An offer in compromise (OIC) is a deal between a California taxpayer and the Internal Revenue Service (IRS) or the Franchise Tax Board (FTB) to pay off a tax debt for less than the full amount. The agreement will not be accepted automatically, as the taxpayer must meet specific requirements when applying for an OIC. These eligibility requirements vary depending…
With some exceptions, U.S. citizens must generally file tax returns – and pay taxes. Nevertheless, sometimes through no fault of your own, you may be unable to pay the taxes owed. An unexpected accident, loss of a job, or an illness can place an individual under heavy financial duress. If you are facing financial difficulties and owe unpaid tax debts…
The individual tax burden can be overwhelming. Are you at a point in your life or career where federal and state income taxes are scaring you? Perhaps you can’t see a way to catch up. Has the IRS placed a lien on your property or is your paycheck being garnished? You may be receiving threatening IRS or state notices daily.…
When the government comes across new technologies and ways of doing business, it often doesn’t know how to fit these new things into existing law. With Bitcoin and other cryptocurrencies, the government is still working to catch up. For now, crypto coins are treated as property – but their sale or transfer may still trigger profits. Profits like these mean…
If you are married or recently divorced, separated, or widowed, you may have filed taxes jointly with your spouse. This can give you many benefits and deductions you can’t access filing as an individual, but it can also set you up for potential issues. If you filed jointly, you are jointly responsible for the taxes alongside your spouse. This means…
Claiming the proper deductions and credits can be an overwhelming process for taxpayers. With new case law constantly being decided by the Tax Court and the IRS, it can be especially difficult to keep up with new regulations. A recent case involving estate tax and charitable deductions, Fakiris v. Commissioner, reached an important holding in the area of estate tax.…
American expatriates are all too aware of the various tax difficulties and hurdles that exist. Unfortunately, in recent years, law-abiding expats have been caught in the crossfire as Congress attempts to crackdown on wealthy Americans use foreign trusts and offshore accounts to conceal wealth and income. These efforts have resulted in the start of enforcement of the Foreign Bank Account…
Taxpayers who have not filed taxes in a number of years generally have a sense that they are not in the best legal or financial position. When individuals who have neglected to satisfy their tax duties for years come into our law offices, they are typically apprehensive and anxious regarding what our review might find. However, if you work with…
The Federal Tax Crimes blog recently posted a blog regarding a sentencing proceeding which involved the owner of a wholesale salon supply business. As set forth originally by the Federal Tax Crimes blog, United States v. Nguyen, ___ F.3d ___, 2017 U.S. App. LEXIS 6390 (5th Cir. 2017) dealt with a business owner who was charged with aiding and assisting the…
If you have even a passing interest in Bitcoin as a technology or as an investment, it is highly likely that you have already heard about the IRS’s attempts to crackdown on improper use of Bitcoin and other cryptocurrencies such as Ethereum. The IRS believes that a significant number of high income and high asset taxpayers are utilizing Bitcoin as…