Tax Q & A – I Currently Can’t Pay the IRS because of an Economic Hardship

In IRS Tax Help by Daniel Friedel

QUESTION:  What happens if I owe the IRS money but after paying my living expenses/bills, I currently can’t afford to pay my tax liability? ANSWER:  Depending on your particular situation, there are several options.  If you are going through a financial hardship, the IRS may be willing to suspend collection activity to allow you the opportunity to get back on …

Tax Day Countdown Q & A

In IRS Tax Help, Tax Planning by Daniel Friedel

QUESTION: I Know My Tax Return is Due, but I Cannot Pay the Taxes…Should I Still File on Time? ANSWER: YES, YES, and YES! Even though you will not be able to pay the full amount of your taxes when you file your Income Tax Return, you should still file on time to prevent the 5% per month Late Filing …

Common IRS Letters and Notices

In IRS Tax Help by Daniel Friedel

IRS Letter 525: General 30 Day Letter. This is a notice from the IRS informing you of potential mistakes concerning items on your tax return. These errors may be mathematical or clerical errors in preparing your tax return. This letter is accompanied by a report including the computations of their proposed adjustments. If you agree with the proposed adjustments, then …

The Dreaded IRS Audit: Will Your 2010 Tax Return Get Flagged for an Audit?

In Tax Planning by Daniel Friedel

With “Tax Day” right around the corner, most people are scrambling to put together and file their 2010 tax return before April 18, 2011 (yes, the IRS has graciously provided us a few extra days this year).   Accordingly, I have put together some information and pointers to help you decrease your chances of having the IRS audit your return. “Red …

Tax Relief or Grief? A Breakdown of Obama’s Tax Cuts

In Tax Planning, Uncategorized by Daniel Friedel

With just a few weeks remaining in 2010 (marking the expiration of the Bush-era tax cuts), President Obama signed into law the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. With tax season quickly approaching, a lot of Taxpayers are left wondering, what kind of “relief” can I expect from this Tax Act?  In essence, the Tax …

Last Chance for 2010 Retirement Investment Planning

In Estate Planning by Daniel Friedel

There are still a few weeks left to take advantage of tax-saving opportunities for 2010 retirement planning.  2010 is a great year to implement or    modify your retirement investments.  The expanded availability of Roth IRAs, coupled with preferential income recognition opportunities for rollovers and other changes making regular IRAs more attractive, provide a savings incentive for retirement planning.   Below is …

November Elections and Your Taxes…The Possibilities are on the Table

In Florida Tax Issues, Tax Planning by Daniel Friedel

With the results of the November elections still looming, taxpayers are left with an uncertain tax future as Bush’s tax cuts remain in a state of uncertainty.  Although legislative action to extend or modify the Bush-era taxes seem non-existent, the President still refuses to throw tax reform out the window. With a month and a half left before our tax …

Florida Tax Issues for Voters – November 2010 Elections

In Florida Tax Issues, Tax Planning by Daniel Friedel

With just over a week left before Election Day, I encourage voters to become more acquainted with the candidates and issues they will be confronted with on the ballot.  Because most ballot initiatives are written in what resembles either a foreign language or horrific grammatical capabilities, I’ve compiled a brief synopsis of the tax issues that will be presented to …

Cuba…The Next Overseas Tax Haven?

In Tax Planning by Daniel Friedel

Cuba Announces New ‘Small Business Friendly’ Tax Code Cuba yesterday announced a new tax code that it claimed was friendlier for small business, as thegovernment struggles to build a larger private sector within the state-run economy. Hmmm…maybe Castro is trying to capitalize on US’s uncertain tax future…

Will You Pay Higher Taxes in 2011?

In Tax Planning by Daniel Friedel

Lack of congressional action on 2011 income taxes may force the Treasury Department to make unprecedented moves to prevent U.S. workers from seeing large tax increases in their January paychecks. The issue: 2011 tax-withholding tables. Treasury officials usually release the tables, which determine the take-home pay of millions of wage-earners, by mid-November because it takes payroll processors weeks to adjust …