As published in the Winter Park/Maitland Observer, Thursday Jan. 3, 2012 Edition Offers... Read More »
Articles in category 'Penalties'
Win big in the office Super Bowl pool? Don’t forget to tell the IRS
We have all done it. Participated in the office pool for the Super Bowl. I once won $250 a few years back by betting $20 on my team to win. Should I have reported those winnings to the IRS? Good question. According to Kay Bell, tax blogger for this recent article published by bankrate.com, I…
Read Full Article Categorized in: Accounting, Articles, Florida Tax Audits, Individual Tax Returns, IRS Audits, Penalties, Tax Advice, Tax Return Preparation, Tax Tips, Uncategorized, Voluntary disclosureIRS Worker Classification Amnesty
The IRS is apparently so happy with the results of it’s offshore voluntary disclosure program that it has established a similar program in the area of worker classification. Michael Cohn of AccountingToday writes that the IRS has introduced a new voluntary compliance program Wednesday to convince employers to resolve their past issues with classifying employees…
Read Full Article Categorized in: Blog Posts, Payroll Taxes, Penalties, Worker ClassificationIRS Penalties: How to Eliminate Them
The IRS assesses penalties against taxpayers for, among other things, the following: late filing of a tax return; late payment of tax; the negligent preparation of a tax return; the substantial underpayment of tax; and civil fraud. Penalties range from 5 percent per month in the case of late filing of a return to 75…
Read Full Article Categorized in: Blog Posts, PenaltiesTop 10 Most Challenged Tax Issues
National Taxpayer Advocate Nina Olson has issued her annual report on the most frequently litigated tax issues: Internal Revenue Code § 7803(c)(2)(B)(ii)(X) requires the National Taxpayer Advocate to identify the ten tax issues most often litigated in the federal courts, classified by the types of taxpayer affected. Through analysis of these issues, the National Taxpayer Advocate…
Read Full Article Categorized in: Back Taxes, Blog Posts, IRS Procedure, Penalties, Tax CourtPenalty Reduction Relief: How to Apply For It
The IRS assesses penalties against taxpayers for, among other things, the following: late filing of a tax return; late payment of tax; the negigent preparation of a tax return; the substantial underpayment of tax; and civil fraud. Penalties range from 5 percent per month in the case of late filing of a return to 75 percent…
Read Full Article Categorized in: PenaltiesIRS Substantial Understatement Penalty
§6672 of the Internal Revenue Code imposes a 20% penalty on a taxpayer’s substantial understatement of income tax: (d) Substantial understatement of income tax (1) Substantial understatement (A) In general For purposes of this section, there is a substantial understatement of income tax for any taxable year if the amount of the understatement for the…
Read Full Article Categorized in: PenaltiesIRS Accuracy Related Penalty
§6672 of the Internal Revenue Code imposes a 20% penalty for negligent underpayments of tax: (a) Imposition of penalty If this section applies to any portion of an underpayment of tax required to be shown on a return, there shall be added to the tax an amount equal to 20 percent of the portion of…
Read Full Article Categorized in: PenaltiesIRS Civil Fraud Penalty
§6673 imposes a 75% penalty for underpayments of tax that are attributable to fraud: (a) Imposition of penalty If any part of any underpayment of tax required to be shown on a return is due to fraud, there shall be added to the tax an amount equal to 75 percent of the portion of the…
Read Full Article Categorized in: Penalties