How to Read and Understand the IRS Audit Package, Including Form 4549.
How to Read and Understand the IRS Audit Package, Including Form 4549. The IRS uses Form 4549 to reports its audit findings. They also can use Form 4549-A or Form 4549-E. The IRS might also use Form 5278. They also will include various cover letters: Letter 525, Letter 692, Letter 950, Letter 1912, or Letter 5262. The IRS will […]
Do Tax Liens Survive in Chapter 7?
Do Tax Liens Survive in Chapter 7? What Is a Tax Lien? A lien is a security interest, or claim, against specific property. A home mortgage, for example, is a lien against a residence. If you don’t pay the debt, the creditor can sell the property that is subject to the lien to get reimbursed. […]
How to Pay Taxes on Gambling Winnings and Losses
How to Pay Taxes on Gambling Winnings and Losses? You must report ALL your winnings The first rule in gambling income is that you must report all winnings, regardless of whether the place that you gambled reports them to the government or not. For example, if you hit the trifecta on Derby Day, you must report […]
Are There Assets I can Sell Even Though the IRS has Filed a Tax Lien?
Are There Assets I can Sell Even Though the IRS has Filed a Tax Lien? A Federal Tax Lien attaches to ALL PROPERTIES. There are exceptions known as “super priorities”. Super priorities are situations in which you transfer certain assets even though the IRS has filed a tax lien against you. Internal Revenue Code […]
When is an IRS Tax Lien Not Filed with An Installment Agreement?
When is an IRS Tax Lien Not Filed with An Installment Agreement? When the IRS files a Tax Lien, it affects your credit and certainly makes it more difficult to buy a house, car, qualify for any amount of credit, etc. In addition, as the Tax Lien is filed with the County Recorder, it […]
Tax Liens on Real Estate: Where is it Recorded?
Tax Liens on Real Estate: Where is it Recorded? First, be operation of law, a statutory Tax Lien arises once a tax has been assessed, demand has been made and taxpayer fails to pay. The lien is perfected by a Notice of Tax Lien, filed in the county of taxpayer residence. The federal tax lien attaches […]
IRS Just Sent Me a Form 668Y – What Do I Need to Know?
IRS Just Sent Me a Form 668Y – What Do I Need to Know? The IRS has a series of Levy/Lien forms, each has its own level on the stress gauge. Check out the links to learn more: Form 668A, Notice of Levy on Accounts Receivable, Bank or a Financial Institution– Freezing of the […]
Can You Claim Gambling Losses on Your Taxes
Can You Claim Gambling Losses on Your Taxes? Claiming gambling losses Gambling losses are indeed tax deductible, but only up to the amount of your winnings in that year. You MUST report ALL the money you win as taxable income on your return. The deduction for gambling losses is only available if you itemize […]
When Does an IRS Federal Tax Lien Expire and Become Unenforceable?
When Does an IRS Federal Tax Lien Expire and Become Unenforceable? An IRS tax lien is not forever. It does expire – here is an overview of when: The IRS has 10 years to pursue you for the unpaid taxes that caused the lien to be filed. The 10 years starts on the date the […]
Audit by the IRS What to Expect | IRS Random Audit | Legacy Tax & Resolution Services
Audit by the IRS What to Expect | IRS Random Audit | Legacy Tax & Resolution Services An IRS audit is a review or examination of an organization’s or individual’s returns and supporting information to ensure information is reported correctly according to the tax laws and to verify the reported amount of tax is […]