IRS Hardship Program: Currently Not Collectible
We regularly meet with clients of our accounting firm who owe taxes to the IRS that they cannot afford to pay due to a financial hardship. Sometimes it is a tax bill for one year. Frequently it is a tax bill for multiple years. The IRS offers a number of solutions that provide tax relief to taxpayers […]
IRS Appeals Process
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 […]
Guide to IRS Statute of Limitations (CSED)
IRS Statute of Limitations and the Collection Statute Expiration Date (CSED) The collection power of the IRS is restricted by a statute of limitations on taxes. The Internal Revenue Code section that governs this statute of limitations outlines the specific legal guidelines for tax assessments, refunds, collections, and criminal tax prosecution. This powerful restriction gives […]
IRS Audit Guide (Updated for 2024)
IRS Audit: What to Know, What to Do in 2024 Taxpayers are selected for an IRS audit for a variety of reasons. Some taxpayers are chosen due to a document mismatch, such as a return that is missing 1099’s or W-2’s. The IRS computers usually spot missing documents based on the social security number (SSN) […]
How to Negotiate with the IRS: Resolving a Tax Debt
IRS Negotiation IRS negotiation of tax debts is a fundamental part of our tax practice. Typically, tax debt negotiation is required when the taxpayer owes taxes, penalties, and interest to the Internal Revenue Service (IRS) that they cannot afford to pay. To make things more confusing, they need to learn to navigate the IRS collection […]
Resolve Your Tax Debt To Save Your Passport
Can You Get a Passport if you Owe Taxes? If you have unpaid federal tax debt, you may be in for a surprise. The State Department will revoke your passport, or not issue you a new passport, if you owe a significant tax debt to the IRS. For this reason, taxpayers with tax debts and […]
LT38 Notice: Prepare for IRS Collection Actions
Received an LT38 notice? The IRS is resuming efforts to collect your overdue taxes. Immediate action is needed to avoid further penalties and interest. In our Atlanta-based CPA practice, we have noticed a significant increase in the number of clients receiving IRS notices during 2024, including the LT38 Notice in particular. Our firm’s experience is […]
Mastering IRS CP49: How to Handle Tax Refund Adjustments
IRS Notice CP49 may surprise you, informing you that your tax refund was used to pay off unpaid tax debts. This means the IRS applied your expected refund to settle outstanding liabilities. In this article, we’ll explain why you received Notice CP49 and how to handle its consequences. Key Takeaways IRS Notice CP49 informs taxpayers […]
CP523 Notice: Steps to Keep Your IRS Payment Plan Intact
Receiving an IRS CP523 notice means the IRS intends to terminate your installment agreement due to a default. This notice is a warning that you must take immediate action to keep your plan intact. In this article, we will explain what a CP523 notice is, why you might receive one, and the essential steps to […]
Divorce and Taxes: How to Protect Yourself
Divorce and taxes are the important subject of our live event with Pacific Cascade Legal, a premier family law firm in Oregon and Washington. We discuss how divorce impacts joint tax liability, when there might be relief granted for separation of joint liability, and other important tax considerations when navigating divorce from your spouse. […]