Tax Returns

IRS problems typically are rooted in your tax returns – be it errors, claiming invalid deductions, or not even filing a return in the first place.  Your tax return (or lack thereof) is often the seed the causes a tax problem to sprout and grow.  As such, we have created the following blog posts to discuss tax returns and the various aspects related to them – getting them right the first time, or amending and correcting your returns in order to get compliant and address any concerns from the IRS.

Tax Returns

IRS Tax Changes in 2023

Importance of Staying Up-to-Date Things like taxes and reporting must be ever-changing to keep up with the demands of an evolving financial market. Between things like inflation, recession, and emergency … Read more

IRS Myth If Your Business Owes Money, You Are Not Personally Responsible

IRS Myth 8: If Your Business Owes Money, You Are Not Personally Responsible.

Many small businesses are unable to pay their payroll taxes for various reasons. Often, they do not have enough money to pay all of their bills. If they do not pay their rent, they will get evicted. If they do not pay their utilities, they will be shut off. If they do not pay their vendors or suppliers, they will not be able to do business. If they do not pay their employees, they will quit. The easiest creditor not to pay is the IRS because they do not have their hand out at the end of the week. Of course, the IRS believes they should be first in line, so if they do not get paid, they come back with a vengeance, levying bank accounts, credit card processors, and accounts receivables.

Read more

IRS Myth 4

IRS Myth 4: This Is America. You Are Innocent Until Proven Guilty.

With the IRS, it is the other way around. The burden of proof is usually on the taxpayer. If a Revenue Agent auditing your tax return thinks you under reported your income or over reported your expenses, it is up to you to prove you did not. It can be difficult to prove a negative, such as trying to prove you did not have as much income as they say you did.

Read more

The IRS Is Impossible To Deal With

IRS Myth 3: The IRS Is Impossible To Deal With

The IRS has rules that they must follow. There is the Internal Revenue Code. That is the law and whether they like it or not, they must follow it. They also have the Internal Revenue Manual which they follow 100% of the time as long as they like what it says. When they do not like what it says, they follow it 0% of the time. The Manual contains their rules and guidelines, but it is this not the law, meaning taxpayers are not bound by it. It is my job as a Tax Attorney to hold their feet to the fire and make sure that they comply with the law and follow their own procedures.

Read more

IRS Myth 1 People Who Do Not Pay Their Taxes Are Bad People

IRS Myth 1: People Who Do Not Pay Their Taxes Are Bad People

I talk to taxpayers, clients, and prospective clients either on the telephone or in person every day. People who do not have tax problems do not realize that just because you owe the IRS money, are getting audited, or have not filed tax returns does not mean that you are a bad or evil person. Most taxpayers cannot identify with these problems, but I can tell you that usually a situation beyond the person’s control is what gets them into trouble.

Read more

Ⓒ 2024 Steven N. Klitzner. All rights reserved. | Privacy Policy | Terms of Service | Website by Vocational Media