The deadline for filing individual tax returns can sneak up on anyone. Life gets hectic and there are a number of reasons that you may forget to file your return by the deadline of April 15th. You can either get too busy or even completely forget about the deadline and that is understandable. If this…
As careful and meticulous as you might be in preparing your income tax return, you may find yourself shocked and dismayed to discover an audit notice from the IRS in your mailbox. However, the likelihood of an IRS audit is small and has been dropping in recent years. Currently, the IRS is auditing less than 1%…
Taxpayers should choose their tax return preparer wisely because taxpayers are responsible for all the information on their income tax return no matter who prepares the return.
The IRS “Dirty Dozen” is a list of twelve of the most recorded scams that the IRS is aware of and has been combating against. Taxpayers should be aware and cautious of these scams throughout the year. Identity Theft: The IRS continues to aggressively pursue the criminals that file fraudulent returns using someone else’s Social Security…
1. Set up a file folder to retain tax-related documents that you accumulate during the year. 2. Keep your income tax return in a safe location so it may be easily retrieved if you need it during the year. 3. Keep track of business, charitable, and medical mileage by using a logbook. 4. If you…
Life is full of changes of which may include a change in marital status. You may have gotten married or divorced. Regardless of which one, there are a few tax implications that you should keep in mind and make sure you have them completed in the year the change occurred. Name Change: This may not…
The line between being an employee and an independent contractor is usually clear and easy to identify in most cases. However, there are instances in which that distinction may be hard to discern or in which the classification of such may be called into question. This distinction has a lot of tax implications attached to…
Tax professionals have varying levels of skills, education and expertise. Furthermore, not all tax professionals have the right to represent taxpayers before the IRS, such as during an audit. Taxpayers should be aware of the credentials, qualifications and extent of service each prospective professional provides before obtaining their service. Enrolled agents, certified public accountants and…
As tax season approaches, we would like to remind others to be on the look out for fraudulent schemes. Every tax season, there is an increase in schemes that target innocent taxpayers by email, by phone and on-line. Some of the most prevalent IRS impersonation scams include: Requesting fake tax payments: The IRS has seen automated…
Everyone has certain, undeniable rights. That includes you, the Taxpayer. Below is what is known as the Taxpayer Bill of Rights. This outlines the information that the taxpayer has the right to. This helpful guide was created by the Taxpayer Advocate service. The Taxpayer Advocate Service (TAS) is your voice at the IRS. An independent organization…