The IRS Audit Blog

Archive for May, 2006

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Greek meltdown piles pressure on euro – can Germany fix it?

Greek meltdown piles pressure on euro – can Germany fix it?

NT Sales & SLED Q4 Kickoff Trial Audit Police

Question: I have processing delays on my taxes. can anyone help?

ok heres my story my husband was audited for the 2005 tax year. last year when we filed our taxes in feb they kept over 4000 of our taxes that they said was owed for 2005. we filed an amended return and never saw the money. i filed my taxes for the first time myself this year with the help of a friend who does theirs on tax act every year and the irs accepted it. she filed feb 2nd and i filed the 4th. on the 13th the wheres my refund website said there was a delay in processing my return and gave me a number to call . i called and the lady told me i had to wait till the 3 week proccessing period was over. on the website for my ss# it tells me about the delay but under my husbands ss# it says they received the refund and it was being processed and we filed a joint return. is anyone having the same probelm or something similar. please help

Answer: Did you file a joint return for 2005? If so, you are most likely jointly responsible for any remaining unpaid tax from that year. If not, your refund shouldn’t be taken for it. Note that if you are in a community property state there are special rules for what income is whose.

Corporate/Company Law

On January 20, the Securities and Exchange Commission published Compliance and Disclosure Interpretations (C&DIs) providing further guidance as to transition dates and other clarifications for the new rules on corporate governance disclosures.

Question: irs is auditing me, how i can estimate penalties and interest?

i want to know if there is a table where i can see the percentage of interest and penalties that they will charge me, is a fix amount or what?
vp and other guys thanks for u answers, but still isn very clare, u said 20 of penalty plus interes of 6 plus aditional penalty of 6 percent annually? would ya explain a little bit more? thanks
i do appreciate your answers my friend i get an idea, somebody told me worst things like that have a nice day

Answer: Failure to file penalty: 4.5% per month or fraction, up to a total to 22.5%

Failure to pay penalty: 0.5% per month or fraction, up to a total of 25%

Interest: currently at 4% per year, no limit.

If you are a business, you could also get a failure to deposit penalty, which is 2%, 5%, 10% or 15%, depending on how late your deposit is.

Don’t Get Scammed on Your Tax Refund

Itching to get your due from Uncle Sam? There are plenty of folks — legit and otherwise — who will happily promise to help you get a faster or bigger refund.

IRS Penalties, Audits, Benefit Plans 419e 412i

Question: Has the post office stopped all tax rebate checks from going to Georgia?

Somone answered my other question about how long it will take for my tax rebate check to get to ga once it is mailed out and they said THE POST OFFICE HAS STOPPED ALL REBATE CHECKS TO GA….is this true and can somone please tell me if it is true when this means I will receive my check!! Thanks. btw, my original IRS mail out date is May 23rd.

Answer: okay someone is messing with you, the checks was mailed today and I live in Georgia and mine was mailed today and alot of our friends was mailed last friday and they got theres Tuesday….But monday is a holiday according to whyere you live it may be saturday when you get yours…

Hollywood taps Elmore Leonard again

This time it’s for the FX show ‘Justified,’ starring Timothy Olyphant as Leonard’s Kentucky coal miner turned lawman, Raylan Givens. It’s just a few blocks from some of Los Angeles’ best regional Mexican food, but thanks to the magic of television, we’re not in Highland Park but Kentucky coal country. Or rather, in a tiny, cramped hardware store, stuffed with bags of powdered stucco, countless …

INCORPORATE IN GEORGIA 678-755-2270 501c3

Question: Will filing an ‘out of business’ form for my small business trigger a tax audit?

I haven’t had any business to report in over a year (I have another full time salaried job) and want to file a going out of business notification to the dept of revenue, but I am afraid that it will increase my chances of being audited, and I have not been fastidious with my bookkeeping in the past few years. I don’t write anything off and have just been reporting ‘zero sales-tax due’, but if i dissolve the company, will this be an audit trigger?
What happens if, in the future, I sell merchandise to friends or family? (my business was jewelry repair.) I still would have my wholesale accounts, so how do I report that? What about sales tax? Also, I think the word ‘jeweler’, as a profession, is a red flag, correct? Will I be more likely to be audited?

Answer: Dear Kat26: I wish all my clients were like you “fastidious”. Bravo! Do not be afraid to report items you have maintained records on and have complied with the law. I believe many people go out of business and never report anything. Remember also this year many business’s will close their doors and will never be seen again.

This advice was prepared based on our understanding of the tax law in effect at the time it was written as it applies to the facts that you provide. Click on my profile to read more.
Errol Quinn Enrolled Agent Master Tax Advisor

Harbor Financial Online Tax Refund Estimator 2010. A Quick and Easy Tax Return Estimator

Estimating taxes online can be accomplished with a few clicks of the mouse. Taxpayers can calculate 2009, 2010 federal and state income tax return forms with the free tax estimator tool. This easy to use tax estimator has already factored in all of the new tax laws to keep the tax return up to date and accurate. (PRWeb Jan 21, 2010) Read the full story at http://www.prweb.com …

What to do if your 1031 Exchange is audited by the IRS