Tax changes affecting individuals in the 2010 health reform legislation
I’m writing to give you a brief overview of the key tax changes affecting individuals in the recently enacted health reform legislation. Please call our offices for details of how the new changes may affect your specific situation.
Tax debt settlement help – get reliable tax relief
If you find yourself unable to comprehend the complexities of paying off your tax debts, then you need to get tax debt settlement help from a tax expert. Tax debt relief settlement help entails finding an experienced enrolled agent who is a tax relief expert to help you come up with the best solution for your tax problem. There are many tax negotiation companies these days offering tax debt settlement help that many people are inclined to believe that these firms are tax relief scams. Truth be told, it only takes the right choice of tax debt settlement company, enrolled agent or tax advisor to help you with your tax problem.
Tax Attorney – Get the power of attorney for tax representation
A tax relief attorney may represent taxpayers with a tax deficiency, which is the excess of the correct tax liability over the tax shown on the taxpayer’s return plus amounts previously assessed (or collected without assessment) as a tax deficiency, and minus any credits made to the taxpayer.
The IRS is mainly authorized to assess taxes to individual and business taxpayers. The tax attorney would usually get involved as the collection process begins when a notice of deficiency is sent to the taxpayer’s last known address by registered or certified mail. In each deficiency notice, the IRS must provide a description of the basis for the assessment, an identification of the amount of tax, interest and penalties assessed and the date determined to be the last day on which the taxpayer may file a petition with the Tax Court. However, the failure by the IRS to specify the last day on which to file a petition will not invalidate an otherwise valid deficiency notice if the taxpayer was not prejudiced by the omission.
IRD – Income In Respect of a Decedent
All income the decedent would have received had death not occurred that was not properly includible on the final tax return is income in respect of a decedent.
If the decedent is a specified terrorist victim (see Specified Terrorist Victim, earlier), income received after the date of death and before the end of the decedent’s tax year (determined without regard to death) is excluded from the recipient’s gross income. This exclusion does not apply to certain income. For more information, see Publication 3920.
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 necessary hassle if you don’t want to be hounded by the IRS for neglecting your duties. Entertainers should obtain income tax help from a tax expert as an enrolled agent to make this much easier for you.
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, by the IRS, or the FTB, you may not know where to turn or what to do. We have the skill set and representation expertise to deal with the IRS and the FTB on your behalf. We understand their rules and are experienced in negotiating the lowest possible tax debt settlement allowed by law.
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.
IRS Tax Lien – How to release federal tax liens and levies
Taxpayers have the right to appeal the IRS’ filing of a notice of a tax lien in the public record and petition for release. If filed in error, the IRS must release the lien and state that the lien was erroneous. The request for tax relief must be based on one of the following grounds: (1) the tax liability had been satisfied before the lien was filed; (2) the assessing of the tax liability violated either the notice of deficiency procedures or the Bankruptcy Code; or (3) the limitations period for collecting the liability had expired prior to the filing of the lien.
The IRS may withdraw a tax lien before payment in full if:
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Table 16. Delinquent Collection Activities, Fiscal Years 2005-2008 |
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[Money amounts are in thousands of dollars.] |
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Activity |
2005 |
2006 |
2007 |
2008 |
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(1) |
(2) |
(3) |
(4) |
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Returns filed with additional tax due: |
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Total amount collected [1] |
[r] 27,615,348 |
[r] 29,172,915 |
[r] 31,952,399 |
28,465,648 |
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Taxpayer delinquent accounts (thousands): |
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Number in beginning inventory |
5,981 |
6,478 |
7,074 |
8,240 |
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Number of new accounts |
5,870 |
6,100 |
7,146 |
7,099 |
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Number of accounts closed |
5,373 |
5,504 |
5,980 |
6,107 |
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Ending inventory: |
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Number |
6,478 |
7,074 |
8,240 |
9,232 |
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Balance of assessed tax, penalties, and interest [2] |
57,594,901 |
69,555,590 |
83,488,988 |
94,357,717 |
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Returns not filed timely: |
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Delinquent return activity: |
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22,765,462 |
23,305,535 |
30,287,802 |
24,888,918 |
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Amount collected with delinquent returns |
3,584,255 |
3,905,764 |
3,968,163 |
3,773,528 |
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Taxpayer delinquency investigations (thousands) [4]: |
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Number in beginning inventory |
3,022 |
3,658 |
3,874 |
3,732 |
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Number of new investigations |
2,558 |
2,373 |
2,587 |
1,972 |
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Number of investigations closed |
1,922 |
2,157 |
2,729 |
2,271 |
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Number in ending inventory |
3,658 |
3,874 |
3,732 |
3,433 |
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Offers in compromise (thousands) [5]: |
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Number of offers received |
74 |
59 |
46 |
44 |
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Number of offers accepted |
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15 |
12 |
11 |
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Amount of offers accepted |
325,640 |
283,746 |
228,975 |
200,103 |
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Enforcement activity: |
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Number of notices of Federal tax liens filed |
522,887 |
629,813 |
683,659 |
768,168 |
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Number of notices of levy served on third parties |
2,743,577 |
3,742,276 |
3,757,190 |
2,631,038 |
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Number of seizures |
512 |
590 |
676 |
610 |
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[r]–Revised. |
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[1] Includes previously unpaid taxes on returns filed plus assessed and accrued penalties and interest. For Fiscal Year 2008, includes a total of $37,254,116 (dollars) collected by private debt collection agencies. |
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[2] Includes assessed penalties and interest but excludes any accrued penalties and interest. Assessed penalties and interest—usually determined simultaneously with the unpaid balance of tax—are computed on the unpaid balance of tax from the due date of the return to the date of assessment. Penalties and interest continue to accrue (accrued penalties and interest) after the date of assessment until the taxpayer’s balance is paid in full. |
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[3] Net assessment of tax, penalty, and interest amounts (less prepaid credits, withholding, and estimated tax payments) on delinquent tax returns secured by Collection activity. |
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[4] A delinquency investigation is opened when a taxpayer does not respond to an IRS notice of a delinquent return. |
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[5] An offer in compromise (OIC) is a binding agreement between a taxpayer and the IRS that settles the taxpayer’s tax liabilities for less than the full amount owed. An OIC will not be accepted if the IRS believes the liability can be paid in full as a lump sum or through a payment agreement. |
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NOTES: Detail may not add to totals because of rounding. All amounts are in current dollars. |
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SOURCE: Small Business/Self-Employed, Collection Planning and Analysis, Collection National Reports SE:S:C:PA:CNR |
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Extended and liberalized homebuyer tax credit rules
On November 6, the President signed into law H.R. 3548, the ”Worker, Homeownership, and Business Assistance Act of 2009.” The new law extends and generally liberalizes the tax credit for first-time homebuyers, making it a much more flexible tax-saving tool. It also includes some crackdowns designed to prevent abuse of the credit. These important changes could it make it easier for you or someone in your family to buy a home. And because the changes generally aid buyers and aim to improve residential real estate markets nationwide, they also could make it easier for you or someone in your family to sell a home. This Client Letter fills you in on the details you need to know about the first-time homebuyer credit.
Tax Relief Blog