Huge IRS Problem gets reduced to almost nothing

You can settle wit the IRS for “pennies on the dollar”, but dont be ticked into beleiving everthing you see on TV…

Offer in Compromise - Don’t Get Sucked Into the “Pennies on the …

Have you been looking for a way to get help without losing the shirt off of your back? If so, I am sure that you have heard or seen the slogan ‘pay pennies on the dollar’ for what you owe on back taxes. While this might sound like an …

Avoid Being Denied an IRS Offer in Compromise on Your Tax Debt

So you have decided to go ahead with requesting an Offer in Compromise (OIC) from the IRS. The problem now is that you really don’t know exactly what the IRS is expecting you to have completed before submitting your application. …

Settle with the IRS even after being hit by the Sub Prime debacle
Settling Your IRS Tax Debt After The Sub Prime Catastrophe

This is called an Offer in Compromise, and it sounds like the answer to your prayers. But you need to be prepared for the grim Wine Tasting of an Offer in Compromise. Because even though your income is no where near what it was it is …

Regiser Now: http://instantteleseminar.com/?eventid=3488088

Peter Loughlin

Generally speaking that would be three years from the date the filing was due OR two years from the date the tax payment was in fact tendered to the IRS—whichever is later. For all reasonable purposes this is the period in which the IRS may question your past tax return(s).

NEWS FLASH!!! But, you need to be aware that there is no statute of limitations where the IRS has reason to believe that the return was fraudulent OR where you failed to file a return.

And herein is the problem. It is very easy for an over zealous IRS agent (most agents are reputable but there are a few rogues that haven’t gotten the message, you know) to claim that they believe your return filed 6 or 7 years ago was ‘fraudulent.’  Well if you destroyed all your tax records you are going to have some problems, aren’t you?

For this reason I advise holding onto your IRS tax returns and supporting documents indefinitely—you can do so digitally to save on space, but keep everything, period.

I know, of course, that a lot of professional tax advisors would disagree with this advice, or at least claim this is overkill, but since it is so simple to store files digitally, I say, what’s the harm—and you may even thank me six, eight or twelve years from now.

If you fail to file at all, well, then you’re opening yourself for heartaches that could easily be avoided.  

And, putting aside the risk of the agency claiming fraud (admittedly, not very likely), you should still be holding on to all documentation concerning the value of any real estate or stocks you acquire until you dispose of them so you can demonstrate whether or not you realized a taxable gain or loss.

Bottom line, don’t throw away any IRS tax records, you’ll probably thank me down the road. And, if not, you’ll have a nice bonfire to keep you warm, in which case you’ll still thank me.

Peter Loughlin

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From  Peter Loughlin’s Weekly Tax Tips Podcast

Did You know that you can save big on taxes just by starting a small home-based business? And, the IRS is required to give you many of the same tax deductions and advantages of the big dogs — in fact they want to do it!!!. The IRS tax code is set up to favor business owners (large or small) and NOT employees.  But, you can have a small home-based business AND keep your JOB too — AND get the best of both worlds!

Learn how the IRS is not your enemy and how,if done properly, you can save big on taxes.

Visit www.taxcuts101.com to get the incredible tax Ebook discussed on the show. 

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Myth No. 1  – The IRS knows everything about you AND whatever they don’t know you are required to reveal to them.  

When you are notified of a tax audit the IRS will generally request you bring or provide certain documents that pertain to the audit. 
You should bring only the documentation requested and nothing more—unless you are certain that it will assist you in presenting your side of the financial story. If the IRS audit notice asks for something you cannot produce, simply try to find other favorable documentation and provide it instead. But be prepared to explain why you could not bring the requested documentation. 

Do not just bring ‘everything’ to the audit. First of all the auditor is busy and it is unlikely that he or she wants to sit rummaging through your box (or boxes) of receipts and check stubs, etc.. In addition, you are not obligated to provide everything, so why do it? Just bring to the audit and/or provide what is asked of you, period. The only exception to this, as already discussed, is if you have something that will tend to clear things up in your favor. 
Also, be as organized as possible; IRS auditors are human believe it or not. If the auditor see that you maintain your records reasonably well they are less likely to think you are careless about your tax preparations than if you show up with a shopping bag full of scraps of paper.   

Myth No. 2  – All tax deductions must be supported by a written receipt or canceled check. 

Some IRS auditors may try to make you believe that you are required to have a physical paper receipt or canceled check to claim a deduction. But this just isn’t so.

While this may have some legitimacy when talking about your personal deductions, it is wholly untrue when it comes to your business deductions. You must, of course, to some reasonable degree substantiate your deductions. But the IRS actually allows you to keep your own detailed records instead of receipts for allowable business deductions that are each $75 or less.
In fact, the IRS itself recommends you keep a diary or written journal of the following information:

And get this, even if you failed to keep such records contemporaneously, you may reconstruct this information and/or introduce affidavits in support of your claim for business tax deductions.

This does not mean that you can just make things up. You cannot and should not. But if you are honestly entitled to the deduction(s) don’t be afraid to claim them even if you don’t have a receipt of canceled check.

Myth No. 3  – When the IRS schedules an appointment for your audit you must drop everything and go. 

While many audits are conducted via mail, that is, by your mailing the agency the requested documents you may be called to physically appear for an IRS tax audit. In such cases this is nothing akin to a subpoena to appear in court. You need to treat this as the agency’s suggested appointed time and not a demand. You have every right to request additional reasonable time or to reschedule because of a personal scheduling conflict. The key here is communication and reasonableness. 

By the way, if you prefer, you may even request that the audit be completely via the mail As long as you cooperate fully in providing the IRS with details of your claims, you can conduct an audit through the mail and never have to worry about a face-to-face confrontation. 

One big advantage of having the audit by mail is that you get to think long and hard about your responses and supporting evidence well in advance of the audit. Having the audit conducted by mail will be less stressful to and will avoid worrying about blurting out some stupid statement that may end up getting you in hot water. 

Myth No.4  – The IRS auditor’s decision is Final and cannot be challenged…if you know what’s good for you.  

If you are audited and you disagree with the IRS tax auditor, you may invoke your I Right of Appeal to get a review of the auditor’s decision. In fact, the IRS encourages you do this in cases were you honestly feel the tax auditor made an erroneous determination. The tax auditors decision is not in fact final so never be afraid to appeal—it could save you a lot of money.Believe it or not, according to the agencies own published reports, when IRS tax audits are appealed, the decisions made by IRS tax auditors is wrong more than half the time.

Fighting the IRS in U.S. Tax CourtYou may wish to appeal  or petition the U.S. Tax Court to review decision made by an IRS tax auditor. While you should never bring a frivolous case to court, if you feel you have been wronged and can provide reasonable evidence in support of your claim, statistics show that taxpayer who exercise their right to appeal auditor decisions have an excellent chance of willing. In addition, when the IRS sees that you’re serious and are prepared to litigate and present evidence they will frequently negotiate with you rather than go to trail and expend the agency’s resources—particularly if your case has merit. It is advised that you consult with a tax attorney before proceeding before the U.S. Tax Court.  

Myth No. 5  – You don’t need a tax professional.

Look, the bottom line is that U.S. Tax Law is very confusing. If you’re going it alone, don’t be foolish. Know when its time to call in the big dogs. One thing a tax lawyer or CPA can do for you is to end your stress almost immediately. Once you and you tax professional notify the IRS that you are represented, the IRS will no longer call or write you. All correspondence and calls will go directly to your tax professional—your nightmare can be over that quickly. 

Another reason to consider getting a tax attorney or CPA early on is that they can help you to avoid waiving your rights—they may even negotiate a great tax settlement or offer in compromise for you if you need it.   

As crazy as it sounds, it is almost always better to have a tax professional negotiating on your behalf. And when you consider that IRS tax auditors have huge case loads and would just love to lighten their load a bit, a tax lawyer may very well convince them why dropping or settling your case may be the perfect solution for all involved. 

Peter J Loughlin

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IRS Compromise: Now you can settle with the IRS
for pennies on the dollar…and stop living in fear.

All this, with (…or without) a tax attorney,  CPA or anybody else!

Eliminate your fears once and for all!!

 SettleSmart.com provides you with smart  IRS Compromise solutions to your tax problems. Whether you need an offer in compromise to pay off your tax debt or just a simple IRS installment plan.

Youl also find great information — not only about the IRS compromise, but also settling with the IRS and how to deal with other IRS problims like tax audits, tax deductions, tax planning and more. And, while you may wish to seek the advice of a tax professional, SettleSmart.com has great self help tools and information sources so you can do it yourself if you wish. 

You don’t have to live in fear of the IRS anymore.

Did you know that in most cases you do not have to meet the IRS in person. Its true. Don’t let the IRS intimidate you into coming in and telling them anything. You do not have to. Instead you can elect to have your own tax attorney, CPA or other tax professional to meet with the IRS for you. This means no meetings with the IRS in your home or business. The only time the IRS can make you appear and provide information is if they summons you. This is extremely unlikely. if this occurs, you should seek professional help.

And, remember, the IRS is not always right….  when dealing with an IRS compromise problems, whether it be an offer in compromise or a tax audit, always ask  for more time.  You’ll need it! This could be more time to file, more time to pay, for an adjustment in your favor during an audit, to pay less than you owe, to have the IRS get rid of penalties, to stop the interest they are charging you ….ask for anything and everthing that helps you. All they can do is say no…Don’t be afraid to ask. They do say yes too!

If you’re not already facing an IRS compromise problem, SettleSmart.com can show you how to save on taxes, and lower your taxes. One of the best ways to save thousnad of dollars in taxes (and make money too) is to start your own small business. Congress provides great tax benefits for small bussiness owners and the self employed.  Its pretty simple … if you know what your doing, be sure to our information about small business tax expert, Ron Mueller.

IRS Compromise - Settle with the IRS - Get Tax Help

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