At Tax11 Income Tax Solution, our Tax Specialist understands your concerns and is equipped with the training and expertise to address your Tax needs.

 

Preparing your own income taxes adequately can be a complicated and confusing process for most Taxpayers. That is why it requires the training and experience of a Tax Professional to minimize your tax liability and fully maximize your refund amounts.

Current Events in Taxes ...

IRS Collection Enforcement activities

Recently, joint research from the Internal Revenue Service and the Urban-Brookings Institute highlighted the results of many IRS enforcement activities, including the impact of past years’ changes to IRS Collection policy. It is no secret that the IRS has been kinder and gentler to tax debtors during the past five years.

 

The 2012 Fresh Start Initiative and the relaxing of lien filings and levies during the past five years has relieved burden on taxpayers and the resource-constrained IRS. However, this more relaxed policy hasn’t resulted in maximizing collection for the U.S. Treasury. The IRS continues to tweak its collection policies and procedures to collect the most tax dollars.

 

During the past five years, new laws and IRS administrative changes to collection policy have been frequent, and can be hard for taxpayers and tax professionals to keep up with. This year has been no exception; in fact, 2017 has seen these six important changes to IRS collection policy.

Tax Debts and Passport Revocations

- How to Avoid Restrictions under S7345..

If you have seriously delinquent tax debt, IRC § 7345 authorizes the IRS to certify that debt to the State Department for action. The State Department generally will not issue a passport to you after receiving certification from the IRS.

 

The IRS began sending certifications of unpaid tax debt to the State Department in February 2018.

 

Read On...

Lawmakers demand explanation for IRS’s Tax Day computer crash

A group of lawmakers on the House Ways and Means Oversight Subcommittee..

 

.. are asking the Internal Revenue Service’s acting commissioner, David Kautter, to explain why the IRS’s systems crash occurred on Tax Day, April 17.

 

The systems crash prevented last-minute filers and their tax preparers from sending in their tax returns for much of the final day of tax season, and the IRS was forced to extend tax season by an extra day until April 18 once the systems were back up and running (see IRS systems run into trouble as tax deadline looms, agency gives taxpayers an extra day to file).

 

IRS officials have said the crash originated at a system in an IRS facility in Martinsburg, Va., and started around 1:00 to 3:00 a.m., and then fully crashed at 4:00 a.m. The IRS got the system back up and running by 5:00 p.m. when it sent an email to tax professionals. It was down for about 11 hours. The problem seems to have originated with a piece of hardware running the IRS’s master file system that stores taxpayer information. The system was running assembly language, computer code programmed for specific hardware.

 

Read On...

DMX sentenced to a year in prison for Tax Fraud

Rapper and actor DMX was sentenced to one year in prison for tax fraud..

 

.. for evading taxes from 2010 to 2016.

 

Published: March 29, 2018

 

DMX, whose real name is Earl Simmons, was accused of concealing millions of dollars in income from the Internal Revenue Service and avoided paying $1.7 million of tax liabilities.

 

He pled guilty last November, before United States District Judge Jed S. Rakoff, who imposed sentence on him Wednesday.

 

Read On...

Budget Bill Passed - Renews Tax Extenders

Feb. 9, 2018 - Today the U.S. government passed a $400 billion budget bill that retroactively renews many expired tax provisions.

 

The IRS announced this afternoon that it will be assessing the significant changes in order to determine its implementation plan.

 

We are also evaluating the legislation and will be preparing to implement the necessary changes in conjunction with the IRS. It is too early to know when these updates will be available, but rest assured, we will be working diligently to update our Clients as timely as possible.

 

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6 Myths About Tax Refunds - IRS wants you to know

It’s probably not surprising that the inner workings of the way tax returns are turned into tax refunds are opaque to most taxpayers – it’s a complicated process, after all.

 

In the absence of knowledge, however, many taxpayers substitute guesses, rumors, wishful thinking and worse, buying into a set of myths that end up having to be debunked almost every year – whether by IRS staff, or by paid tax preparers who have to explain why the taxpayer was misled by what their cousin heard from that guy at the gym.

 

Here is a set of particularly pernicious myths that the IRS has singled out to help clear the air.

 

CLICK HERE

..to continue..

 

Driver’s license or State Identification for the taxpayer

Due to IRS Security Summit initiatives designed to help prevent identity theft, each individual electronic filing requires one of the following:

  1. A valid Driver’s license or State Identification for the taxpayer (and spouse, if applicable).
  2. An indicator that the taxpayer (and spouse, if applicable) does not have a Driver’s License or State Identification
  3. An indicator that the taxpayer (and spouse, if applicable) did not provide a Driver’s License or State Identification.

 

Did Trump Cancel the Obamacare Tax Penalty?

The Trump administration has not canceled the Obamacare tax penalty and the IRS has declared that the penalty is still in force.

 

This is true despite an early 2017 decision to allow citizens to continue to file "silent returns," meaning returns that leave blank the question about whether or not you had health coverage for the tax year.

 

With the maximum penalty amount climbing sharply (see below), it's currently unwise to go without health insurance on the assumption that the penalty won't be enforced.

 

IRS Urges Taxpayers to Renew ITINs

The Internal Revenue Service says taxpayers who have not renewed their expired Individual Taxpayer Identification Number (ITIN) will face processing delays if the number is used to file a return.

 

In addition, the taxpayer could lose eligibility for key tax benefits until the ITIN is renewed.

 

The PATH Act and Refund Delays

The PATH Act is federal legislation that prohibits the IRS from releasing refunds before February 15th..

 

...for tax returns which include the Earned Income Tax Credit and/or Additional Child Tax Credit.

 

This means that impacted customers will experience a delay in receiving their refund, particularly when filing early in the tax season.

Georgia Statute of Limitations on Debt Collection

Many consumers in the state of Georgia are dealing with unpaid credit card bills, medical bills, and other unpaid loans. When debts go unpaid for a long period of time, creditors may decide to institute a lawsuit against the consumer so that the creditor can obtain a judgment. A judgment provides the ability to collect money involuntarily through wage garnishments or seizures of bank accounts or other property.

 

A debtor being sued by a creditor should be informed of the statute of limitations for a breach of contract action. That's because most lawsuits for the collection of debts are considered breach of contract cases.

 

In Georgia, written contracts have a statute of limitations period of 6 years from the time in which the debt becomes due and payable and the period runs from the date of last payment (OCGA 9-3-24). On the contrary an open account, implied promise or undertaking has a statute of limitation of only 4 years (OCGA 9-3-25). Prior to entering into an agreement to pay off a debt, a consumer should ensure the debt is actually still due and payable.

 

NOTE: Payment, unaccompanied by a writing acknowledging the debt, does not toll the statute; the statutory period runs from the date of default, not the date of last payment.