IF you have offshore bank accounts, should you report the accounts to the US government? Yes, if the aggregate balances exceed $10,000 at any time during the year. What if…

1. CAPITAL assets include almost everything you own and use for personal purposes, pleasure or investment. 2. The following are capital assets: your home, household furnishings and stocks held in…

HERE are the top 10 things the Internal Revenue Service wants you to know about this valuable credit: 1. If you qualify, it could be worth up to $6,143 this…

• AMOUNT of exclusion. When you have gain from the sale of your home, you may be able to exclude up to $250,000 of the gain from your income. The…

HERE 10 tips if you owe but cannot immediately pay the IRS: • Pay What You Can: Pay promptly to stop additional penalties and interest from accruing.  If you are…

IF you paid someone to care for your child, spouse, or dependent, you may be able to claim the Child and Dependent Care Credit on your federal income tax return….

MARRIED couples buying property are asked to decide how they should hold title: • Joint tenancy or • Community property. Basically, it is a choice between the ease of transfer…

WHEN buying real estate, there is always that inevitable question: how do you hold title? Remember that your choice can have dramatic impact on estate taxes, liability protection, heirs, family…

MEDIA coverage on IRS abuses and subsequent tax laws put pressure on the Service to revamp the Offer in Compromise (OIC) program for taxpayers who could not pay their tax…

AN offer in compromise (OIC) allows you to settle assessments for tax, penalties, and interests at less than the assessed amounts. You can apply for an OIC if there is…

IF you fail to file on time or pay on time, penalties kick in. Here are 10 reasonable causes to abate (forgive) penalties for late filing or late paying: 1….

IF you have not filed your income tax returns by the end of March, chances are you do not expect a refund, your tax records are a mess, or you…

THE Treasury Inspector General for Tax Administration (TIGTA, an agency that oversees the IRS) instructed the IRS to expand audits to prior and subsequent years. This means that if IRS…

1. MAIL your payments to be received on time. The monthly due date is the date of receipt at the IRS Service Center, not the date of mailing. 2. Use…

(Part 2 of 2) THE Internal Revenue Service (IRS) announced a major expansion of its “Fresh Start” initiative to help struggling taxpayers by providing: • Offer in Compromise (OIC) –…

TOO good to be true? Perhaps, but read on. The IRS cannot deny your application if you satisfy all of the following requirements: 1. The tax is not more than…

IRS audits have been dominated by examination of Schedule C for taxpayers who conduct their businesses as sole proprietors (instead of corporation or LLC). This includes professionals, technicians, and independent…

How long do you have to keep tax records? How long can the IRS audit your tax returns? Let’s discuss 10 tips on statute of limitations so you can clean…

The IRS issued new guidance requiring individuals with an interest in a “specified foreign financial asset” to attach a disclosure statement to your income tax return for any year in…

New Foreign bank account rules were designed to combat money laundering, terrorism, and tax evasion. Unfortunately, folks like you and me get snared in the process. We get penalized if…

IF you have offshore bank accounts, should you report the accounts to the U.S. government? Yes, if the aggregate balances exceed $10,000 at any time during the year. What if…

THERE are three basic types of IRS audits: correspondence, office, and field examinations. Today’s topics are correspondence audits, the simplest of the three. Here are 10 tips for you: 1….

Choosing the proper entity for your business (Part 4 of 5) LIMITED LIABILITY COMPANY (LLC) is a hybrid that combines the pass-through attributes of a partnership with the limited liability…

Choosing the proper entity for your business (Part 3 of 5) S CORPORATION is a corporation that has elected to be taxed under Subchapter S of the Internal Revenue Code. This…

Choosing the proper entity for your business (Part 1 of 5) YOU have decided to go into business for yourself. Should you operate as a sole proprietorship, partnership, corporation, LLC, or…

YOU have just received an invitation to the offices of the Internal Revenue Service. They want to examine your return. Don’t panic. All these years, you have stashed funds for…

SHOULD you attend an IRS audit? Yes, I mean, you – your own  audit. Well, you don’t have to. This is always a strategic question that should be discussed at…

YOU have just lost an audit and have decided to bring your case before the appeals office of the IRS. You have learned the basics of the appeals process and…

THERE are three basic types of audits: correspondence, office, and field examinations. Correspondence audits are the simplest ones – W2s, 1099s and other items that can be easily resolved by…

IF you run your own business, consider employing your children this summer vacation. Employing your children gives you a triple benefit: 1. It teaches your children the virtue of work…