Monday, December 10, 2018

I’VE NOT FILED A TAX RETURN IN A FEW YEARS. HOW DO I START FILING AGAIN?

It’s Been A Few Years Since I Filed A Tax Return. Should I Start Filing Again?

Every year, millions of people ask themselves these questions.

“If I missed filing a tax return, am I better off just not filing ever again? Maybe the IRS won’t notice.”
“What will happen if I start filing again?”
“Why should I file again? Is the problem just getting worse while I ignore it?”
Let’s break down the reality of the situation when you have unfiled back tax returns – and exactly what to do about it.

DO YOU NEED IRS TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation



Three consequences of unfiled returns
When evaluating the costs of not filing your return, know these facts:

1. It’s illegal.
The law requires you to file every year that you have a filing requirement. The government can hit you with civil and even criminal penalties for failing to file your return.

2. Prepare to pay extra if you owe taxes.
The penalty for filing late is 5% of the taxes you owe per month for the first five months – up to 25% of your tax bill. The IRS will also charge you interest until you pay off the balance.

3. You can lose your refund.
If you were supposed to get a refund with the late return, you could lose the refund depending on how late you file. To get your refund, you have to file the return within three years of the due date.

Good news: There’s no penalty on a return with a refund (or zero tax balance), so don’t delay if you want that refund!

What to expect when you start filing again
Remember, the law says you must file all required tax returns. If you haven’t met that obligation, you should get back into good standing with the IRS. Learn how to file back tax returns with the IRS.

Here’s more about what happens when you file back tax returns.

You could be audited – not because your return is late, but because the IRS thinks the return has errors
The IRS will evaluate any back tax return you file in basically the same way it evaluates all returns.

The average return won’t dramatically increase your audit chances, especially if you earn Form W-2 wages and don’t have a complicated tax situation. In some cases, though, the IRS could select a back tax return for audit.

For example, let’s say you haven’t filed for three or four years and you suddenly file a return with several hundred thousand dollars of self-employment income. This would raise red flags for the IRS compared to other years – and the IRS would likely open an audit.

Your chances of being audited go up even higher if you file the return, but leave off income that has been reported to the IRS, such as Form W-2 or 1099 income. That makes it even more important to thoroughly and completely prepare back tax returns.

For most people, the further back in time you go, the less reliable your records are. If this is the case for you, don’t worry. There’s something you can do about it. You or an authorized tax professional acting on your behalf can research your account at the IRS. Your IRS transcripts will help you uncover and report all the income that’s been reported to the IRS.

In the unlikely event that the IRS selects your return for audit, the IRS auditor will require you to file all your back tax returns. Those returns will almost certainly be included in the audit.

But keep in mind, the overall audit rate is low. It’s in your best interest to file right away to minimize other problems like penalties and interest.

You’ll get your refund if there aren’t any issues
If you file your back tax return within three years of the return due date, the IRS will generally send your refund if you’re supposed to get one.

That’s assuming there’s no cause for the IRS to hold or take your refund.

If the IRS has already started a delinquent return investigation or inquiry on one or more of those years, the IRS will hold your current-year refund until you file the back tax returns or the IRS finishes its investigation. Delinquent return investigations can end with the IRS filing a return for you. (This is not a good thing.)

If you have issues like this, the IRS can freeze your refund or apply your current-year refund to any tax bill you owe – just like the IRS would for any taxpayer who owed back taxes.

Learn what to do if you can’t pay your taxes.

If you owe and can’t pay, the IRS will work with you
If you file a return and owe taxes, it’s always best to pay by the due date of the return to minimize penalties and avoid interest.

But in some cases, that’s just not possible.

If you haven’t filed all your required returns, you won’t have many options until you file them all. Delaying or not filing at all is a bad strategy. The IRS charges (or, “assesses”) a steep penalty for filing late. Add that to the penalty for paying late, and you’re adding as much as 25% to your tax bill.

But if you file the returns and get into a payment agreement with the IRS (like a monthly payment plan or other arrangement), you’ll get reduced penalties. You may even qualify for certain forms of penalty abatement.

The bottom line: It’s best to address tax problems sooner rather than later. Learn more about how to file back tax returns.

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization

Friday, December 7, 2018

SHOULD YOU WORRY ABOUT IRS MAIL AUDITS?

Most people think IRS audits are probably very bad.

Maybe you’ll have to sit in a cold, dark room with a suited and well-starched IRS agent who asks cutting — and maybe confusing — questions about your tax return and your income. All to prove you are a tax cheat.

Good news. For most people, this is far from reality. The IRS does 70% of audits by mail.

DO YOU NEED IRS TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation



But just because you get an IRS audit letter instead of an IRS agent at your door, the outcome may not be much different than a face-to-face audit with an IRS agent. In fact, in 2016, the IRS made a change to the return in 89% of all mail audits.

The average amount of additional tax owed in an audit is over $6,500, not including penalties and interest.

Face-to-face audits have only a slightly higher change rate: 92%. But because many face-to-face audits involve higher-income and business returns, the average additional tax owed is almost 10 times higher than in mail audits.

So, should you worry about your mail audit? Yes and no.
Don’t worry about dealing with the IRS in person
Most of the time, when the IRS starts a mail audit, the IRS will ask you to explain or verify something simple on your return, such as:

Income you didn’t report that the IRS knows about (like leaving off Form 1099 income)
Filing status
Dependents
Itemized deductions
Eligibility for credits
Just make sure to respond the right way
If you’re audited by mail, you’ll need to respond to the IRS by mail with a complete written explanation. That’s not nearly as intimidating as answering questions in an interview with an IRS agent, like in face-to-face IRS audits.

In most mail audits, the IRS is asking you to:

Provide receipts or documents to prove an item the IRS is questioning on your return.
Explain your circumstances.

If you provide these by the deadline on your mail audit notice, you’ll generally end up OK. And even if you don’t have receipts, your explanation may be enough to sway the IRS in your favor.

And remember, if you’re worried about going to jail for tax evasion, take heart. Most tax evasion cases start with more complex face-to-face audits. Mail audits shouldn’t cause the same anxiety as dealing directly with the IRS.

Worry about a mail audit if you don’t respond to the IRS completely and by the deadline
Many people wonder what happens if they:

Don’t respond at all.
Send an incomplete response.
Respond late.
Send multiple letters to the IRS.
Aren’t sure whether they’re responding correctly.
This is where it helps to know how the IRS works.

The IRS doesn’t assign your mail audit to one person. So, one IRS employee won’t be contacting you to handle the case and follow up. In fact, if you don’t respond, respond late, or respond incompletely, the IRS will likely just disallow the items it’s questioning on your return and send you a tax bill – plus penalties and interest.

Multiple responses confuse the IRS. That’s because a central processing center must combine all your letters to understand your position. But the IRS processes millions of taxpayer responses to audits and notices. If the IRS doesn’t properly associate all your letters, you could get a confusing notice that shows the IRS hasn’t incorporated one or more of your responses in its decision about your mail audit.

Taxpayers who aren’t totally sure how to respond often find the help of a professional who has experience in IRS mail audits and understands how to navigate the IRS and deal with the IRS for them.

How long it takes to resolve a mail audit: three months to more than a year
If you respond on time with one complete letter that explains your situation and provides documentation, you’ll get the best result in the quickest time. A mail audit can conclude in about three months if you follow this rule.

If you don’t, mail audits can stretch out for a year or more. If the IRS tax examiner decides that you owe more taxes, and even penalties, you still have some options. You can agree or ask the IRS Appeals Office to review your case.

IRS Appeals is not intimidating; they look at your case and any new information you have and will give you an independent analysis. Taxpayers often favor this second look.

If you end up owing more taxes, you don’t have to pay immediately
You can set up payment arrangements with the IRS, from extensions to monthly payment plans. And if you have a financial hardship, the IRS offers other arrangements that allow you to defer payment or settle.


GET TAX RELIEF HELP TODAY
If you think that you may need help filing your 2017 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization

Wednesday, December 5, 2018

THINGS YOU SHOULD KNOW BEFORE CALLING THE IRS - TAX RELIEF

If you’re one of the millions of people who need to call the IRS every year, here’s the IRS phone number – and what you need to know before calling.

Individuals: (800) 829-1040

Businesses: (800) 829-4933

TTY/TDD for people with hearing impairments: (800) 829-4059

These are the general IRS numbers, but you may need to call a specific number
If you’re calling about an IRS notice, call the number on the notice.

If you don’t have the notice, you could:

Navigate the IRS to find the number.
Use a tax pro who has a dedicated practitioner line.
Try calling the general number.
But know this: It’s hard to get to a person when you call the IRS
Expect wait time (or even a “courtesy disconnect ”), an automated phone tree, and a representative who will probably try to divert you to IRS.gov. Also, you may have a better phone number to call the IRS directly based on your issue.

DO YOU NEED IRS TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

***We have successfully resolved millions in back taxes for our clients

Here are four facts that can help you minimize or avoid this experience.

1. Don’t assume you even have to call.
Why? Two reasons:

There might be easier ways to get what you need. Before you jump right in, find out if you can get the information you need at IRS.gov. (See #2 for more.) Learn how to research your IRS account.

You can get someone else to call for you. It doesn’t have to be you. You can outsource this task to a tax pro with a simple form.

The more complicated your situation, the more likely that this is the right approach to take.

Tax pros know “IRS speak” and have a dedicated practitioner hotline to call. You can authorize a tax pro to completely deal with the IRS for you, or simply to get information on your behalf.

2. Know what you can (and can’t) accomplish with a call.
You already know you’ll get familiar with IRS hold music. But here’s some more helpful information.

What you shouldn’t call about

The IRS expects you to use IRS.gov as your main resource. So, on a call, the IRS won’t handle:

Tax law questions
Transcript requests (although you can visit an automated phone tree to order your transcript)
IRS forms
Refund status, if it’s been less than 21 days since you filed
Complaints about your taxes being too high
What you can call about

It can be productive for you to call, if:

You got an IRS notice (call the number on the notice).
You’re going to miss an IRS deadline and need to request more time (to pay off a tax balance, send information, or respond to an IRS notice).
The “Where’s My Refund?” tool tells you to call.
You need your tax payoff amount.
You have questions about your IRS payment plan (called an installment agreement).
You want to know the status of any IRS action (like a penalty abatement request, a payment correction, etc.)
You want to make sure the IRS received your payment.
You lost or never received your Form W-2 and/or Form 1099-R – or you got an incorrect one.


3. Call at the best time.
A good rule of thumb: Call as early in the morning as possible.

Phones are open from 7 a.m. to 7 p.m. (your local time) Monday to Friday, except:

Residents of Hawaii and Alaska should follow Pacific time.
Puerto Rico hours are 8 a.m. to 8 p.m. local time.
Wait times average 15 minutes (during tax season) to 27 minutes the rest of the year. Wait times are higher at the beginning of the week, during Presidents Day weekend, and close to the filing deadline.

4. Be ready with everything the IRS will ask about.
First, you’ll have to prove your identity with your name and Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).

Be prepared to provide your tax return information, including:

Name(s), dates of birth, and SSNs on the return
Your filing status
Possibly information from one of your information statements (Form W-2/1099)
Any letters/notices the IRS sent you
It’s best if you have your last filed return in front of you when you call.

If you’re calling for someone else, you’ll need the person there with you to speak with the IRS. Or, he or she can authorize you to make the call with Form 8821.

You can make the call more effective by:

Writing down your questions ahead of time
Recording the IRS representative’s name and badge number in case you need to reference the call later
Remaining courteous to the IRS representative
Writing down all the answers you get in as much detail as possible
Setting a deadline with the IRS if you need the IRS to take action (and follow up with the IRS if it doesn’t happen)

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization



Tuesday, December 4, 2018

FIND OUT IF YOU IN GOOD STANDING WITH THE IRS. NO NEED TO WALK ON HOT COALS WHEN HELP IS AVAILABLE - TAX RELIEF HELP!

In fact, the IRS Oversight Board reports that 59% of Americans fear the IRS. But that doesn’t change the fact that, every year, 43% of taxpayers (that’s 70 million people) need to get in touch with the IRS.

They may need to ask a question, understand more about their tax situation, or solve a problem.

For most people, their status with the IRS (good, bad, ugly?) is a complete mystery

DO YOU NEED IRS TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

***We have successfully resolved millions in back taxes for our clients



Why? Because the IRS doesn’t send you a tax scorecard telling you the details about your account history and the status of your compliance situation.

And it’s not always easy or quick to try to get your information directly from the IRS. You may have to wait on hold, jump through hoops online, or wait several weeks for your paper transcripts.

Here are four options to find out your status with the IRS.

1. Ask the IRS.


Call the IRS directly at (800) 829-1040, or go in person to an IRS Taxpayer Assistance Center.

But beware. The IRS doesn’t readily answer tax law questions about your situation. Phone lines will usually divert taxpayers to IRS.gov for answers.

Also, getting through to speak with an IRS representative isn’t always easy because of long wait times. If you’re successful, the IRS representative can provide you with information about your status.

Start with one simple question about your overall status: “Can you do a compliance check on my account to see if there are any outstanding issues?”

2. Get your IRS transcripts.

IRS transcripts (“IRS speak” for tax records) show your tax history, including tax returns you’ve filed, your income information, and your account activity.

Account transcripts can be particularly useful if you have questions about your status. You can see any:

Audits
CP2000 notices
Payment amounts and dates
Filing information
Penalties charged
And other activity on your account transcript
Learn more about IRS transcripts.

Words of caution:  If you have any issues with the IRS, such as audits or back taxes, transcripts don’t provide much insight into your status and interactions with the IRS. If you’re not sure what the transaction codes mean, it’s best to call the IRS to speak to a representative who can give you more details.

Transcripts are written from the IRS point of view and aren’t always easy to translate. You may want to consult a tax professional for help.

3. Research your IRS online account for tax information.


In your online IRS account, you can view tax bills, see payments you’ve made in the past 18 months, and download your transcripts. If your transcripts show any unusual activity, you’ll have to contact the IRS to learn more.

Tip: The IRS uses a complex set of authentication measures to verify your identity and allow you to set up an online account. Many taxpayers have trouble making it through that process. If you have trouble logging in, you’ll need to call the IRS or get a tax pro to help.

Learn how to research your tax account or outsource it to a tax pro.

4. Outsource the research to a tax pro.

Tax professionals have a special IRS hotline to get their clients’ account information. Experienced tax pros can interpret IRS transcripts and know if something is amiss. They can also interview IRS representatives to fully understand your tax situation – saving you time and potentially headaches.

How to get help
Understanding whether you’re in good standing with the IRS isn’t easy – but it’s important. That’s why many taxpayers get a tax professional to help them interact with the IRS, whether they have a simple question, want to do a compliance checkup, or need to solve a problem.

GET TAX RELIEF HELP TODAY
If you think that you may need help filing your 2017 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization


Wednesday, November 28, 2018

REASONS WHY YOU MIGHT HAVE GOTTEN AN IRS NOTICE INSTEAD OF A TAX REFUND.

Every year, millions of Americans ask, “Where’s my refund?”

Many of them find an answer at IRS.gov. But there are millions of others who expect a refund but instead get a notice – usually from the IRS – or a smaller-than-expected refund. If this happens to you, here are six possible reasons for this often unexpected change:

1. You or your spouse owe federal or state taxes.
This is one of the most common reasons the IRS lowers refunds. When you owe the IRS, the IRS has the right to take your refund to pay back taxes, penalties, and interest you owe. If your spouse owed taxes before you were married, the IRS can take your joint refund to pay for the past taxes.



If you owe the IRS or state, you’ll need to figure out:

How much you owe
Whether the IRS or state is correct about that amount
Whether you can do anything to lower it (or any penalties and interest)
If the IRS took your joint refund to pay for your spouse’s premarital tax debt, consider requesting your portion of the refund. This is called an injured spouse claim.

DO YOU NEED IRS TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

***We have successfully resolved millions in back taxes for our clients

2. You or your spouse owe other types of debt.
The IRS is required by law to take your refund or part of your refund to pay for certain other debts, including:

Delinquent child support
Delinquent student loan debt
Back unemployment compensation that shouldn’t have been paid
If you owe a government agency other than the IRS or your state tax authority, you’ll need to work directly with that agency. If you didn’t get a notice explaining where your refund went, call the Bureau of Fiscal Services at (800) 304-3107.

You can also file an injured spouse claim to get your portion of a joint refund when it was taken to pay these other types of debt, if that debt belongs only to your spouse.

3. The IRS thinks you made an error on your return.
The IRS can make certain changes to your return if the IRS thinks there was an error. For example, the IRS could adjust your return if your or your dependent’s name and Social Security Number (SSN) don’t match IRS records.

Or, if your return has an inconsistency, the IRS may change your return and send you a notice. This could be something as simple as the IRS denying a child-related credit when the taxpayer who took it doesn’t have children.

When the IRS thinks you made an error, the IRS will send you a notice. Notices can be confusing, so if you don’t understand exactly why the IRS made a change to your return, call the IRS or look closer at your tax account. You can start with the phone number on the notice. You can also get a tax pro to help determine whether the IRS was correct, and help respond with the information the IRS needs to correct the error.

4. The IRS is verifying that you qualify for a credit or deduction.
The IRS can hold your refund and send you a notice asking for proof that you qualify for a credit or deduction you claimed on your return. This commonly happens with the Earned Income Credit (EIC), when two people (usually former spouses) both claim the same child as a dependent. Another common example is tax identity theft (see #5).

You should provide the IRS with the information it needs, as soon as possible. Learn more about how to handle refund holds and return adjustments like this. Or, you can get in touch with a tax pro for help.

5. You were a victim of tax identity theft.
The IRS may send you a notice to verify that a return filed using your SSN is legitimate.

If the return was yours, respond to the notice so that the IRS will process your return and issue your refund.
If the return wasn’t yours, respond to the IRS by verifying your identity and making sure the IRS processes the return that you filed (not the fraudulent one).
6. The IRS is looking into another one of your returns.
If the IRS has opened a delinquent return investigation or has started auditing a return you already filed, the IRS may freeze your refund until that process is complete.

If you owe taxes because of one of these issues, the IRS will put your refund toward the taxes. If you don’t owe any taxes, the IRS will release your refund after it completes the investigation or audit.

Learn how to handle an IRS audit or back tax returns.

Best course: Respond quickly
Other issues can come up, even after the IRS has processed your return and issued your refund. Always open IRS letters right away and respond by the due date to get the best outcome.

Or, get help from a tax pro, who can help you get to the bottom of any missing or reduced refunds, and deal with the IRS for you.

GET TAX RELIEF HELP TODAY
If you think that you may need help filing your 2017 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization