by Jim Magary | May 17, 2016 | Tax Help
We are a AFFORDABLE Professional and Experienced Firm, A plus Rated BBB.
Since 1982, Local South Florida Sales Tax Firm, Experts in Florida Sale Tax Audits.
We have over 206 years of professional tax experience and over 65 years of combined work experience in the local governmental agencies. We are true local experts, since 1982.
Call us today for free to initial tax consultation and we will explain to you the Florida sales tax audit procedures and best defense practices
Fresh Start Tax LLC has its main office in Ft. Lauderdale, Florida and the firms staff consists of CPA’S, former IRS agents and former instructors who have worked hand in hand with the Florida’s Sales Tax and the Department of Revenue.
Fresh Start Tax and it’s principles have handled thousands and thousands of cases over the years, both in government service and in their professional practice.
Our professionals are members of various National Organizations, have been keynote speakers on tax issues and are certified by the Florida Department of Professional Regulation to administer and teach other professionals in their continuing educational programs.
With your free initial consultation we will review your case and give you very specific expectations based on your circumstances. Please keep in mind not all circumstances are the same and your history and your tax records will determine the outcome of your case.
As former agents and teaching instructors we have an excellent idea on how these cases will go down. If you will all back tax will work out a settlement for you at the same time. we know the system inside and out.
Call us anytime for free tax consultation and review your case.
State of Florida sales tax representation includes the following matters with the Florida Department of Revenue:
• Tax audits on any and all sales tax issues and matters,
• Non-filing matters,
• Criminal investigations that are referred to attorneys that best fit your profile,
• Department of Revenue enforcement action or warrant proceedings
• Stipulated time payments,
• Requests for settlements or Compromise
The Keys to resolving your Florida Sales Tax Problem or Audit
There are several keys to make sure your case is resolved timely. These keys are necessary on every case. The Department of Revenue is interested in resolving the cases in their system.
The DOR goal is to close cases and get them out of their inventory.
Here are the keys necessary to stop enforcement action on your back taxes.
• Have all your tax returns filed before you call Florida Sales Tax and the Department of Revenue on your back tax issues.
• Be prepared to give the Department of Revenue a financial statement whether you are a hardship candidate, want an installment agreement or want to settle your case.
• Be prepared to give the Department of Revenue all supporting documentation to prove your financial statement.
• Make sure you are current on deposit requirements.
If Are you being Audited by Florida DOR:
The State of Florida, Department of Revenue audit taxpayers to:
• Enforce Florida tax laws uniformly.
• Deter tax evasion.
• Promote voluntary compliance.
• Educate taxpayers.
As a general rule, the State of Florida Sales Division accepts most tax returns as filed, however they audit some returns to verify accuracy and evaluate compliance.
Florida Sales Tax Audits do not always result in the taxpayer owing additional tax, penalty or interest.
The auditor may adjust a credit carryover or correct distribution without assessing additional tax. The auditor may even determine that a refund is due.
How Are Taxpayers Selected for Audit by the Florida Sales Tax Division
The methods for selecting a business or individual to audit vary from tax to tax.
Here are some examples of sources we use to identify a potential Florida sales tax audit candidate:
• Internal Revenue Service information.
• Information sharing programs with other states and state agencies.
• Computer-based random selection.
• Analysis of Florida tax return information.
• Business publications, periodicals, journals, and directories.
What Types of Records Will I Need to provide to an Auditor or Inspector?
When we notify you of our intent to audit, we will also tell you what records you will need to provide.
The types of records may include, but are not limited to:
1. General ledgers and journals
2. Cash receipt and disbursement journals
3. purchase and sales journals
4. Sales tax exemption or resale certificates
5. Florida tax returns
6. Federal tax returns
7. Depreciation schedules
8. Property records
9. Other documentation to verify amounts entered on tax returns
You must keep your records for three years since an audit can extend back that far.
The Department may audit for periods longer than three years if you did not file, or filed a substantially incorrect return or payment.
Your Rights During an Florida Sales Tax Audit
The Florida Taxpayer’s Bill of Rights provides protection for taxpayers’ privacy and assets during their interactions with Revenue employees.
Your rights include:
• The right to fair treatment.
• The right to get available information and prompt, accurate responses to your questions.
• The right to have the Department begin and complete its audit in a timely manner after we notify you of our intent to audit.
• The right to get simple, nontechnical statements which explain the reason for audit selection and the procedures, remedies, and rights available during audit, appeals, and collection proceedings.
Call us today for a free initial tax consultations. We are one of South Florida’s most experienced, affordable and professional tax firms.
Florida Sales Tax Audit + Affordable Audit Defense Experts + Owe Back Sales Tax Debt
by Jim Magary | May 17, 2016 | Tax Help
We have over 65 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the South Florida Internal Revenue Service.
AFFORDABLE, Since 1982. A plus Rated. End your back payroll tax debt problem today.
I am a former IRS Agent and teaching instructor of the Offer Program when formerly employed at the IRS.
We know all the systems, settlement formulas and all the methodology to get you affordable IRS tax debt relief including trust fund debt problem.
Call us today to get a free review AND ASSESSMENT OF YOUR CASE.
Hear the truth from Former IRS Agents who have worked thousands of cases.
Settlements can be in the form of hardships, payment plans and excepted settlements.
Being a former IRS agent and teaching instructor you should understand that the Internal Revenue Service is tougher on payroll taxes than any other taxes.
The reason for this is very simple, this tax is money held in trust in not an actual tax.
As a former IRS agent I can tell you that on a quarterly basis, federal tax deposit alerts were sent to the field in our area into which we work. Because the Internal Revenue Service pays out any W-2s submitted by employee you must expect the IRS to be tough on back payroll taxes.
It is one of few taxes that the Internal Revenue Service not only go after the company it can in addition can go after the responsible persons or individuals.
After the IRS creates individual tax assessment for those responsible it often time results in the filing of federal tax liens, bank and wage levy garnishments.
This is a tax that you should not fool around with because it is number one on the IRS to hit list. The Internal Revenue Service will individually engage those responsible under section 6672 of the Internal Revenue Code
Let Former IRS agents and managers get you immediate tax relief via a payroll tax settlement.
Offer in Compromise + Make sure you are eligible + Check with us first.
Before IRS will consider your offer, you must be current with all filing and payment requirements. You are not eligible if you are in an open bankruptcy proceeding.
Use the Offer in Compromise Pre-Qualifier to confirm your eligibility and prepare a preliminary proposal.
Submit your offer
Your completed offer package will include:
• Form 433-A (OIC) (individuals) or 433-B (OIC) (businesses) and all required documentation as specified on the forms;
• Form 656(s) – individual and business tax debt (Corporation/ LLC/ Partnership) must be submitted on separate Form 656;
• $186 application fee (non-refundable); and
• Initial payment (non-refundable) for each Form 656.
Select a payment option
Your initial payment will vary based on your offer and the payment option you choose:
• Lump Sum Cash: Submit an initial payment of 20 percent of the total offer amount with your application. Wait for written acceptance, then pay the remaining balance of the offer in five or fewer payments.
• Periodic Payment: Submit your initial payment with your application. Continue to pay the remaining balance in monthly installments while the IRS considers your offer. If accepted, continue to pay monthly until it is paid in full.
If you meet the Low Income Certification guidelines, you do not have to send the application fee or the initial payment and you will not need to make monthly installments during the evaluation of your offer. See your application package fo
We should be able to make sure we can reach a reasonable settlement on your payroll tax liability and you can continue to operate your business without fear and worry from the Internal Revenue Service.
With over 60 years of direct working experience at the Internal Revenue Service we know every possible tax solution that can get you immediate and permanent tax relief for a payroll tax settlement.
IRS does not want to seize your business for back taxes due on payroll taxes, however 941 payroll taxes are a big concern for the IRS.
The Process of receiving a Payroll Tax Settlement
The Internal Revenue Service will want to fully review your company or corporation before you can obtain in IRS payroll tax settlement. You will need to provide IRS with the current financial statement along with proof that all payroll tax deposits and 941 tax forms have been filed.
Many times IRS will want a personal or individual financial statement for more responsible persons. For most company’s of the IRS payroll tax settlement may come in three forms.
Review your current financial statement Internal Revenue Service may determine that you are a hardship candidate, monthly payment agreement candidate or an offer in compromise candidate and IRS payroll settlement.
Why have Fresh Start Tax contact the IRS:
You never have to talk with the Internal Revenue Service on these tax matters;
Fresh Start Tax knows what the IRS is looking for;
Fresh Start Tax knows the exact packaging required;
Fresh Start Tax knows the next steps the IRS will take;
You know your case will be handled and resolved as fast as possible.
Other Factors To Consider
IRS has the right to sell your complete inventory at public auction;
IRS can seize all your accounts receivables;
IRS can hold you personally responsible for this tax;
IRS has the right to lock the doors of your business.
Steps to take to work out an affordable payment plan with the Internal Revenue Service:
Immediately stay current on all payroll tax deposits to show the IRS good faith;
Be prepared to give the IRS a current financial statement;
Make sure your personal tax liabilities are filed and paid;
Have all documentation on the financial statement prepared for the IRS.
If you do not pay your Payroll Taxes IRS can collect them from you individually
To encourage prompt payment of withheld income and employment taxes, including social security taxes, railroad retirement taxes, or collected excise taxes, Congress passed a law that provides for the TFRP.( trust fund recovery penalty )
These payroll taxes are called trust fund taxes because you actually hold the employee’s money in trust until you make a federal tax deposit in that amount.
The TFRP may apply to you if these unpaid trust fund taxes cannot be immediately collected from the business.
The business does not have to have stopped operating in order for the TFRP to be assessed
Who Can Be Responsible for the TFRP
The TFRP may be assessed against any person who:
Is responsible for collecting or paying withheld income and employment taxes, or for paying collected excise taxes, and
Willfully fails to collect or pay them.
A responsible person is a person or group of people who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes. This person may be:
An officer or an employee of a corporation,
A member or employee of a partnership,
A corporate director or shareholder,
A member of a board of trustees of a nonprofit organization,
Another person with authority and control over funds to direct their disbursement,
Another corporation or third-party payer,
Payroll Service Providers (PSP) ore responsible parties within a PSP
Professional Employer Organizations (PEO) or responsible parties within a PEO, or
Responsible parties within the common law employer (client of PSP/PEO).
For wilfulness to exist, the responsible person:
Must have been, or should have been, aware of the outstanding taxes and either intentionally disregarded the law or was plainly indifferent to its requirements (no evil intent or bad motive is required).
Using available funds to pay other creditors when the business is unable to pay the employment taxes is an indication of willfulness. You will be asked to complete an interview in order to determine the full scope of your duties and responsibilities.
Responsibility is based on whether an individual exercised independent judgment with respect to the financial affairs of the business.
An employee is not a responsible person if the employee’s function was solely to pay the bills as directed by a superior, rather than to determine which creditors would or would not be paid.
Figuring the Trust Fund Amount
The amount of the penalty is equal to the unpaid balance of the trust fund tax. The penalty is computed based on:
The unpaid income taxes withheld, plus
The employee’s portion of the withheld FICA taxes. For collected taxes, the penalty is based on the unpaid amount of collected excise taxes.
Assessing the TFRP. If the IRS determines that you are a responsible person, we will provide you a letter stating that we plan to assess the TFRP against you. You have 60 days (75 days if this letter is addressed to you outside the United States) from the date of this letter to appeal our proposal.
The letter will explain your appeal rights. Refer to Publication 5, Your Appeal Rights and How to Prepare a Protest if You Don’t Agree (PDF), for a clear outline of the appeals process. If you do not respond to our letter, we will assess the penalty against you and send you a Notice and Demand for Payment.
Once we assert the penalty, the IRS can take collection action against your personal assets. For instance, we can file a federal tax lien or take levy or seizure action.
Payroll Tax Debt Relief + 941 Taxes Owed + Settlements + Offer in Compromise + Former IRS
by Jim Magary | May 17, 2016 | Tax Help
We are the affordable professional tax firm that can resolve any IRS tax problem, since 1982. we end problems NOW!
Late submitted tax returns are no problem, we have dealt with this issue, thousands of these issues throughout the years.
There is a very specific methodology to manage the situation, immediately enter tax problem and settle with Internal Revenue Service.
We have a very worry free process!
We also worked as managers, supervisors and teaching instructors. Not only did we work in the above aforementioned positions, we are also on-the-job trainers for new IRS employees.
We know all the IRS systems inside and out we have worked both sides of any IRS problem and know the protocols and methodologies to resolve any IRS matter.
Over 16 million tax returns were not filed timely to the Internal Revenue Service last year. The IRS just want you back in the system and there’s a process to do that worry free.
No matter how many years of back tax returns you have to file it will not be an issue. whether it’s one, to several are multiple years of back tax returns we can processes quickly close and settle your case.
Also, please keep in mind if you don’t file your back tax returns IRS has the option of filing your tax return under 6020 B of the IRC. IRS will do you no favors in filing, you will pay the highest amount allowed by law.
There is a very systematic way to do this and it is called income tax reconstruction. All our work is done in-house by top professionals who can assure you will pay the lowest amount allowed by law.
We take the methodologies learned at Internal Revenue Service and apply the best practice standards to go ahead and prepare your back tax return and make sure you pay the lowest amount allowed by law.
If you are going to owe money as result of your tax filing we can settle your tax debt as well.
On cases where taxpayers have received notices, we send IRS a power of attorney so you will never have to speak to IRS and we handle all the correspondence.
From there we go ahead and start the preparation of our tax return process by pulling IRS transcripts and any available records. From there, we submit the tax returns to IRS at the same time work out a remedy or solution if you’re go to owe back tax debt.
It is important for every taxpayer to know that if they are in a position where they haven’t filed back taxes that they start making estimate tax payments or creased or withholding to cover their new IRS tax debt. Internal Revenue Service wants to make sure future compliance is not an issue.
IRS Tax Debt Settlements, I am a former IRS agent and teaching instructor of the offer in compromise.
If you need to settle your tax debt with Internal Revenue Service, as a general IRS will want to current financial statement to make a determination.
You will need to do that on the IRS form 433A or 433F.
As a general rule upon your submission of your current documented financial statement,
IRS will either place your case went into:
1.currently not collectible file (hardship) or , CNC,
2. ask you for a monthly payment or installment agreement,
Many taxpayers are eligible for the offer in compromise program to settle their debt for pennies on the dollar.
Last year over 38,000 taxpayers settle their tax debt for an average of $6500 per case. Keep in mind that is just an average national average in your case is completely dependent on your current financial statement.
Before you file for offer in compromise it is wise to fill out the IRS pre-qualifier tool to make sure you were a viable candidate and don’t waste any money.
When you call our office we will be review with you the various options you have to completely and permanently remedy all your IRS tax problems once and for all.
If the IRS has filed a federal tax lien against you, when you call our office we will go over the different ways you may be able to release your federal tax lien.
The lien will stay on your record for 10 years from the date of assessment unless an offer in compromise was accepted or you got into an IRS payment agreement that met the qualifications.
We are a full-service firm that specializes in IRS tax relief. With over 206 years of professional tax experience and over 65 years of combined work experience.
We are one of the most affordable, experience, and trustworthy firms in the South Florida area. Since 1982 we have been helping South Floridians.
If you need to file tax returns, need an IRS tax settlement, need to work a payment plan, or if your experience a IRS tax hardship or need to get IRS levies and tax liens released call us today.
Call us today for a free initial tax consultation.
You will speak to true and affordable IRS tax experts. do not let late submitted tax returns rule your life.
Late Submitted Tax Returns + Former IRS Can End Tax Problems + Settle With IRS
by Jim Magary | May 17, 2016 | Tax Help
We are an affordable local South Florida team of IRS tax experts, former IRS agents and managers, since 1982. A + Rated
We have 205 years of direct tax experience, 65 years of working for the local IRS in the local, district and regional offices. Former IRS audit managers.
Since 1982, we have been representing people in the South Florida, Fort Lauderdale and Miami area.
We’re one of the most experience, affordable, and trustworthy tax firms in South Florida. We also shall have a nationwide tax practice.
We know IRS inside and out and understand all their systems, settlement theories and protocols.
We worked as Agents, Instructors and in Management. We were also on-the-job instructors for new IRS agents.
If you are crying out, I am being audited, you can do something about it and call us today and hear the truth about an IRS audit, many times they are not as bad as you possibly think. hiring experienced tax professionals can minimize the effects of an audit reduce any money you mailed to the Internal Revenue Service and help audit proof your tax return for the future.
At Fresh Start Tax LLC you will be represented by a CPA or former IRS agents who knows the system and can provide your very best tax audit defense.
If we cannot settle your case at the local office will take your case to the Appellate Division or settlements and the best deals are usually made.
It only makes sense to have Former IRS Agents and IRS Tax Audit Managers handle your IRS tax audit and give you the most experienced and successful expert IRS Tax Audit Help.
IRS audits are very predictable and after reviewing thousands of tax returns over the years we can tell you which cases are going to be subject for IRS tax audits.
If you are go back taxes a result of an IRS tax audit will work out attacks that settlement with IRS. There are various options open to you if you owe back taxes.
Facts about IRS Tax Audits:
• The IRS audits a total of 1,391,581 tax returns a year.
• The IRS field agents complete more than 310,000 audits by office or business visits a year,
• The IRS completes over 1,081,152 correspondence audits a year. IRS collects a little over $5 million a year from his correspondence audits,
• IRS has installed new software tracking systems with the development of the CADE 2 computer to spot and recognize tax audits more proficiently,
• IRS employs over 13,000 IRS auditors.
• $5.2 billion dollars are collected through the IRS document matching program.
IRS audits less than 1% of all taxpayers.
The IRS Tax Audit Examination Plan, What you Need to Know about the IRS Audit
The IRS audit plan that is used by the IRS is based on long-range coverage planning, and objectives on the resources requested in the Congressional Budget.
From this, there is an established plan where staff years are allocated to all area IRS offices using resource allocation and a prescribed methodology.
Each Area Manager of the IRS is responsible for preparing an area response following instructions from the National Headquarters.
Why the IRS Audits Tax Returns $$$
Although there are a variety of reasons listed below some are the most common.
a. Front Loaded Programs
Front Loaded programs are those tax audits that IRS DC headquarters has determined are very important and a considerable amount of time must be spent on these programs and activities. Each area has discussions within management as to what the programs should be for each region, district, and office.
Some of the programs are:
• Special enforcement programs – An example of this may be compliance of all flee market vendors, a program I was involved with
• High Income non-filers – The IRS would get their information from a match program of w-2’s and 1099’s and match up social security numbers against filed returns
• Abusive Tax Avoidance – This could be in the area of offshore activities
• Offshore credit card program
• National Research programs – Those set forth by management after doing a trends project
• FBAR filing – IRS is currently targeting those with overseas bank accounts
• Non- filers – IRS is presently forming a task force to seek non-filers though aggressive means.
b. The IRS makes sure there is balanced coverage.
The National Office makes sure there is a balanced approach for audit return delivery and tax compliance. Resources and inventory and the size of personnel all go into this formula.
IRS focuses are blended into these areas:Many years the focus changes.
1. Individual returns less than $100,000.
2. Individual returns greater than $100,000 but less than $200,000.
3. Individual returns greater than $ 200,000.
4. Small Business Corporations.
5. Small Business Flow-Through Entities – S Corporations, Fiduciaries and Partnerships.
c. Classification Plan
The IRS will prepare a plan, which is classified. A National DIF score indicator is placed on all Federal Income tax returns that are filed.
Each tax return has certain factors that contribute to its score such as Gross Income, Adjusted Gross Income and line item expense.
Each tax return is processed through the IRS computer line item by line item.
A DIF score label is placed on every tax return with its DIF number.
A tax examiner or Revenue Agent manually eyeballs each and every tax return with a high DIF score.
The examiner then determine which return has the highest probability of tax audit success.
d. DIF Cutoff Score, this is the most common reason for audit. each and every tax return has a DIF score, this stands for discriminatory index function.
The IRS will calculate the Area DIF cutoff score for each activity code, giving consideration to the selection rate.
This is the lowest DIF score necessary to secure the number of returns required for audit. For example, if the return plan shows 225 returns for an activity code and the selection rate is 70%, the IRS will need to order 321 returns (225/70%).
The DIF Cut off Score is 500. The number of returns with DIF scores greater than 550 is 280, which is less than the number of returns required, so the lowest DIF score on an ordered return will be in the range of 500 to 550 and the DIF cutoff score is 500.
All tax returns are graded by the Internal Revenue Service. That’s right, each and every tax return has a DIF score. There is a label placed on the back of every tax return that grades audit potential.
Much of the audit numbers are predicated on the budget that Congress gives to the IRS. Right now the budget is very low for IRS audit so less and less tax returns will be audited.
Over the last couple years the number of audits are going down by small percentages simply because they do not have working staff to handle all the IRS audits that are truly needed. It is not wise to play the audit lottery.
Call us today for a free initial tax consultation and we will review your tax returns, go over best case scenarios and talk about your IRS tax defense for an IRS audit.
I Am Being Audited + Stop Worry With Former IRS Agents + Audit Help & Representation + Experts, IRS Appeals
by Jim Magary | May 17, 2016 | Tax Help
We are the affordable professional tax firm that can resolve any IRS tax problem, since 1982. we end problems!
We also worked as managers, supervisors and teaching instructors. Not only did we work in the above aforementioned positions, we are also on-the-job trainers for new IRS employees.
We know all the IRS systems inside and out we have worked both sides of any IRS problem and know the protocols and methodologies to resolve any IRS matter.
If you Haven’t Filed Back Tax Returns or you haven’t filed for a few years, you are not alone the tax gap is $450 billion.
Over 16 million tax returns were not filed timely to the Internal Revenue Service last year. The IRS just want you back in the system and there’s a process to do that worry free.
No matter how many years of back tax returns you have to file it will not be an issue. whether it’s one, to several are multiple years of back tax returns we can processes quickly close and settle your case.
Also, please keep in mind if you don’t file your back tax returns IRS has the option of filing your tax return under 6020 B of the IRC. IRS will do you no favors in filing, you will pay the highest amount allowed by law.
There is a very systematic way to do this and it is called income tax reconstruction. All our work is done in-house by top professionals who can assure you will pay the lowest amount allowed by law.
We take the methodologies learned at Internal Revenue Service and apply the best practice standards to go ahead and prepare your back tax return and make sure you pay the lowest amount allowed by law.
If you are going to owe money as result of your tax filing we can settle your tax debt as well.
On cases where taxpayers have received notices, we send IRS a power of attorney so you will never have to speak to IRS and we handle all the correspondence.
From there we go ahead and start the preparation of our tax return process by pulling IRS transcripts and any available records. From there, we submit the tax returns to IRS at the same time work out a remedy or solution if you’re go to owe back tax debt.
It is important for every taxpayer to know that if they are in a position where they haven’t filed back taxes that they start making estimate tax payments or creased or withholding to cover their new IRS tax debt. Internal Revenue Service wants to make sure future compliance is not an issue.
IRS Tax Debt Settlements, I am a former IRS agent and teaching instructor of the offer in compromise.
If you need to settle your tax debt with Internal Revenue Service, as a general IRS will want to current financial statement to make a determination.
You will need to do that on the IRS form 433A or 433F.
As a general rule upon your submission of your current documented financial statement,
IRS will either place your case went into:
1.currently not collectible file (hardship) or , CNC,
2. ask you for a monthly payment or installment agreement,
Many taxpayers are eligible for the offer in compromise program to settle their debt for pennies on the dollar.
Last year over 38,000 taxpayers settle their tax debt for an average of $6500 per case. Keep in mind that is just an average national average in your case is completely dependent on your current financial statement.
Before you file for offer in compromise it is wise to fill out the IRS pre-qualifier tool to make sure you were a viable candidate and don’t waste any money.
When you call our office we will be review with you the various options you have to completely and permanently remedy all your IRS tax problems once and for all.
If the IRS has filed a federal tax lien against you, when you call our office we will go over the different ways you may be able to release your federal tax lien.
The lien will stay on your record for 10 years from the date of assessment unless an offer in compromise was accepted or you got into an IRS payment agreement that met the qualifications.
We are a full-service firm that specializes in IRS tax relief. With over 206 years of professional tax experience and over 65 years of combined work experience.
We are one of the most affordable, experience, and trustworthy firms in the South Florida area. Since 1982 we have been helping South Floridians.
If you need to file tax returns, need an IRS tax settlement, need to work a payment plan, or if your experience a IRS tax hardship or need to get IRS levies and tax liens released call us today.
Call us today for a free initial tax consultation. You will speak to a true IRS tax expert, since 1982.
Several Years of Not Filing Tax Returns, Taxes + No Problem + File & Settle
