The IRS Taxpayer Advocate helps taxpayers resolve problems with the IRS and also recommends changes to help prevent problems in the future. The Taxpayer Advocate handles those issues when the tax problem is causing significant financial difficulty, when you or your business are facing immediate, adverse threat and when you have tried to contact the IRS repeatedly to no avail.
Income Tax
Virtual Currency Gains Momentum
Virtual currency is a digital version of “value.” This value functions as a medium of exchange and may be used to purchase goods, services, or stored for investment. Essentially, it’s digital money and is quickly gaining popularity.
Can Currently Non-Collectible (CNC) Status Stop the FTB?
Sometimes your financial fortunes take a turn for the worse, and you find yourself owing back taxes to the Franchise Tax Board. You don’t even have two coins to rub together, much less make installment payments, yet you are looking for an alternative to filing for bankruptcy. An Offer in Compromise is also off the table; you just don’t have the money.
Get to Know California Income Tax Brackets
In California, state income taxes are generally among the highest in the country, but the burden is spread among different segments of the population. The rate of California income tax is arranged on something of a sliding scale, separated by income tax brackets.
The California Franchise Tax Board & Business Income Taxes
California can be an expensive state in which to do business, and it’s not getting any cheaper. Small businesses in the state are particularly hard hit under the state tax laws.
California has a higher than average state income tax imposed on business and personal income, plus it engages in double-taxation when it comes to business entities structured so that the income passes through to the owner.
The Franchise Tax Board is the agency responsible for administering personal and business income tax in the State of California. While the state generally follows the lead of the IRS in setting policy, it does not do so in every instance, as we shall see.
4 Frequently Asked Questions about California State Taxes
As a tax attorney, I get asked a lot of questions everyday regarding – you guessed it – the rather specialized world of California taxation. To be sure, some questions are asked more frequently than others. In light of this, I’ve given some thought to four frequently asked questions and hope that my answers provide you with the information that you’re interested in.
IRS Prioritizes More Delinquent, High-Income Taxpayers
Imagine yourself working as an IRS agent. Your department is in charge of identifying delinquent, high-income taxpayers who gross $200,000 or more per year in your state.
An Update on California’s Proposals to Tax the Rich
During the summer of 2020, California’s political machinery continued to whine and hum. As its populace sheltered in place with COVID-19, two tax bills were introduced on the state’s Assembly floor.
Tax Return Demand from the FTB Intensifies
{{cta(’09b64408-9310-4451-9a41-0234b45d370e’,’justifyright’)}}Are you a marketplace facilitator or out-of-state business who has received a tax return demand from the California Franchise Tax Board? If so, read this before you respond. We’ve provided the essential background information you need to formulate a plan prior to your response.
What to Do If You Miss the Tax Filing Deadline
Uh oh. It is now after April 18th, and you did not file your taxes. What do you do?
If you are expecting a refund, you don’t sweat it because you do not get penalized for not filing in this case. You won’t get your refund until you do file, but otherwise, the IRS is not going to come after you for your paperwork. (If you wait until after April 18, 2020, though, the IRS keeps your refund, so you better get on it.)