Tax Matters - The Top Tax Defenders Blog

The government has a vested interest in keeping businesses afloat and people employed. When companies and their workers fare well, they in turn contribute to the economy.

Nobody wants to think about taxes during the holiday season. Still, one of the best New Year's resolutions you can make is to take some critical tax moves now that will pay off come April 2020.  

The chances of being selected for an IRS audit are rare for most taxpayers. However, if you have good reason to believe that your return will be audited this year, you may wonder what you should be doing now to ensure the best possible outcome. These five crucial steps can help you get ready if or when you are chosen for an IRS audit.

Creditors are ready to take whatever steps are necessary to collect on money that is owed to them. When you are unable to pay off a debt entirely, your creditor may petition the court to have your wages garnished.

The IRS has the duty to make sure you pay every cent that you owe in taxes. When you have an outstanding tax debt, the IRS will utilize a variety of collection methods to settle the amount.

When you owe multiple creditors, you may find it difficult to keep up on payments and get your accounts paid off in full. Despite your best efforts to pay, your creditors may choose to garnish your wages.

Close to a million taxpayers owe the IRS money at any given time. While the IRS makes sincere attempts at collecting each penny owed to the government, in reality it does not have the resources to pursue each individual debtor.

 

People who own bars, restaurants, and other businesses that employ tipped staff must make sure that they pay enough money into Social Security and Medicare. The amount that they pay is based off the amount of money in tips that their employees earn.

The lore of the IRS audit has taken on a life of its own. The fallacies surrounding the auditing process have fostered countless fears in people who simply want to file their taxes and stay off the IRS' radar for another year.

People who owe the IRS money sometimes fail to appreciate the lengths that this organization will take to recover a debt. Along with sending letters to debtors and attaching liens to bank accounts, the IRS will also seize a wide variety of assets.

Despite having relative leeway when it comes to seizing your property, the IRS cannot touch all of your assets, however. When recouping what you owe to the government, this organization cannot legally take these valuables from you.