Currently Not Collectible (IRS Hardship Program)

No mondey in the pocket

IRS Hardship Program It is a regular occurrence that we see clients in our accounting firm who owe taxes to the IRS that they cannot afford to pay.  Sometimes it is a tax bill for one year.  Frequently it is a tax bill for multiple years.  Either way, the IRS offers a number of solutions […]

Federal Tax Lien in 2022

Focuses woman

IRS Tax Liens: The Basics If you owe money to the IRS, then there is already a tax lien against you. A federal tax lien comes into effect when a tax liability is assessed and the taxpayer does not pay the amount in full.  The lien attaches to all of the taxpayer’s assets, including assets […]

IRS Appeals Process

Gavel and books

The IRS Appeals Process for collections began in 1998 with the IRS Restructuring and Reform Act.  As a result of this law, taxpayers were no longer at the mercy of the IRS.  The new rules prohibited the IRS from levying bank accounts and garnishing wages at will.  And a formal appeals process was instituted to […]

Expense Deduction for Teachers: $50 Increase

Teaching Moment

Educator Expenses:  A Bit of Good News The IRS increased the expense deduction for teachers by $50!  While this is not earth shattering, at least it is a step in the right direction.  We like to share good news whenever we can. The Basics of Teacher Tax Deductions Teachers and other educators may now deduct […]

Statute of Limitations and IRS Tax Relief Programs

Stopwatch watch the time

The statute of limitations gives the IRS up to 10 years to collect a tax.   Once the 10-year period expires, the tax is no longer enforceable and it simply goes away.  This is great news for the taxpayer who is under a mountain of tax debts.   The end is always in sight. The Basics The […]

IRS Negotiation: The First Step

Form 1040

IRS negotiation is a fundamental part of our tax practice.  Typically, negotiation is required when the taxpayer owes taxes, penalties and interest to the IRS that they cannot afford to pay.   This problem can be for one year or for multiple years.  The debt may result from personal income taxes, business income taxes or unpaid […]