by Fresh Start Tax | Jul 7, 2014 | Tax Help
If the Internal Revenue Service has sent you a notice CP 2000 that says you have unreported income contact us today for a free initial tax consultation.
The notice does not necessarily mean that IRS is correct. however you should know that a third-party has reported income to you on their behalf and have made IRS aware that they have paid you what could be taxable income.
IRS audits over 1.4 million taxpayers a year due to unreported income mismatching.
If the Internal Revenue Service notice is correct and you have unreported income we will go ahead and work out a collection solution that you can live with so this does not severely impact your life.
There are variety of programs available to you to pay IRS back if in fact that is the case.
As former IRS agents and managers we can go ahead and attempt to get this case written off as uncollectible if you are a current hardship candidate, enter into a payment agreement, or ask IRS to work out a settlement agreement. your current financial statement will dictate the terms of your repayment to IRS if in fact the taxes are owed.
Your financial statement will determine how this case will be resolved.
IRS Notice of Underreported Income – CP-2000
The IRS compares the information reported by employers, banks, businesses and other payers on Forms W-2, 1098, 1099, etc., with income and deductions you report on your income tax return.
If somehow you failed to report any income, payments, and/or credits (or if you overstated certain deductions) on an income tax return, you may receive a Notice CP-2000.
The CP2000 notice is not a bill. You must pay attention to it.
It informs you of the proposed adjustments to income, payments, credits, and/or deductions.
This may result in additional tax owed or a refund of taxes paid.
The first page of the notice provides a summary of proposed changes to your tax and the steps you should take to respond.
The notice will show the amounts you reported on your original or amended return, the amounts reported to the IRS by the payer, and the proposed adjustments by the IRS.
The notice also provides the name of the payer, the payer’s ID number, the type of document that was issued (i.e., W-2, 1099), and the tax identification number of the person to whom the document was issued.
Based on payer documentation, the notice proposes either an increase or decrease to your tax liability. Be sure that you review this information carefully to verify its accuracy.
The notice includes a response form on which you should indicate whether you agree with all the changes, or do not agree with some or any of the changes the IRS is proposing.
The response form also allows you to authorize someone other than yourself to contact the IRS concerning the notice and provides payment options.
If you agree with the proposed adjustments, complete and sign the response form and return it in the enclosed envelope. The proposed adjustments will generally show interest calculated to 30 days from the date on the notice.
Additionally, certain penalties may also apply but may not be shown. You may pay the amount you owe within 30 days from the date of notice, make a partial payment, or you may send the signed consent without payment, and the IRS will bill you for the amount due plus additional penalty and/or interest charges.
Do not file an amended return ( Form 1040X (PDF)), for the tax year shown in the upper right hand corner of page 1.
The IRS will make corrections to your tax liability for the tax year listed on the notice after we receive your response. If the same or other errors occurred in any prior or subsequent years as those listed on the CP-2000, however, you may wish to file an amended return for those years in order to prevent or reduce the accrual of penalties.
If you do not agree with any changes, or do not agree with some of the changes in the notice, do not sign the notice.
Instead, explain in a signed statement why you do not agree, attach the statement and supporting documentation for consideration to the response form, and submit the response form and attachment to the IRS. Include your phone number with area code and the best time of day to call.
You must respond within 30 days of the date of the notice or 60 days if you live outside the United States.
An envelope will be enclosed for your convenience. If you have lost the envelope, please send your response to the address listed on the first page of the response form.
Send your response, a copy of the notice you received, and any other necessary documents (e.g., a signed statement of disagreement and supporting documents) to the address on the notice. If you are making a payment, use the provided payment voucher to ensure correct application to your account.
If you are not sure what to do you should contact a true tax professional that can walk you through this process.
If IRS does not hear from you within the 30 or 60-day period, and there is a proposed balance due, a statutory notice of deficiency will be issued and additional interest will be charged.
It is very important to follow up on the CP 2000 notice if you do not the IRS will assume the notice is correct they will assess the tax an attempt to collect the money.
If you do not respond to IRS final notices, a federal tax lien and a notice of IRS wage garnishment or bank levy may follow.
Feel free to call us today for free initial tax consultation.
by Fresh Start Tax | Jul 7, 2014 | Tax Help
We are a full service tax firm that specializes in AFFORDABLE IRS back tax debt relief help.
With over 206 years of professional tax experience and over 60 years of working directly for Internal Revenue Service, we are one of the most experienced professional tax firms in the industry.
We can offer to any taxpayer different IRS back tax debt relief options that fits their current financial needs.
We are a full service tax firm of all work done in-house by experienced in affordable tax professionals.
New Programs offered by the IRS
The IRS Fresh Start program makes it easier for taxpayers to pay back taxes and avoid tax liens. Even small business taxpayers may benefit from Fresh Start.
Here are three important features of the Fresh Start program:
1. Tax Liens.
The Fresh Start program increased the amount that taxpayers can owe before the IRS generally will file a Notice of Federal Tax Lien. That amount is now $10,000. However, in some cases, the IRS may still file a lien notice on amounts less than $10,000.
When a taxpayer meets certain requirements and pays off their tax debt, the IRS may now withdraw a filed Notice of Federal Tax Lien. Taxpayers must request this in writing using Form 12277, Application for Withdrawal.
Some taxpayers may qualify to have their lien notice withdrawn if they are paying their tax debt through a Direct Debit installment agreement. Taxpayers also need to request this in writing by using Form 12277.
If a taxpayer defaults on the Direct Debit Installment Agreement, the IRS may file a new Notice of Federal Tax Lien and resume collection actions.
2. Installment Agreements.
The Fresh Start program expanded access to streamlined installment agreements. Now, individual taxpayers who owe up to $50,000 can pay through monthly direct debit payments for up to 72 months (six years). While the IRS generally will not need a financial statement, they may need some financial information from the taxpayer.
Taxpayers in need of installment agreements for tax debts more than $50,000 or longer than six years still need to provide the IRS with a financial statement.
In these cases, the IRS may ask for one of two forms: either Collection Information Statement, Form 433-A or Form 433-F.
3. Offers in Compromise/Tax Debt Settlement
An Offer in Compromise is an agreement that allows taxpayers to settle their tax debt for less than the full amount.
Fresh Start expanded and streamlined the OIC program.
The IRS now has more flexibility when analyzing a taxpayer’s ability to pay.
This makes the offer program available to a larger group of taxpayers.
Generally, the IRS will accept an offer if it represents the most the agency can expect to collect within a reasonable period of time.
The IRS will not accept an offer if it believes that the taxpayer can pay the amount owed in full as a lump sum or through a payment agreement.
The IRS looks at several factors, including the taxpayer’s income and assets, to make a decision regarding the taxpayer’s ability to pay.
Call us today for free initial tax consultation and we can walk you to the various IRS back tax debt relief programs.
We were A+ rated by the Better Business Bureau.
Tax Attorney, Tax Lawyer – IRS Back Tax Debt Relief Help – Affordable – Austin, Elgin, Boda, Lakeway
by Fresh Start Tax | Jul 7, 2014 | Tax Help
We are a full service tax firm that specializes in permanent and immediate IRS tax relief.
We are a professional specialty firm that only deals with IRS and state tax problems.
We have over 206 years a professional tax experience and over 60 years of working directly for the Internal Revenue Service.
We have worked in the local, regional, and district offices of the Internal Revenue Service.
Our staff is comprised of tax attorneys, CPAs, enrolled agents, and former IRS agents.
Tax Levy
We can get an IRS tax levy released within 24 hours of receiving your documented and verified financial statement.
IRS Tax Audit
You can have a former IRS agent / manager represent you during an IRS tax audit of any kind. we will appeal any case of consequence to assure you have the best possible settlement.
Tax Debt Settlement
We can go ahead and apply for a tax debt settlement for offer in compromise if you are a true offer in compromise candidate.
Back Tax Filings
We could also file all back tax returns with little or no records and work out a tax settlement at the same time if you owe back taxes.
Contact us today for free initial tax consultation and you could speak directly you true IRS tax expert who can show you the different ways to resolve your case on affordable basis.
We are A+ rated by the Better Business Bureau.
IRS Taxes -Tax Levy, IRS Audit, Tax Debt Settlement, File Back Taxes – AFFORDABLE – Austin, Elgin, Boda, Lakeway
by Fresh Start Tax | Jul 7, 2014 | Tax Help
It only makes sense to hire former IRS agents and managers to get your money back from the Internal Revenue Service and get an immediate and permanent levy release on an IRS bank or wage Levy garnishment.
After receiving your current financial statement we can get an IRS tax Levy removed as a general rule within 24 hours.
We are a team of tax attorneys, tax lawyers, certified public accountants and affordable former IRS agents and managers who know the systems, the protocols and know exactly who call and what to do to get fast tax relief.
We have over 60 years of direct IRS work experience and have over 206 years of professional work experience in this field.
We are A+ rated by the Better Business Bureau.
Tax Levy Releases
The Internal Revenue Service generally files two types of a tax levy.
A bank levy or a wage levy garnishment.
When the Internal Revenue Service sends a bank levy the bank freeze your account for 21 days.Your funds are only frozen. The Internal Revenue Service gives you a period of 21 days and which to get the levy release.A
An IRS wage levy garnishment is an immediate seizure in which the majority of your next paycheck will go to the Internal Revenue Service.
To get both the bank and wage garnishment levy release, the IRS will need a current and verifiable financial statement.
Once the IRS completely reviews your financial statement along with all surrounding documentation it will make a determination on a closing or exit strategy.
This can all be done within one day.
As a general rule the Internal Revenue Service will ask you for monthly payments or put you in a noncollectable hardship file.
You can contact us today and within 24 hours of receiving your current verifiable financial statement we can get a bank levy or wage garnishment levy released in your case settled with the IRS.
We are A+ rated by the Better Business Bureau and have been in practice since 1982.
IRS Tax Levy Help – Bank Levy, Wage Garnishment Levy *FAST- AFFORDABLE – Austin, Elgin, Boda, Lakeway
by Fresh Start Tax | Jul 7, 2014 | Tax Help
Weddings Mean Big Tax Changes
Taxes may not be high on your wedding plan checklist.
But you must be aware of the tax issues that come along with marriage.
Here are some basic tips:
Name change.
The names and Social Security numbers on your tax return must match your Social Security Administration records.
If you change your name, report it to the SSA.
To do that, file Form SS-5, Application for a Social Security Card.
You can get the form on SSA.gov, by calling 800-772-1213 or from your local SSA office.
Change tax withholding.
A change in your marital status means you must give your employer a new Form W-4, Employee’s Withholding Allowance Certificate.
If you and your spouse both work, your combined incomes may move you into a higher tax bracket.
Use the IRS Withholding Calculator tool at IRS.gov to help you complete a new Form W-4. See Publication 505, Tax Withholding and Estimated Tax, for more information.
Changes in circumstances.
If you receive advance payment of the premium tax credit in 2014, it is important that you report changes in circumstances, such as changes in your income or family size, to your Health Insurance Marketplace.
You should also notify the Marketplace when you move out of the area covered by your current Marketplace plan.
Advance payments of the premium tax credit provide financial assistance to help you pay for the insurance you buy through the Health Insurance Marketplace.
Reporting changes will help you get the proper type and amount of financial assistance so you can avoid getting too much or too little in advance.
Address change.
Let the IRS know if your address changes.
To do that, file Form 8822, Change of Address, with the IRS. You should also notify the U.S. Postal Service.
You can ask them online at USPS.com to forward your mail. You may also report the change at your local post office.
Change in filing status. If you’re married as of Dec. 31, that’s your marital status for the whole year for tax purposes.
You and your spouse can choose to file your federal income tax return either jointly or separately each year. You may want to figure the tax both ways to find out which status results in the lowest tax.
Note for same-sex married couples:
If you are legally married in a state or country that recognizes same-sex marriage, you generally must file as married on your federal tax return.
This is true even if you and your spouse later live in a state or country that does not recognize same-sex marriage.
