Yearly Archives: 2022

According to IR-2022-31 issued on February 9, 2022, the IRS announced the suspension of more than a dozen additional letters, including the mailing of automated collection notices normally issued when a taxpayer owes additional tax, and the IRS has no record of a taxpayer filing a tax return.

These mailings include balance due notices and unfiled tax return notices. The IRS entered this filing season with several million original and amended returns filed by individuals and businesses that have not been processed due to challenges of the historic pandemic and is taking this step to help avoid confusion for taxpayers and tax professionals.

“Our Efforts Are Not Limited To Suspension of These Additional Letters and the Possibility of Similar Actions Going Forward.

These automatic notices have been temporarily stopped until the backlog is worked through. The IRS will continue to assess the inventory of prior year returns to determine the appropriate time to resume the notices. Some taxpayers and tax professionals may still receive these notices during the next few weeks. 

However, if a taxpayer or tax professional believes a notice is accurate, they should act to rectify the situation for the well-being of the taxpayer. For example, the IRS cautions people with a balance due that interest and penalties can continue to accrue. In addition, IRS employees may in select circumstances issue notices to particular taxpayers to resolve specific compliance issues.

The IRS does not have the authority to stop all notices as many are legally required to be issued within a certain timeframe. The IRS will continue to assess other changes and system modifications that the IRS may be able to implement to assist taxpayers on an array of issues. The IRS will continue to make information available to taxpayers throughout the filing season.

The IRS encourages those who have a filing requirement and have yet to file a prior year tax return or to pay any tax due to promptly do so as interest and penalties will continue to accrue. Visit IRS.gov for payment options.

The suspended notices include:

According to Procedurally Taxing, the IRS is statutorily obligated to send out the notice and demand letter within 60 days after assessment.  If it fails to send out the notice and demand letter, the failure does not destroy the assessment but it prevents the federal tax lien from coming into existence.  The IRS should continue to send out this letter.

An interesting development is that it is not sending out the statutorily required notice of intent to levy letter required by IRC 6331(d).  It doesn’t need to send out this letter unless it intends to levy but without sending out this letter, the last letter in its notice stream, the letter giving Collection Due Process rights, will not allow the IRS to levy.  So, even though the IRS does not list the CDP letter (Letter 11) in the list above, it will suspend sending out that letter as well, at least with respect to levies, since sending out that letter will not allow the IRS to levy in the absence of the 6331(d) letter it states here it is going to suspend.

Note that it may have already sent out the 6331(d) letter to someone which would allow it to go ahead with the CDP letter and it states in the notice that it may still be sending out some letters already scheduled. 

Have an IRS Tax Problem?

Read more at: Tax Times blog

According to Law360 the House of Representatives approved a stopgap federal government funding bill  on February 8, 2022 that would keep the U.S. Department of the Treasury, the Internal Revenue Service and other federal agencies open through March 11, 2022.

The Further Additional Extending Government Funding Act, or H.R. 6617, which passed the House by a 272-162 vote, is intended to give House and Senate negotiators time to complete work on an omnibus budget bill for the remainder of fiscal 2022, House Appropriations Committee Chair Rosa DeLauro, D-Conn., said. 

President Joe Biden signed the current continuing resolution into law in early December as well as an earlier short-term funding bill that Congress passed in late September, narrowly averting a government shutdown. 

Have an IRS Tax Problem?

 Contact the Tax Lawyers at
Marini & Associates, P.A. 

for a FREE Tax HELP Contact us at:
www.TaxAid.com or www.OVDPLaw.com
or Toll Free at 888 8TAXAID (888-882-9243) 

Read more at: Tax Times blog

Third-party payment networks, such as PayPal and Venmo, must report to the IRS any transactions for goods or services in excess of $600 starting this year. 

The change was made to capture income made by gig workers and entrepreneurs with a side hustle. In the past, companies were only required to send an IRS Form 1099-K for gross payments exceeding $20,000 and more than 200 transactions within a calendar year.

This new rule won’t affect 2021 federal tax returns, but now is the time to get ready for next year. 

If you’re sending or receiving money through one of these apps, you need to be proactive in making sure you aren’t mistakenly sent a 1099-K.

The House’s Build Back Better Proposal would have separately required third-party payment networks to apply backup tax withholding to such payments. However, the Build Back Better Proposal did not pass in 2021. 

But the IRS is aware of this leakage or revenue from third-party payment networks, such as PayPal and Venmo and will continue enforcement efforts to ensure the taxpayers properly report income from these third-party payment networks.

Have an IRS Tax Problem?

 Contact the Tax Lawyers at
Marini & Associates, P.A. 

for a FREE Tax HELP Contact us at:
www.TaxAid.com or www.OVDPLaw.com
or Toll Free at 888 8TAXAID (888-882-9243) 

Read more at: Tax Times blog

If you're upset about that:

• Trump Did Not Win the Election.
  (or maybe in your mind he did with the election?)
• The Democrat's Now Control the House & the Senate.
• Obama-Care with its associated additional 3.8% Obama Care Tax makes you feel like leaving the country?

• You're so sick of liberal Democrats trying to socialize the United States by taxing wealthy people?

• Or maybe you're a naturalized U.S. citizen or permanent resident who has prospered here, but would now like to move back the old country for retirement or to start a new  venture?

Henley & Partners in partnership with Deep Knowledge Analytics launched the Best Investment Migration Real Estate Index, which is a unique new analytical tool to assess investment migration programs offering real estate investment as a pathway to residence rights or citizenship acquisition.

This etric considers over 30 parameters and over 300 data points to score and compare program options worldwide according to key considerations such as quality of life in the host country, GDP, the minimum real estate investment amount, potential rental income, associated property costs, application processing efficiency, the real estate holding period, residence requirements, any restrictions, and salability, as well as crypto-friendliness, which is gaining in importance among global investors.

The key takeout from this research is that there is a vast range of opportunities available to strengthen and diversify your investment portfolio while simultaneously expanding your domicile options via investment migration. The Best Investment Migration Real Estate Index is designed so that you can select the parameters that matter most to you and your family, and make an informed, data-driven decision about what is best for all.  

Should I Stay or Should I Go?

Need Advise on Expatriation?

 

Contact the Tax Lawyers at 

Marini & Associates, P.A.   

for a FREE Tax Consultation contact us at:

www.TaxAid.com or www.OVDPLaw.com 
or Toll Free at 888-8TaxAid (888) 882-9243

Read more at: Tax Times blog