Robert J. Fedor, Esq., L.L.C.

Back Taxes or Tax Debt Archives

Penalties and interest: how they impact tax cases

There are many phrases that, when associated with taxes, bring about nightmarish thoughts in a taxpayer. Penalties and interest are two of these phrases, among many, that can cause people to think that their tax filing is in a lot of trouble. Knowing what these terms mean in relation to taxes is very important, so let's talk about penalties, interest and taxes.

Seeking relief from the IRS for a spouse’s tax mistakes

For couples who file taxes jointly, it isn’t enough to let a spouse take care of the taxes and sign on the dotted line when he or she is done. One very important reason for this: you can be held responsible for errors your spouse commits on a tax return. This can lead to fines and possibly other penalties, so it isn’t just a matter of getting a slap on the wrist and a reminder to pay better attention next time.

April 15 is not the only deadline taxpayers need to worry about

Tax season is in full swing. Many taxpayers in Ohio have already filed their state and federal income tax returns. For those who have not, the April 15 deadline is approaching quickly. The tax code is not a body of law easily deciphered, which is why many people seek the assistance of tax professionals to help them file.

What happens if I can't repay my tax debt?

Individuals who fail to file or pay their taxes may do so for a number of reasons. For many, fear is a motivating factor. An individual may know that he or she simply isn't able to pay their tax debt. Afraid of the potential consequences that may result from filing one's taxes and not being able to pay the IRS tax bill, some individuals may cling to the hope that the IRS will somehow forget both they, and their tax debt, exists.

Yes, the IRS can and will put a lien on your property if you don't pay back taxes

In a recent post we discussed an IRS-issued document called a Notice of Underreported Income. In this post we'll discuss another, more serious, type of notice an individual who has failed to respond to previous IRS inquiries may receive, a Notice of Federal Tax Lien.

What should I do if I receive a Notice of Underreported Income from the IRS?

We've previously discussed how complex and confusing tax laws and regulations can be. As a result, many people who attempt to complete and file their own tax documents make mistakes. Tax errors related to earned income totals are common and when the IRS catches a discrepancy in reported income, and you can be assured they will, a taxpayer receives what is known as a Notice of Underreported Income.

Business owners: beware the Trust Fund Recovery Penalty

We've previously discussed some of the red flag actions, or inactions, that are likely to get the IRS's attention. For small business owners, tax obligations are not only financially burdensome, but also confusing leading some to make costly tax mistakes.

Why you shouldn't ignore that tax mistake

For individuals who have been at the same one job and owned the same home for years, filing a tax return is fairly simple. However, for individuals who own a business, work multiple jobs, freelance or moved to a new state for a job; tax matters can quickly become complicated and confusing. The more complex an individual's income sources and structure, the more complex things typically become come tax time.

Additional advice on how to effectively communicate with the IRS

In our last blog post we provided some helpful dos and don'ts taxpayers should keep in mind when dealing with the IRS. In this post, we'll continue to explore this topic and discuss ways taxpayers can minimize the frustration and stress of answering IRS requests or dealing with an IRS audit.