What Happens If You Owe The IRS and Can’t Pay?
Basically, with a few exceptions, if you owe money in the United States and make a good faith effort to reconcile with your debtor in a reasonable amount of time; whether that reconciliation takes the form of a payment-plan agreement, a lump-sum payment, or a declaration of indigence, you can remain relatively safe from prosecution that results in jail time or worse. It’s when you...
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Seizure of Stimulus Checks & The IRS
The Stimulus Checks are a huge topic of discussion, confusion, panic, and speculation, all over the United States. From pondering whether or not you’ll even get one, to being insulted that the government is trying to make you feel good about being given your own money, there’s a lot of questions the people want to have answered. What if you owe the IRS money? Can...
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What is an Installment Agreement (IA)
Do you have an outstanding tax debt? Are you struggling to pay in on time? If paying your tax debt in full is not possible, the most common payment plan is the monthly Installment Agreement (IA). There are 4 types of installment agreements: guaranteed, streamlined, partial payment, and non-streamlined. If you owe $50,000 or less, you may be eligible for an IA payment plan for...
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What is Innocent Spouse Tax Relief
Innocent spouse relief allows you, the taxpayer, to be relieved of the responsibility for paying tax, interests, and penalties if your spouse (or former spouse) incorrectly reported or omitted items on the tax return. This responsibility would be both joint and individual for any tax, interests, and penalties that do not qualify for relief. Therefore, the IRS can collect these outstanding payments from you, your...
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What is Offer in Compromise? (OIC)
There may be times when you’re unable to pay your taxes in full. But don’t be fearful if you find yourself in this situation. If the IRS imposes a Notice of Tax Levy (seizing of your assets) against you, there are various methods available to you to prevent the seizure of your assets. An offer in compromise (OIC) is an arrangement between the IRS and...
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The 4 Most Common Tax Scams to Be Aware Of
Are people contacting you, making demands, saying they want their money now? Don’t be the one to fall for these tactics. At MWB Tax Solutions, we know that scammers are lurking particularly during tax season. Here are four ways they try to take advantage of innocent taxpayers like you. 1. Fake IRS Agents If you receive a call filled with threats of arrest, deportation or...
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4 Ways to Avert Fraudulent Taxes
These simple steps can save you from scammers and protect you from getting hacked. 1. File Early Everyone wants to get a refund as soon as possible. The only way to get refunded is to file early. In that way, it’ll be very difficult for scammers to get to your funds before you do. 2. Be Meticulous with Passwords Avoid passwords that include your birthday,...
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Common Challenges for Taxpayers
It’s tax time again and there are a lot of factors that can impact your tax returns. If you haven’t filed yet, don’t wait for March or April. Now is the time to start the process. There are some challenges that taxpayers can run into especially if they are new freelancers or self-employed. Read on for some common challenges to be aware of and possibly...
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How to Avoid Tax Scams
There are several ways scammers try to con people out of their money. They especially love to prey on people during tax season. So it is important to remain alert. Here are some popular strategies scammers use. 1. Asking for credit or debit card information over the phone or via email If you owe taxes, the IRS sends a paper bill in the mail before...
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Possible IRS Challenges during the 2020 Tax Season
Acting National Taxpayer Advocate Bridget T. Roberts reported that the IRS is among the lowest-performing federal agencies in providing a positive customer experience. In her 2019 Annual Report to Congress, she noted several issues affecting the IRS in providing a positive consumer experience and outlined some of the issues taxpayers can look out for in the coming 2020 tax season. We’ve highlighted the top five...
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