A Discussion of Deadlines to File Collection Due Process Appeals and Other Filings – IRS Deadlines This installment of Tax and Vice discusses a Tax Court case involving a marijuana dispensary. To set the scene, a cannabis dispensary owner, Snoop Dogg, and Willie Nelson were having an epic sesh when they were rudely interrupted by
IRS
What is the Tax Gap
The “tax gap” is a term coined to describe the amount of tax taxpayers fail to pay each year. Also known as noncompliance taxpayer debt, it is the gap between what taxpayers legally owe to the government and what is actually paid and collected from taxpayers for the year. The primary reasons behind the tax
Required Minimum Distribution – IRS Provides Some Relief for Retirement Accounts and IRA Rollovers
Required Minimum Distribution The IRS recently issued official guidance providing relief to some taxpayers who may not have made a Required Minimum Distribution (RMD) from their IRA or other retirement accounts. The official guidance also provides relief to some taxpayers who took a distribution in 2023 from a retirement account and wish to make a
IRS Form 8300 – What Is It and Why Is It Important?
IRS Form 8300 If you engage in a business or trade that receives large cash payments, understanding IRS Form 8300 – what it is and why is it important – is crucial. The IRS mandates “each person engaged in a trade or business who, in the course of that trade or business, receives more than
Understanding IRS Notices: Notice of Intent to Seize or Levy Your Property, CP504 Notice and CP504B Notice
The IRS CP504 Notice and CP504B Notice We continue our series on IRS notices by discussing the Notice of Intent to Seize (Levy) Your Property or IRS CP504 or CP504B Notice. While the verbiage of this notice can be somewhat confusing and cause some undue alarm, this blog post will discuss what the notice means
Frivolous Tax Returns Can Be a Serious Matter
Frivolous Tax Returns The IRS can charge penalties of $5,000 for Frivolous Tax Returns and other Frivolous submissions made to the IRS. The US Tax Court may impose penalties of up to $25,000 when a Taxpayer makes frivolous arguments in Tax Court. A list of some of the frivolous arguments that can lead to penalties
Covid-Related Late Filing Tax Penalties
Covid-Related Late Filing Tax Penalties Many people have experienced covid-related tax problems that could lead to Covid-Related late filing tax penalties. COVID-19 has directly or indirectly caused many people to file tax returns and/or pay their taxes late resulting in tax penalties. One issue the California Office of Tax Appeals recently ruled on was how
IRS Penalty Relief for Certain Taxpayers Filing Returns for Taxable Years 2019 and 2020
IRS Penalty Relief The IRS announced on August 24, 2022, it will be waiving late-filing penalties and processing refunds to taxpayers who missed the filing deadlines on their 2019 and 2020 federal income tax returns (IRS Notice 2022-36). Before this IRS penalty relief announcement there were two ways to petition for a waiver of penalties.
IRS Form 8300 Compliance and Audit
If we deal with large cash payments of more than $10,000.00, we must report this to the IRS by filing the IRS Form 8300. The form needs to be finished timely, correct, and complete notices to the person(s) required to be identified on the Form 8300. The purpose of this requirement is to provide valuable
New Argument for Contesting the Trust Fund Recovery Penalty
Employers are responsible for withholding income and employment taxes from their employees. These taxes are referred to as trust fund taxes because the employer is only holding the money for the employee to pay the IRS. When an employer fails to withhold the money and pay it to the IRS, individuals who are “responsible” and