Mesa Tax Preparation: Capital Gains Tax & Losses explained simply

Mesa Tax Preparation

At times capital gains & losses can be very tricky on how to correctly report on your Mesa Tax Preparation. Below I have explained it as simply as I can. If you find it confusing or are still unsure its important to seek advise from a professional. I don’t charge for an initial consultation to discuss your particular case.

If you realize a profit when you sell an asset, such as a stock, you have a capital gain. In other words, if you sell an asset for more than you bought it for, you made a profit and will need to pay capital gains tax. The IRS differentiates between long-term capital gains (on assets held for over one year before selling) and short-term capital gains (sold within one year or less). The tax rate for long-term capital gains is lower than short-term. You may be required to make estimated payments if you have a large amount of capital gains.

If you have capital losses (the sale price is lower than what you paid originally), you can claim no more than $3,000 per year (married filing jointly). You may be able to carry the loss forward to later years if your total loss is over $3,000.

For a more detailed explanation of capital gains & losses for your Mesa Tax Preparation click on the following link (IRS Topic 409)

Tax Debt Advisors, Inc – Scott Allen, E.A. www.TaxDebtAdvisors.com

Mesa AZ Tax Preparation

Regular Post

Written by Scott Allen

19 October 2010

Tax Evasion

Tax evasion is a crime that is punishable with asset seizure, fines and imprisonment. The temptation to underreport income occurs with self-employed cash intensive businesses. Tax fraud can also involve using a fake or false social security number, claiming to many dependents on your tax return and falsifying your accounting records.

Don’t assume that when you get a letter to be audited that the IRS suspects tax fraud. Most audits generate some adjustments to the tax amount owed. Auditors are trained to know the difference between tax evasion and honest mistakes.

If you are found guilty of tax evasion, you will not only have the tax, interest and penalties added but also the expenses of the cost to prosecute your case in court. This situation is one in which the services of a tax attorney is highly recommended. The attorney you select should have a majority of his or her practice with tax evasion case work.

If you suspect or know that you are guilty of tax evasion, it is best to tell the IRS right up front that you want to have legal representation. The IRS will agree to you right to be represented by an attorney. Who you pick to represent you is very important. Someone who is respected by the IRS as well as the Judge will have a greater chance of reducing the chances of imprisonment. We can recommend an attorney that you can trust and have confidence will represent you in the best possible manner.

Scott Allen E. A.

Tax Debt Advisors, Inc

www.IRShelpblog.com

IRS help by state, IRS Problems, IRS Tax Attorney

Arizona IRS Tax Attorney, Tax Attorney Arizona

Regular Post

Written by Scott Allen

21 June 2010

WHAT DO I DO WHEN AN IRS AGENT CONTACTS ME?

An IRS Agent has contacted me

What should you do if an IRS agent shows up at your business, place of employment or your home. The best thing to do is to tell the IRS Agent that you wish to consult a representative before proceeding any further. If you ask this, the IRS must stop the interview immediately. If the IRS agent does not allow you to have representation they are violating Internal Revenue Cope Section 7521 (b) (2) which says.

“If the taxpayer clearly states to an officer or employee of the Internal Revenue Service at any time during any interview (other than an interview initiated by an administrative summons issued under subchapter A of chapter 78) that the taxpayer wishes to consult with an attorney, certified public accountant, enrolled agent, or any other person permitted to represent the taxpayer before the Internal Revenue Service, such officer or employee shall suspend such interview regardless of whether the taxpayer may have answered one or more questions.”

Requesting representation does not make you look guilty. In most cases the IRS representative will feel that you know your rights and that you are serious about following through. In a nice way, it notifies the agent that you are not frightened by their efforts to catch with your guard down. The agent will give you a card and a deadline to get back to them with your representative, who will need to file an IRS form 2848.

Your representation needs to contact the IRS as soon as possible to find out specifically what the IRS is seeking—filing back tax returns, pay back taxes, etc. I can represent you before the IRS without you being present and in most cases that is the best way to work with the IRS. In certain cases the IRS can issue a summons that requires you to be present whether or not you have a representative.

One final suggestion. Never get mad or argumentative or issue any threats. This is a signal to the Agent that you are not going to be cooperative and will make things harder for your representative and perhaps increase the extent of the work needed to get a settlement with the IRS. Schedule a free consultation to visit with Scott Allen EA so he can discuss your matter and give you good reliable advice. If you see fit, he can be your IRS power of attorney and represent you from start to finish.

Scott Allen E. A.

Tax Debt Advisors, Inc.

IRS Problems, IRS Tax Attorney

Phoenix AZ IRS Tax Attorney