I have a question about a Tax Court case. I am an accountant and I am advising a client who has filed a petition with the Tax Court. The IRS has not yet assigned an attorney to the case, but they have already agreed to settle the case to my client...
Call the office of counsel assigned to the case and ask them to draft a stipulation based upon the IRS communication or just wait to be contacted.See question
I committed fraud, received a $27,000 payment and did not pay taxes on it, now that I have been convicted I am paying restitution of the full amount. Should I still be responsible for the tax burden of the $27,000?
You are taxable in the year of receipt. You get deductions (I believe itemized deductions) for restitution being paid. Seek specific advice on how to report from a CPA.See question
What does this mean are her wages being levied
The levy is being made because you have not communicated with the IRS or not effectively dealt with your tax issue to their satisfaction. You should contact a tax professional to review your situation (and that of your wife) and resolve your tax issue. That contact will Lead to the IRS cessation of levies and garnishments. As to the current. Levy, point out to the employer that the levy is flawed as the name and SS# do not match. Hence, they should not be sending the IRS any money but respond that there is no match in the name and SS#.See question
My sister owes the government for back taxes on her business which she closed 1-1/2 years ago. My mother has in her will, my sister would get half the house. If my sister chooses to live there or sell the property. Could the government confiscate...
The government can seize any property of your sister's to pay her back taxes. Living in the house does not make it her property. Being named in a will does not make it her property. However, if your mother was to die and your sister actually inherited property or monies, that property and money, at the time, could be subject to seizure by the government. However, much can be done to avoid such, if the amount owed is so onerous to do so. You and your family should sit down with your mother's estate planner and talk it through. Good luck.See question
I have used the same tax preparer for the last 5 years. This year I was notified by the IRS that my taxes were audited for 2012 and 2013. Upon this audit they determined I owe taxes in the amount of 13000 for said years. He used medical bills, don...
Before I can answer your question, we should have a few more facts.
1. Who represented you before the IRS?
2. How do you know the IRS is correct?
3. When you say "he used" medical bills and other items, were these items that you had advised him of?
Allow me to give you an overview of your accountants responsibility. If he prepared a return that was over-zealous, he would be responsible for any penalties and, possibly interest. He would never be responsible for the tax. So, will it be wroth suing him for just the interest and penalties? Possibly. But, you need to think about it. And, we would need to know the answers to the first three questions posed earlier in this posting.
Good luck.See question
I always file Schedule C for self-employment as a writer. This year, I earned an additional $300 doing unrelated work for an employer, which had nothing to do with my writing. No deductions were taken from the $300. Do I include this $300 o...
I believe you could file on either...schedule C or line 21 as other income. If you were an employee, you can have the employer pay its share of the FICA/Medicare, but you will have to report the employer to the IRS and have the IRS do an evaluation. The process is a bit tricky and will save you about 7% on your taxes on the $300. Probably not worth the bother.See question
We separated in June of 2015, she and my 4 kids moved in with her new boyfriend. We're still married, just seperated. He claimed my kids on his taxes for last year. Can be do that, I've had people tell me he cannot because there not related to him...
Also see IRS Publication 501 at www.irs.gov which covers exemptions. If you believe you are entitled to the exemption, simply file your return in that manner. If the boyfriend files first, the IRS will still consider your claim if you file your return via old fashioned U.S. mail as opposed to E-Filing.See question
I live with my mom and she doesn't pay taxes.... and she's telling me that because we live with her she can claim me and my son on taxes that she doesn't pay can she do that or do I have the right to say she can't claim us?
See IRS Publication 501. Whether or not your mom claims you and your child on her tax return, if she does not qualify and you do, you may claim the exemptions. See IRS publication 501 at this link: https://www.irs.gov/pub/irs-pdf/p501.pdf?_ga=1.74797842.1098139326.1445518142 to find out the basic rules. If your mother files prior to you, you may need to file a paper return for the IRS top consider your claims. It may be helpful to check with a local CPA to assist you.See question
I lost my obamacare health benefits because they're asking for a 1099 form however, I didn't work in 2015. My sons supported me in 2015. I now work as a part time Independent Contractor "sales" however, I barely make enough to support myself. I al...
You can request a wage and income transcript from the IRS. This is not proof of no income. It will merely show income, if any, reported to the IRS. In reality you may merely need a copy of your personal tax return for 2015 showing your income. Also, for ObamaCare, you often need a form 1095, not 1099. Good luck.See question
I'm in Indiana. I bought a restaurant and I had to close it a month ago because of the bad management. I don't own any money. So I dissolve the business. But I found there is some unpaid employee tax in my tax account, which comes from the for...
You should work with a tax attorney in Indiana to resolve these issues. It may be possible that you only have responsibility for the Trust Fund portion of the taxes. Also, depending on how you purchased the business, you may have no responsibility for the back taxes attributable to the former owner. Finally, you may have a claim for malpractice against any professionals who represented you in the acquisition of the restaurant. Good luck.See question