Settling Tax Debt With an IRS Offer in Compromise
Posted on September 4th, 2019
An offer in compromise (OIC) is an agreement between a taxpayer and the Internal Revenue Service that settles a taxpayer’s tax liabilities for less than the full amount owed. That’s the good news. The bad news is that not everyone is eligible to use this option to settle tax debt. In fact, nearly 60 percent of taxpayer requested offers in compromise were rejected by the IRS. If you owe money to the IRS and are wondering if an IRS offer in compromise is the answer, here’s what you need to know. Read More…
Tags: Tax Debt, Tax Return
Scam Alert: Watch out for IRS Impersonation Emails
Posted on September 4th, 2019
Taxpayers should be aware that a new IRS impersonation scam email campaign is making the rounds. This latest scheme is yet another reminder that tax scams are a year-round business for thieves and taxpayers should be on guard at all times. Read More…
Tags: Fraud Prevention
Homeowner Records: What to Keep and How Long
Posted on September 3rd, 2019
Keeping full and accurate homeowner records is vital for determining not only your home deductions but also the basis or adjusted basis of your home. These records include your purchase contract and settlement papers if you bought the property, or other objective evidence if you acquired it by gift, inheritance, or similar means. Read More…
Tags: Real Estate, Record Keeping
Estimated Tax Penalty Waived for Eligible Filers
Posted on September 3rd, 2019
More than 400,000 eligible taxpayers whose withholding and estimated tax payments fell short of their total 2018 tax liability will have the estimated tax penalty automatically waived or refunded (if they already paid the penalty) on 2018 returns filed with the IRS. Read More…
Tags: Penalties
5 Tips for Applying for Tax-Exempt Status
Posted on September 3rd, 2019
If you’re thinking about starting a nonprofit and want to apply for tax-exempt status under Section 501(c)(3) of the tax code, you’ll need to use Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code. Here are five tips to ensure a successful application: Read More…
Tags: Exemption
The Home Office Tax Deduction for Small Business
Posted on September 2nd, 2019
If you’re a small business owner who uses your home for business you may be eligible to claim the home office deduction, which allows you to deduct certain home expenses on your tax return. The benefit to this, of course, is that it can reduce the amount of your taxable income. Read More…
Tags: Deductions, Tax Tips
It’s Not Too Late to Check Paycheck Withholding
Posted on September 2nd, 2019
Did you know that the average tax refund was $2,729 for tax year 2018? While some taxpayers may find it advantageous to get a large tax refund, others may wish to have more of their money show up in their paychecks throughout the year. No matter which preference taxpayers choose, they should remember that they can make adjustments throughout the year that will influence the size of their refund when they file their tax return next spring. Read More…
Tags: Withholding
October 1 Deadline to Set up SIMPLE IRA Plans
Posted on September 1st, 2019
Of all the retirement plans available to small business owners, the SIMPLE IRA plan (Savings Incentive Match PLan for Employees) is the easiest to set up and the least expensive to manage. The catch is that you’ll need to set it up by October 1st. Here’s what you need to know. Read More…
Tags: 2018 Tax Law, Retirement
7 Tips to Help You Figure out if Your Gift Is Taxable
Posted on September 1st, 2019
If you’ve given money or property to someone as a gift, you may owe federal gift tax. Many gifts are not subject to the gift tax, but there are exceptions. Because gift tax laws can be confusing, here are eight tips you can use to figure out whether your gift is taxable. Read More…