On May 5th Glen E. Frost wrote a letter, on behalf of the American Citizens Abroad, to IRS Commissioner John Koskinen in regards to private collection firms based in the United States collecting debts of U.S. taxpayers with foreign addresses.
In 2015 the Fixing America’s Surface Transportation Act ("FAST Act") was established to provide long-term funding for surface transportation infrastructure planning and investment. Included in this new law was a section allowing the State Department to refuse to issue or renew a passport for a seriously delinquent taxpayer.
Jessica Frase Marine, Esq.
When a taxpayer receives a notice from the IRS proposing an additional assessment of tax, the taxpayer can often work administratively with the IRS to resolve the dispute. However, many times, the taxpayer and IRS are not able to come to an agreement. In those instances, there are four different forums which can be utilized to litigate a Federal civil tax case: the United States Tax Court, United States District Courts, the United States Court of Federal Claims, and United States Bankruptcy Courts.
Over the past few years, the IRS has increased its attention on offshore bank accounts, earmarking much of its limited budget, staff, and resources towards initiatives such as the Offshore Voluntary Disclosure Program (OVDP) and Swiss Bank Program, and pushing strict compliance of foreign bank and financial account reporting through enforcement measures such as the Foreign Account Tax Compliance Act (FATCA). It appears that the IRS was definitely on to something, as the debut of the Panama Papers makes clear.
IRS budget cuts may not appear entirely bad. With a reduced budget comes a reduction in the manpower and resources necessary for the IRS to conduct audits. Less audits means less need for taxpayers to concern themselves with the possibility of retaining records for years or, to some, the need to be entirely truthful on their tax returns.
Taxpayers who fall behind on tax obligations can have trouble catching up on their debt. Interest and penalties quickly add up, which is why it is always best to pay off a debt to the IRS as quickly as possible. The IRS considers taxpayers who can pay within 120 days of the due date as able to pay in full.
One of the more difficult parts of being a business owner is dealing with tax issues. The tax laws in the U.S. can be complicated, and those who own or run business can easily make mistakes in payroll taxes. When the IRS believes that a business has not paid all of the payroll taxes it owes, it may pursue payment from not just the business owners, but any person whom it deems a responsible party. People should understand how the IRS determines who is a responsible party, what constitutes willful failure to pay taxes and the potential penalties a person faces for willful failure to pay payroll taxes.
Florida IRS Tax Litigation Attorney
If you are in the middle of an Internal Revenue Service (IRS) tax controversy that may need to be resolved in a courtroom, it is essential to get experienced legal representation in your corner to help prepare for the battle to come.
Florida IRS Tax Collection Lawyer
When the IRS comes to collect taxes, even the most fiscally responsible individual or business owner can experience significant stress. Having an experienced taxation attorney in your corner to protect your interests can help alleviate any anxiety you may be feeling when it comes to tax collections.