Tax Matters - The Top Tax Defenders Blog

Many taxpayers would never entertain the idea of going up against the IRS alone. They know that in most cases they would never win such an uphill battle to resolve their tax debt.

Having an IRS tax lien on your credit record can be devastating. Because it can stay on your record up to seven years after you pay off or settle the amount, you may have a difficult time getting financed for loans, credit cards, and other financing.

Millions of people look forward to tax refund season each year. This once a year financial windfall helps people get caught up on bills and buy consumer goods that they have been wanting for months.

When your money is delayed, however, you want to know what went wrong with its processing. Rather than wait for the IRS to contact you, you can take these proactive steps to track down your refund.

Determining if Funeral Expenses Can be Tax Deductible

Even the most humble of funerals can come with hefty price tags. In fact, many people find it difficult to cover the cost of a funeral without experiencing at least a minor financial hardship.

To relieve the financial burden of the remaining family, many people wonder if their relative's funeral expenses are tax deductible. They can determine this information well before filing a tax return by learning when these costs can be deducted on a tax return and when they must be omitted.

When you owe a debt to the IRS, you have every obligation to resolve it by any means possible. If you fail to pay your outstanding balance, the IRS will notify you of its intent to levy.

Before you receive this notice, however, you would do well to understand what this action could lead to and how it can impact your life. You also should learn what you can do to prevent the IRS from levying your money and your assets.

Understanding the IRS Tax Collection Process

Owing the IRS money can differ from being indebted to other creditors. Because the IRS is a government agency, it can take action against you without needing a court judgment.

Qualifying and Applying for a First-Time Tax Penalty Abatement

The IRS takes its obligation to collect tax revenue very seriously. Nonetheless, it may offer a proverbial olive branch to taxpayers who fail to file or pay their taxes on time.

This courtesy comes in the form of a reprieve known as a First-Time Penalty Abatement. You may take advantage of this program offered by the IRS by learning how it works and whether or not it applies to your particular circumstances.

New tax laws put higher income earners at risk of having to pay more taxes. If your income is above $250,000, you could face higher tax bills because of the new ACA law, as well as several others passed by Congress recently.

However, you can lower what you will inevitably owe to the IRS by taking several proactive steps now. These tactics should be on your checklist when you aim to save money on your 2015 taxes.

Owing money to the IRS can put a shadow over your everyday life. This tax debt may cause you to worry that you will lose your assets or experience financial difficulties if you are unable to pay what you owe up front.

Rather than carry around this burden, you may want to pay it off as soon as possible with your available line of credit. Before you charge it, however, you should understand the benefits and pitfalls of paying off your IRS obligation using your credit card.