Tax Compliance

Every year the Internal Revenue Service issues optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes. Starting on January 1, 2013, the stand mileage rates for the use of an automobile...

The Internal Revenue Services is strict when it reviews child tax credits. The tax law allows a deduction for each dependent the taxpayer is supporting. A dependent is defined as a qualifying child or qualifying relative under Section 152 (a).

Each tax season taxpayers have to choose to between standard and itemized deductions. It is smart to compare the two methods, and pick the one that gives you the largest tax benefit. The following are some tax tips to help you choose.

Having your tax lawyer revising your Form 1040, U. S. Individual Income Tax Return, is done if information reported on the form is incorrect and changes the tax calculation. Filing an amended return is the correct action to take if your original return is incorrect in the amount of income, filing status, number of dependents, deductions, or credits.

The goal of IRS and state tax agencies is to get the tax money that is owed to them. Toward this end, they offer programs to make it easier for people who can’t afford to pay their taxes in a single lump sum to be able to pay what they owe. If this describes your situation, you may qualify for such a program that will allow you to pay your full tax debt off over time or to pay less than you owe in taxes.

Every month I am contacted by a new client who has a tax issue from the 1990's, or early or late 2000's. That makes having a tax records retention policy a very important issue since the tax issue can be very old. You may wonder if it is even possible to have a tax issue going back that far in time.

If you suspect you may be investigated for a criminal tax matter, the best thing to do may be to come clean with a voluntary disclosure. The IRS's Voluntary Disclosure Practice may be able to help you prevent or reduce criminal prosecution for past actions related to IRS code violations. However, you should never take this step without consulting with an attorney — to get help now, contact us today at the Timothy S.

The Internal Revenue Service (IRS) has recently introduced significant measures aimed at addressing potential issues related to the Employee Retention Credit (ERC), a vital pandemic-relief tax credit. This comprehensive guide explores the IRS's new voluntary repayment option, delves into the consequences associated with incorrect ERC claims, and outlines proactive steps businesses can take to rectify errors and ensure compliance.

In the intricate landscape of business operations, small business owners face a daunting challenge – navigating the complexities of IRS and NYS tax obligations. It's not merely a puzzle; it's a dynamic challenge that requires constant attention and strategic navigation. The ever-evolving nuances of tax laws, regulations, and compliance requirements create a landscape where the missteps of noncompliance can have profound financial and legal consequences.

Nothing’s quite as alarming as finding out you’re in violation of a law that you didn’t know existed. If you have foreign bank or financial accounts, you may be required to file an FBAR every year. Failing to do so could mean paying tens of thousands of dollars in penalties. However, you do have options.

Individuals who intentionally evade taxes can face criminal charges and potentially go to jail. Tax fraud and tax evasion are felonies, with penalties including fines and imprisonment. Nearly two-thirds of people convicted of tax fraud receive prison sentences, averaging 16 months. The IRS Voluntary Disclosure Program allows taxpayers to file back taxes and avoid prosecution if they voluntarily disclose their failure to file and make an honest attempt to pay.

If you fall behind on your New York State taxes, file incorrectly, or engage in fraud, the Department of Taxation and Finance (DTF) may add a wide range of penalties to your tax bill. By understanding the penalties you may be charged and learning more about the Department’s expectations for taxpayers, you can stay compliant with all state tax requirements and minimize the risk of penalties.

Not reporting your cryptocurrency gains or losses will impact you in the same way that not reporting gains or losses from stocks affects you. In other words, if you have losses, you miss out on tax benefits, and if you have gains, you will incur penalties or other consequences due to failure to report income.

Filing a New York State income tax return can seem straightforward until a taxpayer runs into one of the issues that repeatedly cause mistakes: residency questions, New York City or Yonkers tax, part-year residency, missing schedules, incorrect withholding entries, or confusion about whether a federal filing step also takes care of the state return.

The IRS has no statute of limitations for unfiled tax returns, meaning it can assess tax at any time, although taxpayers who voluntarily come into compliance are typically asked to file the most recent six years. This guide explains how unfiled returns affect audits, collections, penalties, refund deadlines, substitute returns, and the steps taxpayers can take to resolve past-due filings.