The IRS is legally required to charge interest on any unpaid tax from the original due date until the balance is paid in full. In addition, late payment penalties (typically 0.5% per month, up to 25% of the unpaid tax) will accrue. If you don’t file your return on time, the late filing penalty is...
An IRS asset check is a process where the IRS reviews your financial and property holdings to determine your ability to pay outstanding tax debts or to verify information reported on your tax returns. Asset checks are used in both audits and collection cases. The IRS gathers information from your tax returns, third-party reports (like...
An IRS levy is a legal seizure of your property or rights to property to satisfy a tax debt. Unlike a lien, which is simply a claim against your property, a levy actually takes your property. The IRS can levy a wide range of assets, including: Bank accounts Real estate Cars and other personal property...
Generally, the IRS has 10 years from the date your tax is assessed to collect any outstanding tax, penalties, and interest. This 10-year window is called the Collection Statute Expiration Date (CSED). The “assessment date” is when the IRS officially records your tax liability. This could be the date you file your return, the date...
As remote work, business travel, and cross-border commerce become more common, more Americans are finding themselves subject to tax obligations in multiple states. Whether you’re an employee working remotely, a business owner with customers in several states, or a frequent traveler, understanding how state tax rules overlap is essential to avoid double taxation, penalties, and...
5 Smart Ways to Lower Your 2026 Tax Bill Reducing your tax bill doesn’t always require complex tax strategies. In many cases, the biggest tax savings come from deductions and adjustments that taxpayers either overlook or fail to maximize. For 2026, several valuable deductions remain available that can help lower taxable income and...
When taxpayers fall behind on their federal tax obligations, the IRS has multiple tools at its disposal to initiate collection. One of the most common — and least understood — is the Automated Collection System (ACS). If you’ve received letters from the IRS or had your wages or bank accounts levied, chances are you’re in...
When financial struggles hit, it’s tempting to cut corners. But a recent case proves that taking the wrong path can lead to devastating consequences. Shawn Ray Murnan, a business owner from Florida with ventures across several states, was sentenced to 33 months in federal prison for submitting false loan applications to the SBA. Between 2020...
If you’ve been hit with IRS penalties for failing to file, pay, or deposit taxes on time, the costs can add up quickly. But there’s good news—if this is your first offense, you may qualify for the IRS’s First Time Penalty Abatement (FTA) program. At Accutax, we guide taxpayers through the FTA process, helping them...
Another common issue we see—especially with cash-heavy businesses—is owners providing incomplete or false information to their tax preparer, believing it reduces risk or taxes owed. A recent federal case out of Wyoming shows how dangerous that assumption can be. Shu Ping Chen, owner of a Cheyenne restaurant, was sentenced to 18 months in federal prison...
Copyright by Accu-Tax, Inc. All Rights Reserved.
Copyright by Accu-Tax, Inc. All Rights Reserved.
