strategies-init
How to Deal With an IRS Bank Levy – Part One
When you owe a balance due to the IRS and fail to resolve that balance in a timely manner through one of the approved resolution methods, the IRS takes increasing stern action to try and force compliance on your part. One of these avenues is though an IRS bank levy. An IRS levy is defined as “a legal seizure of your property to satisfy a tax debt.”[1] In the case of an IRS bank levy, the IRS takes money from your checking or savings account in order to satisfy your outstanding tax liability. Although the IRS is required to send notice of its intent to levy under statute, it usually does not tell you when it plans to seize money out of your checking account. Sometimes this puts taxpayers in a precarious position because they count on funds being in these accounts that are no longer available due to the IRS levy.
Key Takeaways
- When you owe a balance due to the IRS and fail to resolve that balance in a timely manner through one of the approved resolution methods, the IRS takes increasing stern action to try and force compliance on your part.
- The IRS bank levy process is initiated by a notice sent from the IRS to the bank that is holding your assets.
How to Choose an IRS Tax Return Preparer – Part One
Introduction To Choosing A Tax Return Preparer
Key Takeaways
- Tax return software, although extremely popular, is often only as smart as its user. I have amended numerous returns for individuals who have made serious errors using tax software.
- With respect to tax return preparers, I also know that not every tax return preparer is created equal.
- Also, just because someone is an accountant, does not mean they are qualified to prepare individual tax returns. I know high-ranking, Big Four accounting firm partners who do not know the first thing about tax.