If you have outstanding tax debts, then the IRS can impose a number of different penalties on you until your debt is paid in full. Although the penalty should never come as a surprise, as the IRS typically sends lots of notices to warn you before taking action, it’s still a scary and stressful time all the same. So what are some of the things the IRS can do if you have unpaid taxes? One of the main things the IRS Read More

Like many things to do with technology, cryptocurrency has evolved much faster than the laws designed to regulate it. Since there is money involved, the level of governmental regulations attempting to define the laws around it is that much higher. One of the most pressing and most difficult areas of regulation involving cryptocurrency is that of taxation. First, what are cryptocurrencies? They are essentially Read More

Itemized deductions have been a time-honored tradition for taxpayers for years and the creativity that they can inspire have been a marvel. However, as the saying goes, all good things must come to an end, and under the new Tax Cuts and Job Act of 2017 (TCJA), numerous cherished itemized deductions have been eliminated in favor of a doubling of the standard deduction. Let us take a moment to remember the itemized Read More

As long as there are taxes, there will be efforts to stash assets to avoid paying them. With the recent crackdown of the last 10 years of anonymous bank accounts that forced numerous offshore banks to cough up details about their account holders and their assets, the next “it” place to hide assets may be (or in many cases, already is) virtual currency. The draw is undeniable considering that cryptocurrencies are Read More

One of the attractive features of cryptocurrency has been its anonymity and privacy. While no doubt many owners of cryptocurrency have declared it as income on their income tax returns and paid the necessary capital gains or other taxes, the IRS is still very concerned that there are those who have not. Recently, however, the IRS was able to make a giant leap forward in its quest to uncover the people behind the Read More

Pass-through taxation has been one of the stalwarts of tax policy that is used by just about anyone with self-employment income, either individually or through a limited legal entity such as a limited liability company or limited liability partnership. Pass-through taxation allows these individuals to “pass through” their business earnings and declare them on their personal income tax thus saving the time and expense Read More

As soon as the Tax Cuts and Job Act (TCJA) was signed into law, just about everyone asked, “How does this affect my taxes?” Now that the ink has dried, we can start to answer that question more clearly and specifically. The bottom line, at least according to the Tax Policy Center, is that 95% of U.S. taxpayers, regardless of income level and tax bracket, will see a reduction in their tax liabilities starting in 2018. Read More

Perhaps we should start with what tax fraud and tax evasion have in common, which is that they are both federal crimes. Both come with hefty fines, as well as the potential for a long imprisonment in a federal penitentiary, for those who are convicted. Also, neither is considered tax avoidance, which is the legal means of minimizing taxes through legitimate deductions and sheltering. So how are they different from Read More

Congress passed, and the president signed into law, the most sweeping tax code reform in at least 30 years last December 2017. The stated purpose of the reform is to improve the economy with tax cuts that put more money into the hands of consumers and businesses spending in the private sector. Here’s what you need to know about how it may affect your taxes. 1) The brackets have been reconfigured. There are still Read More

The IRS has several methods of collecting the taxes it is due, and for many taxpayers, this may include the filing of a federal tax lien. Essentially, a lien is a claim on behalf of the government against the current and future property of the taxpayer including real estate, cars, bank accounts, and earnings in the amount of the taxes and penalties owed to the government. The lien, which is usually imposed on debts Read More