There are many ways for individual taxpayers to run afoul of regulations. Sometimes, people misrepresent their finances and underreport their income. They could then face allegations of tax fraud or tax evasion. They could be at risk of prosecution and may owe a large...
Identifying Effective Tax Help Solutions
Tax Debt
Two options to help manage tax debt
Whether due to major life changes such as job loss or medical emergencies or the result of unexpected expenses that strain finances, taxpayers can find themselves falling behind on their tax payments for any number of reasons. Taxpayers who find themselves facing...
Can non-payment of taxes lead to property seizure in Washington?
Failing to pay your taxes can lead to serious consequences, and property seizure is one of them. In Washington, if you don’t pay your taxes, the state has the legal right to take action, which may include taking your property to satisfy your unpaid debt. How does the...
What triggers Washington’s B&O tax?
The Business and Occupation (B&O) tax applies to businesses earning revenue in the state. Unlike an income tax, this tax is based on gross receipts, meaning you pay it regardless of profitability. Understanding what triggers this tax can help you stay compliant...
What role does the DIF score play in IRS tax audits?
The IRS reviews millions of tax returns each year but audits only a small percentage of them. The Discriminant Index Function (DIF) score helps determine which returns require closer examination. Understanding how the IRS uses this system can help taxpayers file...
Do I qualify for innocent spouse relief?
When it comes to filing taxes as a married couple, the phrase "for better or for worse" extends beyond the vows. Filing jointly can lead to unforeseen challenges if one spouse engages in tax misreporting or evasion. Fortunately, the IRS provides a lifeline known as...
I received a CP2000 notice: Now what?
Opening a letter from the IRS can be nerve-wracking, especially when it's a CP2000 notice. If you've just received one, take a deep breath – it's not as scary as it might seem at first glance. Here, we will guide you through understanding what a CP2000 notice is and...
Do recent tax changes affect estate planning and gift taxes?
Recent tax law changes have brought significant changes to estate planning and gift taxes. This affects how individuals plan to transfer wealth and manage assets for future generations. Understanding the new rules can help families make informed decisions and protect...
What does the IRS CP3219A notice mean for taxpayers?
The IRS sends a CP3219A notice to inform taxpayers about proposed changes to their tax return based on discrepancies found in third-party reporting. This notice can have serious implications if ignored, so understanding it and knowing how to respond is crucial. What...
How does remote work impact multi-state tax obligations?
Remote work has become common, but it can create complex tax situations. Employees working in different states from their employers must understand how this impacts their tax obligations. Different state tax rules can lead to unexpected liabilities, making it...