You had a balance due on your tax return and the IRS has sent you a notice. The first notice they send is a CP14. If you’ve never received a notice from the IRS before, the first one is always intimidating. This is the first of several in the balance due series. The notice is…
Your tax return is done but what happens if you have an unexpected balance due? If you’re not able to pay the tax you owe by your original filing due date, the balance is subject to interest and a monthly late payment penalty. It’s always in your best interest to pay in full as soon…
Looking for a last minute tax deduction? You may qualify for an IRA contribution. There are 2 types of IRAs: a traditional IRA and a Roth IRA. The biggest difference between a Roth and a traditional IRA is how and when you get a tax break: The tax advantage of a traditional IRA is that…
The phrase “injured spouse” has nothing to do with being physically hurt. In the tax world, you might be an injured spouse if you file a joint tax return when your spouse has past debts the IRS can collect. Even if you should be getting a refund, the IRS might use all or part of…
Anyone who owns their own business knows there are loads of financial benefits for entrepreneurs. All manner of tax write-offs, credits, and pro-rated terms for cars and home offices. All these point to a genuinely owner-friendly environment for taxation in the United States. There’s just one problem: too many business owners use the tax code…
There is a simple way to reduce your tax debt. Do you want to know what it is? Drum roll please. . .request the IRS to reduce your penalties. Yes, that it is. No, it is not applicable all the time, but for certain penalties and under certain scenarios, it works pretty well. It actually…
First let me congratulate you on deciding to tackle your tax debt. You won’t believe the amount of people that just want to bury their head in the sand (ostrich style) and forget about it. I am glad you are not one of them. So now let’s talk about another important step you need to…
You know the scene. You have seen it in hundreds of movies. Boy finally works up the courage to call his crush. When she answers the phone, he freezes. He opens his mouth, but nothing comes out. He can’t find his voice. She says “hello” several times, but he doesn’t respond. Girl hangs up the…
I love to cook and learn new cooking techniques. One of those techniques is the concept of “mise en place.” It is a French phrase, which means “everything in its place.” Every chef and professional kitchen implements this concept. The idea is that you prepare your cooking station before you start cooking. Make sure you…