Question: Can I use the deed to a house we own free and clear to make an offer in compromise to the IRS for back taxes? Answer: The short answer is no. Basically, in determining whether you qualify for an offer in compromise, the IRS will examine you entire financial “self.” You can kind of…
Category Archives: IRS Tax Resolution
Offer in Compromise Manual
If you are in tax debt with the IRS there is a way you can negotiate with the IRS to settle the amount you owe for less. This IRS program that allows for this is called an offer in compromise. As an attorney, I have negotiated lots of these for my clients. However, I know…
Hobby vs. Business: Do you Depend on Income from this Activity
We are continuing on through the Hobby vs. Business series and have come to the second of the factors used to determine whether your activity should be considered a business or a hobby and we remember that this determination could make a huge impact on your tax returns and what you will owe the government…
Hobby vs. Business: A Brief Overview
I am frequently asked if you have a “small” business in your home do you have to pay taxes on what you earn. Of course, you have to pay taxes on your net gain. So that leads to the next question. What type of expenses can I write off in my business. The IRS regulates…
IRS Innocent Spouse Relief…Not Really
I receive a lot of referrals of clients from divorce attorneys in town seeking what they call innocent spouse relief. I have to admit, it sounds good! I mean, if your soon-to-be ex-spouse has agreed to pay all of the outstanding taxes then you should be an "innocent spouse," right? And recently, I have been talking…
Business Owners Personally Liable for Business Taxes?
Recently, our firm gave a talk at the local Rotary Club here in Greenville, SC. After the session, one of the members who is a financial adviser to small businesses asked about a certain part of our presentation. Specifically, he wanted to know if business owners could really become personally liable for the taxes owed…