The fear of getting audited by the Internal Revenue Service weighs on the minds of worried taxpayers as this year's deadline for filing returns ended Tuesday.
Civil and criminal penalties can apply to your taxes, and some IRS tax forms are more important than others.
Here's your updated guide to what you should know about the form W-2, Wage and Tax Statement, for 2017.
You get a letter in the mail, a letter emblazoned with the gut-wrenching acronym, IRS. You say to yourself: "But I filed on time! I paid all my taxes!" That may be, but unfortunately, that doesn't mean you won't be audited. Yes, it’s nerve-wracking. But income tax audits, like death and taxes themselves, are a fact of life in the United States. The Internal Revenue Service examined close to 1.4 million individual tax returns in 2007, about 1 percent of all individual tax returns [source: CNN]. Compare this to 1.29 million returns examined in 2006, and you see that the IRS is becoming increasingly serious about getting its money [source: Kristof].
The very mention of a tax audit can conjure dread in the heart of even the most diligent, honest taxpayer. The perception is that, without warning, a knock at the front door of your home or office could bring with it a team of suited, briefcase-carrying, Secret Service-looking types, who quickly commandeer and confiscate you and everything related to the taxes you just filed.
When you file your taxes, how likely is your return to be flagged for audit? Did you account for every W-2 and Form 1099, use correct math, and match all other data? Did you report big losses or deduct other unusual items? There are many ways to try to audit proof your tax return, and always more ways, some of it is luck. And knowing about IRS traps helps. For example, certain tax mistakes allow the IRS to audit you forever. But here is ome good news amid all this scary news, and ironically, it ties into controversies at the IRS. With budget cuts and the resources the IRS must now devote to Obamacare, the IRS has less time and money to audit. Taxpayers are not disappointed.
There’s no application fee, but you’ll have to pay interest and penalties (at a lower rate than an installment plan, and far less than what you’d be charged if you simply don’t pay at all). If an extension or installments won’t work for you, you can apply for an offer in compromise, so you can settle your tax bill for less than you actually owe. You’ll have to pay a $186 application fee. You can use a credit card to pay your tax bill, but with some hefty caveats.
You just realized that you're going to have to send Uncle Sam some of your hard earned money to settle up your taxes. The Internal Revenue Service (IRS) s
Here are 10 important things the American Institute of CPAs recommends that taxpayers know about getting their federal tax return to the Internal Revenue Service (IRS) by the Wednesday, April 15 filing deadline and about filing for an extension.
Tax season is a stressful time for most people, but it’s especially difficult for those of us with doubts about our ability to pay the IRS. The good news is there are a number of ways anyone can make an unmanageable tax obligation easier to deal with without drastically driving up the costs.
The IRS today reminded taxpayers that it’s easier than ever to pay their taxes electronically, and for those who can’t pay on time, quick and easy solutions are available.
The IRS is reminding taxpayers that it’s easier than ever to pay their taxes electronically, and for those who can’t pay on time, quick and easy solutions are available.
Budget cuts at the IRS may mean fewer audits this year, but it doesn't mean everyone is getting off scot-free. Here are some key ways to avoid getting snagged by the IRS.
The IRS recently issued new guidance on offers in compromise (OIC), continuing a trend of liberalizing rules for compromise of outstanding tax obligations. The IRS last made significant changes to its offer program in 2012, resulting in a dramatic increase in acceptance rates.
This is the quintessential good-news/bad-news story. The good news: If you’re worried that the tax return you just sent to the IRS will be audited, breathe easy. The head of the IRS says that budget constraints mean that his agency will perform 100,000 or so fewer audits this year than last.
Looking for tax debt relief? Learn about IRS payment plans, including installment agreements and offers in compromise.
It's one of the worst tax time scenarios: You discover while doing your taxes that you owe more money than you can pay. What should you do?
If you owe federal tax debt, it may be easier to strike a deal to settle your debt for less than the full balance, thanks to new IRS guidelines.