Tax Matters - The Top Tax Defenders Blog

The 16th Amendment instituted the personal income taxes that people are accustomed to paying each year. While people understand that they pay their income taxes directly to the federal government, they may not realize that they also are paying indirectly paying taxes when they go shopping for their favorite consumer goods.

The IRS employs a variety of professionals whose sole purpose is to collect on delinquent taxes, penalties, and other monies owed to the government. IRS revenue officers play a central role in the collection process. When you owe money to the IRS, it is important that you learn what a revenue officer is and what duties and limitations this individual has when collecting on your obligation.

Dealing with the IRS may call for expertise and knowledge you do not possess. If you use the wrong approach when trying to file your taxes or settle an outstanding tax debt, you could run afoul of tax codes and also owe more money than necessary. When you want to handle your tax case the best way possible, you should learn the five important ways that an IRS attorney can help you today.

Choosing the best tax filing status can be a challenge if you are not certain which one applies to your situation. If you choose the wrong status, you could owe more money than necessary to the IRS. You may be able to lower your tax rate and get a higher standard deduction if you meet these criteria for filing Head of Household.

You may have breathed a sigh of relief as this year's tax season passed. As tempting as it may be to forget about your financial specifics right now, the time has never been better to start preparing for next year's taxes.

People who work as tipped employees must report both their regular income and their tips from each shift as income. If you work as a waiter or waitress, a casino poker dealer, a valet, bus boy, or as another commonly tipped worker, it is important that you know how and when to report your tips to your employer and to the IRS.

The tax man comes for everyone, even people who are wealthy and famous. In fact, despite having more money that most people in the country, the rich and famous run afoul of the IRS just as often as everyday people. Hollywood heavyweights must follow the U.S. tax codes just like everyone else and sometimes find themselves being audited for violating U.S. tax codes.

You have the right to representation before the IRS. Depending on the specifics of your case, you may benefit by allowing someone to advocate for you and to take charge of complicated processes for which you lack skill and comprehension. While you do have the right to argue for yourself in IRS matters, you may find it more advantageous to allow one of the permitted representatives to assist you in your case.

Business owners typically hope to yield more profits than losses each year. When they do lose more money than they gain, they incur what is known as a net operating loss, or NOL. NOLs can have different tax implications for business owners because the IRS typically will refund some or all of the losses. It is important that they understand how to determine any NOLs their businesses sustained and what to do with these losses after they file taxes.

After you submit your tax return, you may wonder what you should do with all of the documents needed to file your taxes. You realize that some paperwork should be kept on hand for while, but you may not know what documents to keep and for how long you should retain them. You can simplify your record keeping and avoid compiling heaps of unneeded paperwork by using these guidelines after filing your taxes each year.