strategies-init Archives - Page 15 of 75

How to Request an EDD Installment Agreement

April 23, 2026September 1, 2021 by Brotman Law

There are many individuals – including famous ones – that don’t pay or haven’t paid their taxes in years. Take for instance the late Anthony Bourdain. Before he became a household name with “Kitchen Confidential,” he hadn’t paid his taxes in ten years. He lived with the unrelenting anxiety of the IRS finding out and taking the little money he had to live on.

Key Takeaways

There are many individuals – including famous ones – that don’t pay or haven’t paid their taxes in years. Take for instance the late Anthony Bourdain. Before he became a household name with “Kitchen Confidential,” he hadn’t paid his taxes in ten years.
Until he was 44 year old, Bourdain worked as a chef, lived paycheck to paycheck, and was in some serious debt.
After “Kitchen Confidential” became a hit and the money started to flow, Bourdain said he called up the IRS and his credit card company, paid what he owed and never racked up debt again.

California Payroll Tax: SUI, ETT, SDI & PIT Employer Guide

April 23, 2026August 13, 2021 by Brotman Law

The California payroll tax structure for an employer in this state is based on four distinct taxes, commonly referred to as the CA SUI, ETT, SDI, and PIT payroll taxes. There are different rates for each of these taxes and the calculation methods are different as well.

What Happens During a California Independent Contractor Audit?

April 23, 2026August 4, 2021 by Brotman Law

The auditor’s first goal in an independent contractor audit is establishing a system and a pattern of routine for the business’s operations. For example, if we have a retail store and the retail store has two locations, in each location, we have anywhere between five and seven employees at a time.

Key Takeaways

The auditor’s first goal in an independent contractor audit is establishing a system and a pattern of routine for the business’s operations.
The EDD auditor will use that information to develop a pattern within the business on who the key members of the business are. Essentially, who are the key members of the business and what services do those individuals perform.
The auditor here is establishing a pattern of who the business’s workers are who function as employees. The reason for the auditor doing that obviously is to compare the employees to any independent contractors that the business may have.

State Income Tax Considerations in Multi-State Tax Planning

April 23, 2026July 30, 2021 by Brotman Law

Companies that have employees working in other states must pay close attention to each state’s payroll tax regulations. In many cases, payroll tax will be owed to California and to the other states where your employees are working.

Key Takeaways

State Payroll Taxation and Nexus
Refunds for Tax Paid to Other States
Implications for Service Businesses
Location, Location, Location
Who to Pay?

Payroll taxes are determined on the proportion of income that is generated per state and must be paid to each state.

FBAR Penalty Appeals and Compliance Programs

April 23, 2026July 28, 2021 by Brotman Law

Key Takeaways

Pre-assessment vs. Post-assessment
Litigation
Resolution Programs
Revised Offshore Voluntary Disclosure Program
Completing the Certification Forms

If you cannot come to an agreement to resolve your FBAR issue during the IRS examination stage, you may have a few options. The options available to you will depend on where you are in the penalty process, whether you were found to be in willful violation, and your history of compliance.

What Living Expenses Does the IRS Allow?

April 23, 2026July 16, 2021 by Brotman Law

Although a favorite saying of IRS revenue officers is that “The IRS is not a bank” and takes collection of taxes owed seriously, the IRS is prevented from collecting assets that a person needs to survive and meet their basic living requirements. The IRS does not have the best reputation of cutting delinquent taxpayers much slack, so that is why I wrote this article for you.

Key Takeaways

The Definition of IRS Allowable Living Expenses
How IRS Allowable Living Expenses Are Classified
Conclusion

The Consequences of Running from the IRS

April 23, 2026July 7, 2021 by Brotman Law

The consequences of running from the IRS are specific to federal tax laws that govern the ability of the agency to pursue and recover tax funds as well as those tax laws that govern your response to notices of tax deficiency.

Key Takeaways

The consequences of running from the IRS are specific to federal tax laws that govern the ability of the agency to pursue and recover tax funds as well as those tax laws that govern your response to notices of tax deficiency.
It is important to understand that the statute of limitations for taxes never runs out.
There are exceptions to this three-year rule. If you substantially understate your income, then the statute runs six years.

Facts about Franchise Tax Board Settlements

April 23, 2026June 28, 2021 by Brotman Law

The California Franchise Tax Board (FTB) has authority to settle administrative civil tax disputes. The civil tax disputes include those that arise out of protests, appeals or refund claims filed by taxpayers.

Key Takeaways

Understanding the FTB Process
How to Apply for a Settlement
Plan to Act Quickly

What Is a California Sales Tax Exemption?

April 23, 2026June 18, 2021 by Brotman Law

Key Takeaways

If you own a business which produces and sells tangible goods, then you are obligated to pay sales tax to the CDTFA.
It is important to understand which types of business can get a partial or full sales tax exemption and the consequences for improperly failing to pay sales or use tax.
Other exemptions exist to avoid burdening certain organizations with the obligation to collect sales tax, and so many nonprofit or veterans’ organizations are wholly exempt.

If you own a business which produces and sells tangible goods, then you are obligated to pay sales tax to the CDTFA. There are, however, a number of exemptions to this rule, some of which apply to various types of goods and others which attach to certain buyers.

Do You Owe Sales Taxes? CDTFA Collections Can Track You Down

April 23, 2026June 11, 2021 by Brotman Law

Key Takeaways

If it is determined that your business owes unpaid sales or use taxes, the CDTFA may take steps to claim that money.
If you receive a notice from the CDTFA about a sales and use tax liability, you may benefit from the help of an experienced tax attorney to help you navigate the issue.
Unpaid taxes may attract large fines and penalties on top of the original liability, and any delay or confusion can quickly compound a bad situation into something much worse.