No matter how you slice it, facing problems with the IRS is stressful. Maybe you’re going through a corporate audit. Or perhaps you have an ever-growing pile of tax debt, and you can’t see a way out. Dealing with tax issues is confusing and unfamiliar to most people—making them difficult to manage on one’s own.
If you receive a letter in the mail from the IRS, it doesn’t necessarily mean you’re in trouble. They could be sending you a refund check. Or they could be contacting you to say that, after reviewing your tax return, they’ve found that you may be entitled to a higher refund than you’d claimed.
If you requested an extension to file your 2017 income taxes, your deadline is approaching. Tax payers who requested an extension have until October 15 to file their income tax return for last year.
There are many people with federal tax debts here in the United States. According to the Internal Revenue Service, overall, there is currently around $458 billion in back taxes owed to the federal government.
Last year, you made a major career change. You moved from your safe, corporate job and branched out on your own. Things have gone well. Your earnings have been high, and you’re considerably happier in your new position.
Having a tax lien can be a huge burden in your life. If you failed to pay your taxes, the government can put a claim on your property—which can include land, personal property and financial assets. This can be a worrisome prospect. And if you can’t pay off your tax debt right away, the lien can loom over you—causing you a lot of stress.
In a previous post, we talked about common IRS phone scams. We discussed some of the behaviors and scare tactics such scammers employ to try to steal your identity. In this post, we provide context. In order to effectively spot an IRS scammer, it's useful to understand how a legitimate IRS employee does--and doesn't--act.
You're at home, starting to cook dinner. Suddenly, the phone rings. You answer, and the voice on the other end of the line identifies themselves as an IRS employee. They inform you that you've been charged with serious tax crimes, and you could face arrest if you don't clear up the matter within the next 24 hours.
In previous posts, we've discussed the growing issue of identity theft across the country. If your Social Security Number and other personal information gets into the wrong hands, it could have a devastating effect on virtually every aspect of your life. The criminal could clear out your bank accounts, file a fraudulent tax return in your name, steal your tax refund as well as other violations. Such a breach can leave you feeling angry and vulnerable.
It can be easy to assume that postponing your tax return filing isn’t that serious—particularly if you didn’t earn very much in the previous tax year or you suspect you’ll be due a refund. However, the IRS imposes stiff consequences for late filing for all tax payers, and some of the penalties can add up quickly.