Stuart S Hong’s Answers

Generally, the IRS is only allowed 10 years to collect on unpaid taxes (as Ms. Campbell mentioned, there are certain events that may make this time longer – for example, filing for bankruptcy, asking for an appeal). Once this 10-year period has passed, the IRS loses its right to collect from you. However, if you continue to send them money, I assure you that they will not refuse it. A qualified tax representative can determine if/when you should stop making payments. I suggest that you...

First, you should request that the collector/creditor send you written verification of the debt. After you send a written request for verification, collectors can't attempt to collect from you until they've provided proof that you owe the debt. Then request that the collector stop calling you. Be careful not to do anything that will reset the statute of limitations (entering a payment agreement, making a charge or payment). In fact, don’t talk about or even acknowledge the debt at all....

So… a person is living in property owned by you. He is paying you money in a fixed amount and on a monthly basis. This agreement is memorialized in a written contract. Based on the above: 1. You are a landlord. 2. Your son is a tenant. 3. His payments are RENTAL INCOME to you. Your “tax guy” and Mr. Cobb agree that the payments are rental income. It appears that you may be searching for justification to fail to report the income but I am not sure that justification will be found here.

The facts that you lay our are unclear and lead to other questions. “2 years ago had a lawsuit” • Were you a plaintiff or defendant in this lawsuit? • Who was the opposing party to this lawsuit? The bank? • What kind of lawsuit was it? “My bank account has been frozen including my IRA account.” • Were there other accounts frozen (other than the IRA account)? • WHY were the acccounts frozen? • What reason did the bank give you for freezing these accounts? • Have you spoken to...

Good question. Did you sell the rental property? If you did not, then there is no tax due because a capital gain is not recognized until the property is sold. If you did sell the property, when did you do it? And when did you file the tax return recognizing the gain? You need to meet certain timing requirement to discharge income taxes in bankruptcy. Finally, if you are insolvent, why are you considering a Ch. 13 bankruptcy? Generally, a Ch. 13 is used when there is real property...

California is a community property state. The tax debt that you bring into the marriage will not automatically become the debt of your new wife. However, this can change over time. This tax debt can be satisfied by community property, which includes most property which is acquired by either you or your wife during marriage. Your wife’s earnings therefore can be used to satisfy your separate tax debt. However, if she segregates her earnings (by not commingling the money with your...

Tough to add to Mr. Davidoff’s answer but… Generally, no gain or loss is recognized on a transfer of property between spouses if the transfer is “incident to divorce (related to end of marriage).” Under these rules, the property is treated as being transferred by gift (rather than a sale or exchange), so that the basis and holding period of the your husband becomes yours. Therefore, you should be aware that the most common way that property is transferred is not by sale but by “gift” (at...

You are not personally liable for taxes that your husband owed to the IRS before you married him (I am assuming that you are referring to Federal taxes). So the general answer to your question is NO -- they will not come after you to collect his unpaid taxes. However, if the IRS had liens on his property (including real estate) which you inherit because of his death, they may be able to collect some/all of his unpaid taxes from this property. As usual, it is best to seek the help of a local...

You are not personally liable for taxes that your husband owed to the IRS before you married him (I am assuming that you are referring to Federal taxes). So the general answer to your question is NO -- they will not come after you to collect his unpaid taxes. However, if the IRS had liens on his property (including real estate) which you inherit because of his death, they may be able to collect some/all of his unpaid taxes from this property. As usual, it is best to seek the help of a...

1. Your wages won’t ever get to your boyfriend’s account because your employer will be sending money to the IRS before it ever gets there. 2. The IRS probably won’t ever get to your boyfriend’s account without disclosure by you that you are putting money into that account. The IRS has plenty of ways of finding your money but I haven’t seen in my experience the IRS able to get money from an account titled in someone else’s name unless they get this information from you (by summons for...