Millions of Americans have fallen behind on tax payments or have been unable to make their tax responsibilities to the IRS or the taxation authorities in their state at some point. The tax regulations in the United States are incredibly intricate, and many individuals find themselves in circumstances where they owe more than they can [...]
Reduce Your Tax Liability by Reporting Your Gambling Income & LossesIs it too good to be true? Although it is difficult to determine the exact number of Americans who report gambling losses on their tax returns, we do know that many individuals are unaware of this tax deduction. As we are required to report winnings from [...]
How Far Back Can the IRS Audit You? Formerly, the word "audit" evoked widespread fear and loathing. With the Internal Revenue Service auditing 5.6 percent of all Americans in 1963, practically everyone knew someone who had been audited. Since then, the number of IRS audits has dropped dramatically, with a 23 percent drop in the [...]
There's always the risk of an audit, and if you're discovered to have lied about your income, tax audit penalties can be severe. The penalties vary from severe fines to criminal charges, and you may be buried behind a pile of paperwork.Find out what happens if you are audited and can't prove you filed your [...]
If you run your business under a limited liability corporation (LLC), you have additional options when it comes to how the IRS taxes your profits. Your decision will have a direct impact on the tax filing laws that apply to you. There are no special tax laws for LLCs; the IRS enables the LLC to [...]
A tax negotiation allows you to settle your tax debt for less than the full amount you owe. It may be a legitimate option if you can't pay your full tax liability, or doing so creates a financial hardship. We consider your unique set of facts and circumstances:Ability to payIncomeExpensesAsset equityWe generally approve a tax [...]
Many individuals are attempting to earn a few extra dollars by renting out a room in their house. In terms of taxes, there is both good news and bad news. The bad news is that rent is taxable income that must be reported to the IRS. The good news is that your taxable rental income [...]
Since each state has its unique regulations and standards for how citizens must file taxes, where you file affects your path to resolving a state tax problem. The important thing to remember is that most states have tax rules and processes that are essentially comparable to those of the IRS. Of course, this does not [...]
If you have a lien on your property or are in charge of a project, you're definitely under a lot of stress. Financing may become challenging. It's possible that the planned deal may fall through. Alternatively, the project manager may be breathing down your neck. In any case, you're concerned about how to eliminate a [...]
Taxes are already difficult, and if you fall behind on them, things may get out of hand. When taxes are delinquent or overdue — usually from previous years — they are referred to as "back taxes," and if you owe them, you may be wondering about tax relief. Here are common options that may help [...]
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