Is it easy to get the IRS to agree to an offer in compromise? The IRS is not in the business of settling tax debt for pennies on the dollar. In fact, the idea promoted on the TV and radio that it is easy to complete an IRS offer in...
New Case May Offer Some Protection from IRS Collection of FBAR Penalties
A recent court decision may provide taxpayers relief and protection from IRS collection of FBAR penalties based upon a 3 year statute of limitations. The US Tax Court has issued its first decision of 2018 which considered whether FBAR related collections by the IRS could go back six years. The...
Caterpillar Battle with Taxes – The IRS Isn’t Always Right
What does Caterpillar's ongoing battle over taxes have to do with business here in San Diego? It may surprise you to know the IRS isn't always right and in fact often misinterpret Generally Accepted Accounting Principles (GAAP) and even US tax code. Our office is often forced to stand up...
California FTB Audits on the Rise
The California Franchise Tax Board or FTB is increasing the number of tax audits it conducts due to increased information available through new systems, as well as information sharing with the IRS, Employment Development Department or EDD and other federal and state agencies. Annually, the FTB is up to more...
FTB Increases Audit and Collections Capabilities
The FTB's investment in new IT systems is starting to pay off for the California tax agency. The FTB increases audit and collections capabilities thanks to the integration of several IT platforms that allow the agency to collect more information "upstream" that inform FTB agency actions after returns are submitted....
Will the US House Limit IRS Ability to Seize Your Bank Account
The US House of Representatives is expected to vote on a broadly supported bill this week that is designed to limit IRS ability to seize your bank account and freeze assets. The constitutional power given to the IRS to aid in the collection of unpaid taxes is known as "Civil...
The IRS Statute of Limitations on Collections Can Be Longer than 10 Years
What is a "statute of limitations" and how does it apply to debts you to the IRS? If you are a target of IRS collections, how long does the IRS have to collect a valid tax debt? Is it possible for the IRS statute of limitations on collections to be...
Can the IRS Take Your Passport for Unpaid Taxes
When can the IRS take your passport for unpaid taxes, and does that prevent you from international travel? Yes, the IRS has the power to take many actions to collect unpaid US taxes including the ability to take away your passport. At present, you must owe the IRS $50,000 or...