When it comes to dealing with the Internal Revenue Service (IRS), the old saying “The Devil is in the details” holds true. Businesses that are flagged for a tax audit will find the details matter.
In a move that seems to provide fodder for countless “knock knock” jokes, the Internal Revenue Service (IRS) recently announced it will increase the use of in-person visits to ensure taxpayers are in compliance with their tax obligations. As a result, that person knocking on your door who says they are from the IRS may be telling the truth.
The Internal Revenue Service (IRS) recently announced an increase in investigations of syndicated conservation easement transactions. The agency has stated it will focus on falsely inflated deductions.
President Donald Trump’s administration touted the Tax Cuts and Jobs Act (TCJA) as a major break for taxpayers. The administration stated the law, the biggest reform to the tax code in decades, would lead to big tax savings. For some individuals and businesses, it did. For others, not so much. Regardless of the impact, one concern connected to the TCJA and the many changes it resulted in within the tax code could soon become a reality: audits may increase.
Tax debt can quickly become unmanageable. Three tips for those who are struggling to manage this form of debt include:
The Internal Revenue Service (IRS) recently conducted a survey of taxpayers. The survey, tilted the Comprehensive Taxpayer Attitude Survey (CTAS), focused on taxpayer’s feelings regarding their tax obligations and included a review of 2,008 responses from the general public.
A recent report finds the rate of audits conducted by the Internal Revenue Service (IRS) is on the decline. This is particularly surprising when taking into account the tax gap, or difference between the amount of taxes the Internal Revenue Service (IRS) should have collected and the amount actually collected from taxpayers is 82%.
When people hear about the Internal Revenue Service (IRS), they often think of taxes and audits. Occasionally, it is not the taxpayers that get audited. Occasionally, the IRS gets audited.
The IRS did a commendable job of starting the 2019 tax season on time. Generally, one of the peaks in the season occurs right away with those expecting refunds wasting no time to get their money back.
Last year, the IRS audited about 1 million tax returns. While overall the 0.5 percent rate is low, the rate increases for high income earners. On the other end of the spectrum, those who claim an Earned Income Tax Credit (EITC) are also more likely to get an audit notice.