Discharging Tax Debt through Bankruptcy

In Common Tax Questions, IRS Tax Help by Daniel Friedel

After the “fallout” from 2008, we all probably know someone who has filed Bankruptcy – Many of whom wiped out a majority of their debt, including some or all of their IRS tax liability.  Unfortunately, you may have a hard time keeping up with “the Joneses” down the street who are still bragging about kicking the IRS to the curb …

Missed the 2010 Tax Return Filing Deadline?

In Common Tax Questions, IRS Tax Help, Tax Planning by Daniel Friedel

If you missed the April 18th deadline to file your 2010 Tax Return, it’s not too late.  While you consider whether it’s worth the hassle to file your late return, here’s some things to keep in mind: PENALTIES AND INTEREST.  For every day your tax return is late, filing penalties, payment penalties, and interest will incur on any tax you …

Liberty Tax Service Alleged “Crack for Tax” Scandal

In Florida Tax Issues, IRS Tax Help, Tax News, Tax Planning by Daniel Friedel

Last week I spoke about the raid and bust of On Time Tax Consultants for allegedly scamming low income taxpayers.  Unfortunately, On Time Tax Consultants are not the only local tax preparation service targeting lower income individuals in our community.   Liberty Tax Service, located at 3320 Southwest 35th Boulevard, Gainesville, Florida, has also been under investigation for preying on low …

Update on the Alleged Gainesville Tax Scam

In Florida Tax Issues, IRS Tax Help by Daniel Friedel

Yesterday, we talked to you about a local story covering the bust and raid of Gainesville, Florida tax return preparation business, On Time Tax Consultants.  Attorney Sarah Martello was interviewed by GTN news for insight on the situation and advice for potential victims of tax preparer scams. You can take steps to protect yourself from tax prep scams by using …

Alleged Tax Scammers Target Lower Income Taxpayers

In Florida Tax Issues, IRS Tax Help, Tax Planning by Daniel Friedel

The IRS is cracking down on Tax Fraud by Return Preparers. While most tax return preparation providers are competent  to handle most of your tax return needs, there are still those lurking amongst us whom are con artists filing fraudulent tax returns and stealing their client’s money. Don’t believe it can happen to you?  Think again! On March 24, 2011—just …

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 Q & A – 2010 Filing Deadline

In IRS Tax Help, Tax Planning, Uncategorized by Daniel Friedel

QUESTION:  Did the IRS really change the filing deadline from April 15th to April 18th? ANSWER: Yes! Taxpayers will have until Monday, April 18 to file their 2010 tax returns and pay any tax due because Emancipation Day, a holiday observed in the District of Columbia, falls this year on Friday, April 15.   By law, District of Columbia holidays impact …

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 …