Tax Matters - The Top Tax Defenders Blog

If you had trouble scraping up enough to pay your taxes in full, you might have heard from the federal government already. Understanding tax liens can be confusing, so we've put together answers to some of the most frequently asked questions to help you navigate this complex topic with confidence.

Don’t you think we should all get natural disaster relief after the year we’ve had? If you made it through 2020, you deserve it. Just label the whole year a disaster and give everyone the tax year off.

You could be forgiven for missing your tax extension deadline. After all, it's 2020. You could be, but unfortunately, you won't. The IRS wants your return and your tax payment. They waited three extra months, and now they want Uncle Sam's cut.

That number on the line for taxes owed looks awfully big. It looks like more than you feel like you can pay right now. Should you panic?

No, no, you should not.

Did you, by chance, forget to file your taxes…say for the last ten years? Or maybe just this year; after all, everything’s been such a mess.

But how late is too late to file? The short answer is never. You can always file late. You just have to understand that it won’t be the same as if you filed on time.

Property taxes are a significant portion of the cost of owning real estate, usually one percent to three percent of the home’s value to be paid annually. Since property taxes are permanent, anything that can reduce your tax liability will probably perk your ears right up. So, get your ears ready to perk, because the tax reduction term for today is tax abatement.

It’s always a good feeling when you can lower your tax burden. One way that may be open to you is through a vehicle sales tax credit. Since a car, boat, or other vehicle is a significant expense, the amount of tax credit could potentially erase your tax payment.

Editor’s Note: This post was originally published in August 2020 and has been updated for accuracy and comprehensiveness.

One of the easiest ways to get in trouble with the IRS is by committing tax evasion. Just the words - Tax Evasion - sound like they should be accompanied by those tonal beats from Law and Order. 

Can you get a refund if you owe back taxes? The simple answer is … maybe. As in, it depends on whether you owe less in tax debt than you have coming to you as a refund. There are several reasons the IRS might hold up your refund or seize it to pay for other debt.

Sometimes you need a little help with your taxes that a preparer or CPA can’t help you with. A tax attorney, on the other hand, fits the bill nicely. Taxes, like most other legal issues, are complex bordering on absurd. It takes someone with experience and the right skills to help you hack your way through the jungle of rules, regulations, and other entanglements.