Is Online IRS Advice a Trustworthy Strategy for Avoiding Audits?
In a recent post, we’ve discussed some concerns with the IRS’ treatment of taxpayer questions, including the difficulty in reaching an IRS employee through their hotline. For individuals attempting a proactive approach to their tax questions, there may be another route. Specifically, the IRS offers an email service where it provides tax tips at regular […]
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Do Interest and Penalties Always Accompany Tax Controversies?
One of the most discouraging aspects about a tax dispute is the late fees and penalties that may attach. Although a taxpayer may have a good-faith belief in his or her defense, the consequences, if proven wrong, can be costly. In other scenarios, a taxpayer may not have realized that he or she was delinquent, […]
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Are Tax Controversies the Result of Poor IRS Customer Service?
Individuals hoping to avoid a tax controversy or dispute may affirmatively reach out to the Internal Revenue Service with questions. Yet a recent article questions the efficacy of this proactive approach. Specifically, the article alleges that the IRS hung up on taxpayers calling for help a shocking number of times: around 8.8 million times. In […]
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Beware: Basket Options Could Land You in Hot Water with the IRS
Businesses and individuals have long pursued strategies to protect their assets from heavy tax burdens. The Internal Revenue Service, however, is constantly searching for strategies that may be skirt the line of what is legal. If the IRS comes after a strategy that you use, it may be wise to work with a tax attorney […]
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Are Individuals Aware of Their Rights During IRS Questioning?
Responding to questions from the Internal Revenue Service can be intimidating. Even a minor federal income tax controversy or alleged tax underpayment may raise fears of tax penalties, an IRS tax audit or even criminal tax fraud charges. Although such fears may be extreme, our law office recommends that an individual contact a tax law […]
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Didn’t Have Your Trilobites in a Row? That’s When the Audit Comes
A few years ago, a veterinarian and fossil enthusiast decided to donate some of his prized collection of trilobites to the California Academy of Sciences. They were apparently worth quite a bit of money — he valued the four he donated in 2006 at $136,500, and eight more, which he gave the group in 2007, […]
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Mass Identity Theft Prompts the IRS to Take Action
Cyber-thieves based in Russia and other countries recently hacked into an IRS website, stealing U.S. taxpayer information and using that information to file more than 10,000 false tax returns. In return, the hackers walked away with tens of millions of dollars in tax refunds. Since then, the IRS has been working with federal agencies, state […]
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Owe Back Taxes in Maryland? Get Ready for Tax Amnesty on Sept. 1
If you or your organization has failed to report, under-reported or failed to pay appropriate Maryland taxes in the past decade or so, you need to be aware of the state’s upcoming tax amnesty period. To get tax amnesty, you need to act now. The amnesty only lasts from Sept. 1 to Oct. 30, and […]
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What Role do Organized Tax Records Play in Audit Prevention?
When it comes to the Internal Revenue Service, is no news the same as good news? If the topic is audits, the answer might possibly be yes. Now that another April 15 has come and gone, many individuals may be releasing a sigh of relief from hearing no news from the IRS. For business owners […]
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Maryland and the District of Columbia Sue Donald Trump
A new lawsuit filed by the attorneys general of Maryland and the District of Columbia claim the president’s financial links to the Trump Organization violate a Constitutional rule. The majority of the lawsuit is focused on alleged violations of the emoluments clause of the Constitution, based on Donald Trumps businesses taking payments from foreign governments. […]
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