Tax Matters - The Top Tax Defenders Blog

Just what you need in the middle of the holiday rush — tax planning activities. 

Taxes may be the last thing on your mind this time of year, but think of it as a Christmas present to yourself that will make tax season a little easier. 

So, you need to amend a tax return. Well, we all make mistakes. And sometimes documents show up after you try to be proactive about filing your tax return. 

A tax crime is something more severe than neglecting (or forgetting) to file your tax returns. You aren't committing a tax crime if you can't pay your taxes in full. Those are issues that can cause your tax debt to collect penalties, fees, and interest. Still, they don't rise to the level of criminal activity.

The IRS says if there is a federal tax lien on your home, you are required to satisfy it before you can sell or refinance.  The presence of other types of liens can make a home sale challenging, too. While it is possible to sell your home when you have a lien against the property, you are much better off paying your tax debt or other lien debt. 

ADP, a payroll services provider, reported that in 2017 one in fourteen American workers had wages garnished. 

Have you ever tried to get money out of your bank account only to find your account was frozen? You may have been under a bank levy. Bank levies are a tool for collecting on a debt. It sounds counterintuitive that a frozen account would help you pay the debt, but the account is only inaccessible to you.

Tax resolution — it sounds like something you make before a new year only for taxes, doesn’t it? Actually, tax resolution services are what you need if you have to resolve an issue with the IRS.

So you can’t pay your taxes. Don't start worrying about getting in trouble with the IRS yet. Did you know the IRS will let you set up a payment plan? That’s right, the IRS has lay-away! Well, not quite. You don’t get anything back when you pay your bill off except for the knowledge you are in good standing with the feds. 

There are times when you can do your taxes yourself, and there are times when it’s prudent to hire someone to help you.  It comes down to how complicated your taxes are and your comfort level in dealing with them.

If you haven’t filed your income taxes for a while, you are probably wondering what to do now. Should you continue your habitual non-tax filing behavior? Or should you throw yourself on the mercy of the IRS?