Taxpayers should know and understand their correct filing status

Taxpayers need to know their correct filing status and be familiar with each option. Generally, the taxpayer’s filing status depends on whether they are single or married on Dec. 31 and that determines their status for the whole year. However, more than one filing status may apply in certain situations. If this is the case, taxpayers can usually choose the filing status that allows them to pay the least amount of tax. When preparing and filing a tax return, the … Continued

Dos and Don’ts for Taxpayers Who Get a Letter from the IRS

Every year the IRS mails millions of letters to taxpayers for many reasons. Here are some tips and suggestions for taxpayers who receive one: Don’t ignore it. Most IRS letters and notices are about federal tax returns or tax accounts. Each notice deals with a specific issue and includes specific instructions on what to do. Don’t panic. The IRS and its authorized private collection agencies do send letters by mail. Most of the time all the taxpayer needs to do … Continued

The Right to Retain Representation: Taxpayer Bill of Rights #9 | Internal Revenue Service

The right to retain representation when dealing with the IRS is one of ten rights in the Taxpayer Bill of Rights. Taxpayers who interact with the IRS should be aware of their rights. The right to representation means: Taxpayers have the right to retain an authorized representative of their choice to represent them in their dealings with the IRS. Taxpayers who are heading to an interview with the IRS may select someone to represent them. Taxpayers who retain representation don’t … Continued

IRS whistle blower who questioned paper industry tax break fights to keep his job – The Washington Post

  An Internal Revenue Service lawyer is waging a battle to stay in his job a year after the agency punished him for speaking to news organizations about a scheme that enabled paper companies to collect about $2 billion in tax refunds and helped the industry weather the Great Recession The IRS has recently taken the opposite side in a similar case involving Sunoco and ExxonMobil, which are requesting $1.65 billion in tax refunds based on guidance issued by the … Continued

IRS Announces That Account Transcript Can Substitute For An Estate Tax Closing Letter | The National Law Review

  The Internal Revenue Service has announced, in IRS Notice 2017-12, that an IRS-issued account transcript can substitute for an estate tax closing letter. An estate tax closing letter (IRS Letter 627) is a written communication from the IRS which: (1) specifies the amount of net estate tax, the state death tax credit or deduction, if any, and any generation-skipping transfer tax for which the estate is liable; (2) confirms the acceptance of the estate tax return, either as filed … Continued