Even though the Internal Revenue Service (IRS) did not begin accepting tax returns until January 31 – a delay due to last year’s 16-day government shutdown – U.S. taxpayers need to be aware that there will be no automatic extension to file their 2013 tax returns....
Year: 2020
FBAR, OVDP and the alphabet soup of offshore account compliance
Time is running short to disclose offshore accounts. Changes to the voluntary disclosure program could mean even higher penalties as the IRS and Department of Justice continue to investigate more foreign banks. Add to that list of acronyms the Foreign Account Tax...
Good recordkeeping can help your business survive an IRS tax audit
According to the Tax Receipts website, small business owners are up to 940 percent more likely to be audited than W-2 wage earners. In particular, business owners who operate as sole proprietors or single-member LLCs face a much higher risk of being audited than the...
New IRS filing deadlines and other changes for offshore account holders
A number of recent changes to federal tax law came in an unlikely package: a piece of legislation known as the Surface Transportation and Veterans Health Care Choice Act of 2015. As the name suggests, that law deals primarily with non-tax issues. However, it contains...
Innocent spouse relief from problematic tax returns filed with IRS
On behalf of Jeffrey S. Gartzman at The Gartzman Law Firm, P.C. Federal tax law provides relief to certain spouses who innocently signed joint returns not knowing of their spouses’ underreporting or erroneous entries. When a married couple files a joint federal tax...
Tips for protecting against tax-related identity fraud
Consumers can lower their risk of tax refund fraud by recognizing scams, protecting sensitive information and watching for early signs of identity theft. Tax-related identity fraud has become a prevalent problem in recent years. In 2015, the Federal Trade Commission...
IRS Provides Guidance On The Deductibility And Reporting Of Certain Amounts Paid To, Or At The Direction Of, Governments
In May, the Internal Revenue Service (IRS) provided guidance on the deductibility and reporting of certain amounts paid to, or at the direction of, governments. The proposed regulations revise current § 1.162-21 of the applicable regulations and provide operational...
Can I go to jail if I can’t pay my taxes?
If you know you don’t have money to pay your taxes, you may think it’s better not to file them at all. It can feel tempting to avoid a stressful situation altogether. However, not filing your taxes is one of the worst things you can do in your scenario. You can go to...
6 big mistakes contractors make handling their own taxes
As an independent contractor or self-employed individual, taxes can feel overwhelming and stressful, especially if it is your first time going through the process or if you’ve avoided it in past years and now find yourself behind. However, paying taxes is an important...
A home office deduction can benefit home-based businesses
Anyone who has ever run their own business knows there are challenges. For home-based businesses, there can be even more difficulties. There are tax benefits available that can ease the complications. One of those benefits is a home office deduction allowed by the...