Just the thought of an IRS tax audit can make some taxpayers shake in their boots. In the past, the IRS conducted far more audits that it currently does. However, some people are still worried about the prospect of a "random audit". What are the actual odds of getting audited by the IRS?
Getting laid off from your job can be an extremely difficult thing to deal with. But finding out that you may have to deal with an unexpected tax bill can make it worse. Here are a few pointers about layoffs and taxes you'll want to keep in mind as you manage your time between jobs.
Do you have an existing installment agreement with the IRS? If so, you may find yourself on the receiving end of a CP521 notice on occasion. What does this notice mean? Should you take any action upon receiving a CP521 notice?
Taxpayers who invest in real estate realize that the home mortgage interest deduction is one of the easiest and most commonly claimed real estate tax deductions. According to IRS guidelines, homeowners may deduct the home mortgage interest they pay during the year, as long as the property meets certain guidelines. If you've been wondering how you can claim the mortgage interest deduction, here's a primer on the requirements and qualifications.
Do you owe back taxes to the IRS? Are you seriously delinquent in repaying your balance? If so, you've probably already received quite a few written IRS tax notices from the agency. Dealing with an outstanding tax bill is never easy, but if you ignore or neglect your balance, the IRS can use forcible seizure to possess your assets and use them to clear up your account. By the time you receive a CP504 notice, you may not have much time to straighten your affairs. For this reason, you should take the CP504 notice seriously.
Most surprises, such as surprise parties, surprise gifts, and surprise reunions, are pleasant experiences. A surprise tax bill, though, is usually an unpleasant event. Many taxpayers receive income from sources they mistakenly believe are tax-free, so receiving a larger tax bill at the end of the year can be quite an unwelcome surprise. Here are a few income sources that you may be surprised to learn are taxable.
