Navigating tax complexities can be daunting, and understanding your responsibilities for reporting cash income is crucial. Failing to report all sources of income, including cash transactions, can lead to legal consequences and financial penalties. This comprehensive guide will delve into the obligation to report cash income, the potential risks of underreporting, and the proper methods … Read more
The Internal Revenue Service (IRS) is actively reaching out to millions of individuals and families who may be eligible for valuable tax benefits but have yet to file a 2021 federal income tax return. This outreach effort is intended to ensure that eligible individuals receive the financial assistance they are entitled to. Unclaimed Benefits The … Read more
The IRS Fresh Start Program is a set of initiatives designed to assist taxpayers who are struggling to meet their tax obligations. The program offers various relief options, including installment agreements, offers in compromise, and penalty relief. While participation in the Fresh Start Program can provide significant financial relief, it’s important to consider its potential … Read more
The Internal Revenue Service (IRS) has announced that the 2022 tax filing season will officially begin on Monday, January 24, 2022. This means that taxpayers can start submitting their 2021 tax returns to the IRS on that date. The filing deadline for most taxpayers is Monday, April 18, 2022. Key Dates for the 2022 Tax … Read more
Yes, you can pay your spouse to avoid tax, but there are strict rules that must be followed. The Internal Revenue Service (IRS) allows you to deduct the salary you pay your spouse as a business expense, but only if your spouse is a bona fide employee of your business. This means that your spouse … Read more
Does the IRS Pay You to Snitch? The Internal Revenue Service (IRS) operates a comprehensive Whistleblower Program, incentivizing individuals to report suspected tax violations. This program plays a crucial role in the IRS’s efforts to combat tax fraud and non-compliance, ensuring a fair and equitable tax system for all. Eligibility for Whistleblower Awards To qualify … Read more
Understanding the UK Government’s Powers to Access Bank Account Data The UK government’s recent proposal to grant itself sweeping powers to monitor and access bank account information of benefit claimants has sparked significant debate and concern. This article delves into the legal framework surrounding the government’s ability to access bank account data in the UK, … Read more
Form 2210 is a crucial document for individuals and entities to determine if they owe a penalty for underpaying their estimated taxes. The Internal Revenue Service (IRS) generally figures the penalty for taxpayers, but Form 2210 provides a method for taxpayers to calculate the penalty themselves if necessary. This comprehensive guide will delve into the … Read more
The United States federal income tax system is a progressive tax system, which means that the tax rates increase as taxable income increases. The tax brackets for a given year determine the tax rates that apply to different levels of income. For the 2020 tax year, the IRS has released the following tax brackets: 2020 … Read more
The Internal Revenue Service (IRS) has the authority to access and review your financial information, including your bank account, for tax enforcement purposes. However, the IRS does not have real-time access to your bank account and generally does not monitor it unless there is a specific reason to do so, such as an audit or … Read more