Tax Issues and Problems Information
When you're going through bankruptcy, dealing with tax issues can take on added complexity. It's essential to work with a qualified tax attorney who understands the complexities of bankruptcy laws as well as federal, state and local tax codes. An experienced attorney can assist you by:
- Discharge your Tax Debt
- Representing you before the IRS, as well as state and local taxing authorities.
- Filing appeals on your behalf.
- Submitting an Offer in Compromise.
- Assisting with tax liens.
- Communicating with local, state or federal tax agencies.
- Preparing and submitting legal forms and documentation.
- Keeping you apprised of all options.
If you owe a significant federal tax debt that you cannot pay, a qualified tax attorney can assist you in determining whether bankruptcy is an option. Below, you'll find blog posts on a variety of tax-related topics.
The football season officially ended with the Super Bowl last night in the first overtime game in Super Bowl history. Now the season that no one wants to come is here. Tax return season. There is one tax preparer now advertising filing your returns and getting your taxes won. An interesting catch phrase for sure, but what is most important is getting the tax return done correctly. Every year our firm gets asked the question about receiving a 1099-C form from a creditor and what to do about it. The Internal Revenue Service is driven by the use of forms…Read More
As we finish the first month of the new year, tax season is starting to pick up. By now many people have gotten their W-2’s or other tax forms from 2016 and they’re ready to file for their 2016 income tax returns. If you’re in bankruptcy, or considering filing for bankruptcy, how will that affect your refund? First, it is important to know that the bankruptcy court has the authority to require you to pay your income tax refund into your bankruptcy case. However, not every jurisdiction will enforce this rule. Where I normally practice, in the Northern District of…Read More
Are you stressed to meet the deadline to file your taxes today or relieved that you already filed your return? If so, today may be a day of freebies for you. Several companies are offering tax day freebies today which include: Get one free cookie today from Great American Cookies Get one free small sandwich with a purchase of a 32-ounce drink and a bag of chips from Schlotzky’s Deli today. From 6:00 a.m. to Midnight today, Krystal’s is offering discounted hamburgers and cheeseburgers Single cheeseburgers are half-price at Sonic Do you owe taxes that you cannot pay this year?…Read More
As we are celebrate 2016, we are all quickly reminded that it is tax time. Once again, it is important that you stay diligent in making sure that your tax preparer is reflecting accurate information on your tax return. BEWARE of tax preparers promising you a large tax refund without reviewing your income. It is important for you to understand that if you allow a tax preparer to file a tax return for you and you sign it either physically or electronically you have done so under penalty of perjury. So… what does it mean if a return is filed…Read More
Income tax refund season is right around the corner. Many Americans have come to rely on their tax refunds to help out with the basic necessities of life such as clothing, utility services, and needed medications. If you are facing that situation and struggling to make ends meet, you may be thinking about the possibility of filing a bankruptcy case to address your situation. You may be wondering whether you will lose your income tax refund if you do decide to file a bankruptcy case. And that is a legitimate concern. Especially if you rely heavily on your tax refund,…Read More
A five million dollar judgment would most likely be a large enough debt to send someone into bankruptcy, but not necessarily someone like Curtis Jackson, AKA 50 Cent, the rapper reportedly worth $155 million dollars. However, the bigger issue for him was owing back taxes. Most tax issues that force someone into bankruptcy are a result of more than several years of taxes owed and even not having filed those same tax returns. Many clients that I have represented over the years have owed back taxes to the IRS and the State of Alabama and believed that there was not…Read More
The holiday season is upon us once again. This time of year, many people are motivated to give to charities. While there are many obvious benefits to charitable giving, one additional benefit to the giver is that their contribution might entitle them to a charitable contribution deduction against their income tax. Deductions Depend on Tax Bracket The gift to a charitable organization is entitled to a deduction if you itemize your deductions. The cost of the donation is basically reduced by your tax savings. As the income tax bracket increases, so does the amount of savings. For example, the actual…Read More
Through the years, I have seen several common pitfalls for clients in Chapter 13 bankruptcy involving tax-related debts. Failing to File Tax Returns The Bankruptcy Code requires that you provide the last four years tax returns that you were required to file. The most common reason I hear from a client on why they did not file the return is that they could not afford to pay the accountant or they could not afford to pay the tax debt owed. It is so important to file the return timely!! Even if you cannot pay the taxes owed, you still need…Read More
In a few days, Halloween will be in the rear view mirror as will the month of October and as we all know the holiday season of Thanksgiving and Christmas will then be on us and then over in a blink of an eye. As Ben Franklin pointed out, there are only two things that are certain in life and if you are alive and reading this blog the other thing is what I am talking about. So as the title has already given away, the inevitable Tax Season is approaching rapidly and here are some tidbits to keep in mind as…Read More
A common misconception held by some people is that you cannot include tax debts that you owe to the IRS in a Chapter 13 debt consolidation plan. Owing the IRS can be very scary and the IRS can make life difficult for you in their efforts to collect tax debts. The IRS often utilizes tax liens against your property and bank levies against your accounts to collect delinquent taxes. But if you are facing a situation where you do owe IRS for past due taxes, all is not lost. First and foremost you should NOT ignore the situation. It’s not…Read More