A business owner runs the books himself. He codes some personal expenses as business costs so the other owners will not see how much the company pays for his lifestyle. He is not thinking about the IRS at all. He just does not want his partners asking questions. Years later, the IRS shows up and…
Category: Tax Procedure
Tax Procedure
From IRS audits and appeals to tax litigation and penalties, our tax attorneys can help you navigate the tax procedure landscape with confidence. Give us a call to see how we can help, (713) 909-4906.
For the COVID Sick Leave Credit, What is a Real Business?
The COVID pandemic impacted just about every business in the U.S. Right or wrong, Congress acted to prevent the financial fallout. This was accomplished in large part by making refundable tax credits available to businesses and business owners. Small business owners spent 2020 and 2021 and the years that follow trying to claim the tax…
A Customer Paid to Expand Your Factory. Is That Income?
Your business has a big customer. The customer wants more product than your business can make. So the customer offers to pay for a building expansion on your property to allow you to make their product. Your business does not take a dime of that building money. The cash goes straight to the contractor from…
Owe the IRS but Can’t Tap Home Equity to Pay?
A taxpayer falls behind on his taxes. Life happens. A spouse gets sick, a house goes into foreclosure, and the bills pile up. When the IRS sends a notice threatening to seize assets, the taxpayer says what feels obvious. I cannot pay this. That sounds like it should be the end of the matter. If…
IRS Levy for a Debt It Already Agreed to Payment Over Time?
Most people think a tax debt is a tax debt. You owe the money, the IRS collects it, and that is the end of the story. But there is often more than one legal mechanism the government can use to collect the same dollars. Sometimes those mechanisms overlap. That overlap can create problems. Suppose the…
Married Filing Separate, Community Property Reduction
Most small business owners think of their income as their own. You do the work. You bill the client. The money lands in your account. So when the IRS audits you and says you left income off your return, it feels like a problem that belongs to you alone. But that is not always how…
Lose the Hobby Loss Fight, But Save the Farm
Most people who run a side venture know the IRS can be a difficult business partner. It happily takes a cut when the venture makes money. It often refuses to share in the pain when the venture loses money. The hobby loss rules are one of the tools the IRS uses to do this. So…
When One Spouse’s Fraud Keeps the IRS Clock Open for Both
Married couples file a joint tax return because it is usually the easy choice. One return, one signature line for each spouse, one refund or one balance due. The convenience is real. So is the shared responsibility that comes with it. Most people understand that signing a joint return means both spouses are on the…
When a Spouse’s Tax Evasion Conviction Does Not Bind You
A married couple files joint tax returns. Years later, one spouse is criminally convicted of tax evasion. The IRS then comes after both of them for the back taxes and a fraud penalty. Can the spouse who was not convicted fight the fraud finding if she was never charged with anything and never set foot…
What If You Don’t Show Up to Your CDP Hearing?
You get a Final Notice of Intent to Levy for a year that you don’t feel that you owe the tax. The IRS made a mistake. You file the Form 12153 to request a Collection Due Process hearing because that’s what the letter says to do. The IRS assigns a settlement officer. She sends you…