Tax Matters - The Top Tax Defenders Blog

Choosing the best tax filing status can be a challenge if you are not certain which one applies to your situation. If you choose the wrong status, you could owe more money than necessary to the IRS. You may be able to lower your tax rate and get a higher standard deduction if you meet these criteria for filing Head of Household.

When you owe the IRS a large sum of money, you may fear that you will never outlive the debt. You may foresee a future of payments that extend well into your middle age or retirement. Before you despair of being clear of your back taxes, you should understand these four important aspects about the IRS collection time frame.

Among the things that married couples share, their tax returns can be the most damaging if one spouse fraudulently or falsely reports information to the IRS. This person's actions could adversely affect the other spouse, who may be unfairly held liable for any money owed to the government.

You may have breathed a sigh of relief as this year's tax season passed. As tempting as it may be to forget about your financial specifics right now, the time has never been better to start preparing for next year's taxes.

People who work as tipped employees must report both their regular income and their tips from each shift as income. If you work as a waiter or waitress, a casino poker dealer, a valet, bus boy, or as another commonly tipped worker, it is important that you know how and when to report your tips to your employer and to the IRS.

The tax man comes for everyone, even people who are wealthy and famous. In fact, despite having more money that most people in the country, the rich and famous run afoul of the IRS just as often as everyday people. Hollywood heavyweights must follow the U.S. tax codes just like everyone else and sometimes find themselves being audited for violating U.S. tax codes.

Business owners typically hope to yield more profits than losses each year. When they do lose more money than they gain, they incur what is known as a net operating loss, or NOL. NOLs can have different tax implications for business owners because the IRS typically will refund some or all of the losses. It is important that they understand how to determine any NOLs their businesses sustained and what to do with these losses after they file taxes.

The IRS allows cash-strapped taxpayers several different options to resolve their back taxes. They can either make an Offer in Compromise, or OIC, or they can request that their accounts be put in a Currently Not Collectible, or CNC, status. You can determine which of these options is best for your own delinquent tax situation by learning the basics of both choices.

Scammers and hackers are always on the lookout for the perfect opportunity to steal people's private information. As people rush to file taxes and cash in on substantial refunds they are often unaware that they leave themselves open to scams that could jeopardize their identities and their tax returns.