There are several key factors to take into consideration when determining the statute of limitations. In some cases, when the IRS issues a summons to a third party, the statute of limitations may be extended. Determination of a due date of a tax return, including extensions, is the first step. Different types of entities have... Read More

Many married taxpayers choose to file a joint tax return because of certain benefits this filing status allows them. When filing jointly, both taxpayers are jointly and severally liable for the tax and any additions to tax, interest, or penalties that arise from the joint return even if they later divorce. Joint and several liability... Read More

If you have a tax liability that you cannot fully pay, you may qualify for an Offer in Compromise. Moreover, there are collection alternatives to fully paying an IRS debt. An IRS Offer in Compromise (offer) is an agreement between you (the taxpayer) and the IRS that settles a tax debt for less than the... Read More

IRS Tax Tip 2019-149, October 24, 2019 Taxpayers should be on the lookout for new variations of tax-related scams. In the latest twist on a scam related to Social Security numbers, scammers claim to be able to suspend or cancel the victim’s SSN. It’s yet another attempt by con artists to frighten people into returning... Read More

Doubt as to liability exists where there is a genuine dispute as to the existence or amount of the correct tax debt under the law. These offers are different from Doubt as to Collectability since they are not based on the ability to pay the outstanding liability. Therefore, if you don’t believe you owe a... Read More

If you are a U.S. person (other than an organization described in section 501(c) and exempt from tax under section 501(a)) who received large gifts or bequests from a foreign person, you may need to complete Part IV of Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts. The... Read More

IR-2020-225, September 30, 2020 WASHINGTON — The Internal Revenue Service issued final regulations PDF on the business expense deduction for meals and entertainment following changes made by the Tax Cuts and Jobs Act (TCJA). The 2017 TCJA generally eliminated the deduction for any expenses related to activities generally considered entertainment, amusement or recreation. However, taxpayers may still deduct... Read More

There are times where you agree you owe the IRS, but you can’t pay the liability in full or make monthly installments due to your current financial situation. If the IRS agrees you can’t both pay your taxes and your basic living expenses, it may place your account in Currently Not Collectible (CNC) status. While your account is in... Read More

R-2020-216, September 21, 2020 WASHINGTON — The Treasury Department and the Internal Revenue Service today released the last set of final regulations PDF implementing the 100% additional first year depreciation deduction that allows businesses to write off the cost of most depreciable business assets in the year they are placed in service by the business. The 100% additional... Read More

IR-2020-207, September 10, 2020 WASHINGTON — The Internal Revenue Service today urged individuals who owe taxes but have not yet filed for 2019 to act now to avoid larger penalties that, by law, start after September 14. The tax deadline was July 15 this year. Taxpayers who submitted an extension have until October 15 to... Read More