy to Force a Payment Plan on the IRS

In difficult times, many Americans find themselves struggling to make ends meet. When you are behind on your taxes, the IRS can be a daunting and frightening organization. You may feel like you have no other choice but to file for bankruptcy in...

Cancellation Of Indebtedness Income: How To Avoid Paying Tax On This

When you have debt that is forgiven or canceled, you may be required to pay taxes on the amount that is forgiven. This can be a huge burden, especially if the amount of debt that is forgiven is large.

What Is Insolvency For Tax Purposes?

When it comes to taxes, there are a lot of things that people don't understand. One of those things is insolvency. What is insolvency for tax purposes? How does it affect your tax bill? In this blog post, we will answer those questions and more.