IRS issued an alert to tax payer to adjust 2023 withholding

IRS starts accepting 2022 taxes starting from today Jan 23, 2023. At the same time, IRS is reminding tax payers to revisit their withholding from their paycheck towards 2023 taxes. If you are not withholding enough taxes, you are at the risk of paying penalties when you file 2023 taxes. If you are withholding more than what your obligation is, you are effectively giving the government an interest-free loan.

There are resources for you to determine the close to the right amount of taxes you will owe to the IRS.

Tax Withholding Estimator, this tool calculates the taxes owed based on the tax codes for 2023 and help taxpayers determine if they have to make any adjustments to their withholding in order to avoid owing taxes and potentially end up paying penalties for insufficient withholding when they file taxes the following year.

How Looming Recession May Affect Tax Collections

The Fed is raising rates. Prices for food and fuel are skyrocketing. Signs are pointing to a recession on the horizon. And as we near the end of 2022, tax time—that time of year everyone looks forward to (sarcasm)—is also on the horizon.

As a business leader, it's important to be proactive and recognize your limitations. Don’t try to fool the IRS and cut corners because it never turns out well.. Scott Curley, o-CEO of FinishLine Tax Solutions outlines how a recession would impact taxpayers and how the IRS will be responding to them.

Why Small Businesses Fall Victim to the Payroll Tax Trap

tax debt relief services

It’s tough running a small business, and Covid-19 has only made it harder. After losing customers and struggling to survive, it’s understandable that some would be looking anywhere and everywhere for a little extra cash.

Business owners who fail to remit payroll taxes to the IRS on time and in full are vulnerable to harsh penalties. Scott Curley, o-CEO of FinishLine Tax Solutions looks at the dangers of borrowing from payroll funds and how small businesses can avoid the trap.

Should we file taxes jointly or separately? A guide for couples who said ‘I do’ in 2022

In order to file a joint tax return in 2023, you have to have been legally married by Dec. 31, 2022. So as long as you got your marriage license in 2022, you're considered married in the eyes of the IRS.

But if you got divorced or legally separated from your spouse at any point during 2022, you're considered unmarried for the entirety of the year and cannot file a joint return.

"The system does not distinguish between parties if they file jointly," says Curley of FinishLine. But if you file separately you won't be liable for your spouse's tax burden. 

Curley says "dozens" of his clients over the years ran into this issue because one spouse wasn't transparent with the other about how much money they owe the IRS.

He recommends bringing this up with your partner before you tie the knot.

Back Taxes: Why You should Seek Help From Tax Resolution Experts

Dealing with taxes is stressful for many people. Even if you are diligent and organized, you may find yourself owing back taxes to the IRS. You may not know the best way to deal with owing money to the IRS. Fortunately, there is help available. 

If you have outstanding back taxes, it may help to work with a tax resolution expert. A tax resolution expert can provide professional advice and assistance. They help individuals and businesses resolve their tax debt on time and cost-effectively. 

With their expertise, a tax resolution expert can help you get your finances back on track. They can also save you money in the long run. Here are a few reasons why you should get help from tax resolution experts to resolve back taxes.

Experienced Guidance

Tax resolution experts can provide invaluable guidance and advice. Thus, they can help you make the best decisions for resolving your back taxes. They will also take time to assess your unique situation. Doing so allows the experts to provide you with a customized plan to get the best possible outcome.

Tax resolution experts have a wealth of knowledge on tax law. Given their experience, they can help you understand your tax situation. You will be able to better comprehend why you owe taxes and your options for resolving your back taxes.

Negotiation Skills

Tax resolution experts have had years of experience negotiating with tax agencies. They know the best strategies to negotiate favorable terms with the tax agency. 

These strong negotiation skills can be a major benefit when resolving back tax debts. Tax resolution experts handle negotiations to create a manageable payment plan for you.

In addition, the experts can help negotiate a settlement with the tax agency. Doing so can result in a reduced amount of taxes owed. 

Cost Savings

A tax resolution expert can help you utilize the right strategies to minimize your tax debt. In doing so, they help save you money. 

Tax resolution experts can also help you set up a payment plan that makes back taxes more manageable. Doing so can help taxpayers avoid additional penalties and interest.

Filing taxes can get complicated, and you might make costly mistakes. When you work with a tax resolution expert, they can help you avoid making mistakes. Thus, they can help save you time, money, and stress. The experts can also ensure you get the best possible deal when resolving your back taxes.

Reduced Stress

Dealing with back taxes can be stressful and overwhelming. A tax resolution expert can help you relieve some of that stress. They can take the burden off your shoulders and deal with the paperwork and negotiations. In doing so, they allow you to focus on other important issues. 

Working with tax resolution experts can also afford you peace of mind. You can rest easy knowing that your back taxes are being handled correctly. Experts will work to ensure that you get a resolution that is in your best interests. 

Save Your Credit Score

Your credit score measures how trustworthy you are in paying back debt. It’s important because it affects what types of loans you can get. It also impacts how much you’ll pay for them.

Owing money in the form of back taxes can hurt your credit score. The unresolved debt will reduce your credit score. A lower credit score may make it difficult for you to get a loan. Experts can help you with timely tax resolution, saving your credit score. 

Reach Out to the Tax Resolution Experts at FinishLine Tax Solutions Today

Working with a tax resolution expert to resolve back taxes is a wise decision. They have the expertise to help you resolve your back taxes effectively.

At FinishLine Tax Solutions, our tax resolution experts are ready to help. We can provide you with the guidance you need to resolve your tax issue. Don’t wait any longer. Contact us today to get the help you need.

The IRS Waives $1.2 Billion in Late Fees. How You Can Take Advantage

Tax Resolution

If you haven’t filed your federal tax returns yet, or filed them later than you should have during the pandemic, you’re in luck. The IRS is issuing a refund for any late fees you paid. It’s also automatically waiving late-filing penalties currently. The agency says this amounts to about $1.2 billion dollars.

One way taxpayers can take advantage of this waiver is to apply credits for the waived fees to outstanding tax balances. Most people who haven’t filed also typically owe back taxes. The two often go hand in hand. The fee waiver gives a unique opportunity to taxpayers to apply this money towards those back taxes, with an eye on preparing to meet all future filing requirements.

Inc5000 Magazine Spotlight on FinishLine Co-Founders

Scott Curley and Brian Gordon, Co-CEOs of FinishLine Tax Solutions, a firm that negotiates tax resolution agreements for clients that have tax problems share their story. Leading with Heart, these leaders approach tax relief by putting customers first. FinishLine is self-funded and focused on impact as opposed to cash. The partners are confident that they have the talented and experienced team in place to achieve continued explosive growth.

Benefits of Working with a Tax Debt Attorney

Filing Back Taxes

Trying to resolve a tax issue with the IRS can require a level of skill that you may not have. Owing tax to the federal tax administrator is not a joke, as you can potentially face penalties for any outstanding tax liabilities you have.

The Internal Revenue Code has many complex rules that can be hard to follow when trying to resolve a tax issue. Our tax debt attorney at FinishLine Tax Solutions can assist you in settling what you owe the government. Some of the common benefits of working with our lawyers include the following:

Tax Code Knowledge

The tax laws on state and federal levels are always changing. Rather than living in despair, our lawyers can research and apply the laws that affect your tax problem.

Protection from Intimidation

Some IRS agents may be unprofessional and might even use intimidating tactics on you. Our tax dent lawyers can act as a representative for your case to protect you against abuse.

Peace Of Mind

The bureaucracy that comes from dealing with a government agency can be overwhelming. Instead of needing to go at it alone, we can help you get your affairs in order.

Can I Settle IRS Tax Debt Myself or Work With a Tax Debt Attorney?

If you owe the IRS taxes, there are multiple ways you can settle your tax obligations to the federal agency. One of these ways is to settle your debts directly with the agency. We recommend getting assistance from a lawyer familiar with the payment processes to negotiate a suitable payment plan for you.

When Should I Hire a Tax Debt Attorney?

While you can solve most problems without a lawyer, it is advisable to get the services of a tax debt attorney if you have a complex tax situation. Owing a significant sum to the IRS or facing legal charges will require you to get the services of an attorney. Some of the other common reasons to hire a tax attorney can include the following:

  • You have a large estate and want it to be passed to your loved ones without the IRS taking a large portion of it as taxes.
  • Disputing a tax billing by the IRS and avoiding one in the future.
  • Making a big business decision or investment.
  • If you have past unfilled taxes and errors amounting to an overwhelming debt.

How to Settle the IRS Tax Debt?

Owing the IRS is not a good idea as the government will eventually catch on and slap you with an enormous bill plus interests. Fortunately, the IRS often deals with those who can show they were not trying to cheat the government. The IRS offers the following payment plans to settle your debts:

Offer in Compromise

This is one of the most popular methods of settling tax debts as you can pay the IRS a reduction than what you owe in taxes. To qualify for the payment plan, you have to prove to the IRS that you are not in a position to pay the full debt amount. If the agency accepts the compromise agreement, you will have two years to settle your debts in full or in installments.

Filing For Bankruptcy

Banking can help you eliminate all your tax debt without paying them, but it can hurt your credit score. To be eligible for a financial lifeline, your finances must be examined through the bankruptcy codes of Chapters 7 and 13.  

Currently Not Collectable

This is a temporary state that the IRS will allow if you can prove that you are not in a position to pay your taxes. You show that your previous tax payment made you suffer significant hardship to be eligible.

Installment Plan

Similar to a home mortgage payment plan, this method allows you to pay the IRS every month what you owe in your dent. The IRS will develop a formula to generate a monthly figure you must pay.

Contact a Tax Debt Attorney Today

We believe you can achieve as much value on your tax debt problem though working on our firm’s model. Our attorneys will review all available payment plans and strategize what works better for you. Contact us today for a case evaluation and tax legal advice.