Taxation Law Articles

There is a significant hidden federal tax lien that may attach to real property conveyed by a foreign Seller. It may not turn up in a search of the public records and, ultimately, impose an obligation on the Buyer to pay a portion of the Seller’s income tax obligation.

For many, especially non-experts on taxation, tax time can be daunting. Should you go for the standard deduction or itemize?

Due to the number of taxpayers, you may think that what you do will be unnoticed by the IRS.

There are experts qualified to assist you if you are daunted by the tax laws' complicated loopholes. Tax attorneys from Tampa can assist you with the deductions and the different forms to fill out so you'll grasp them better.

Because IRS jurisdiction is a little murky, protesters normally attempt to dispute the power of the IRS to avoid paying taxes. To avoid having IRS issues in the future, have a look at how wide the jurisdiction of the Internal Revenue Service extends.

Root canals and IRS audits are two things that can make you wince. You will be able to steer clear of a root canal if you take care of your teeth. Likewise, you'll be able to steer clear of an IRS audit by avoiding certain practices and look after your financial well-being.

In general, people feel anxious when confronted with possible IRS penalties like the payment of back taxes. Unbeknownst to them, there are actually guidelines and strategies that will help them contend these issues.

It is always in your best interest to file for an amended tax return if you realized that there were mistakes on last year's tax return or the one you just sent off in the mail. You do not want the IRS to learn about the discrepancy because this could lead to serious IRS problem for you in the future.

There are two primary methods that the IRS uses in order to collect tax debts from taxpayers: wage levies and bank account levies. Regardless of which technique the IRS chooses to implement, both points out that you have a grave IRS problem.

The ultimate purpose of an Offer in Compromise or an OIC, is the settlement and elimination your tax debt. This is an arrangement where both parties, made up of you as the taxpayer and the IRS, arrive at a mutually beneficial agreement.

Most people are usually rather afraid of a tax audit. Although there are several frightening stories out there from people who have undergone tax audits, an unfortunate fact is that many of them are factual. At any moment, the Internal Revenue Service can audit individual taxpayers or businesses.

The IRS collections process begins with your submission of your tax return, excluding the amount of taxes due. It will be the IRS who will determine the taxes owed and they will send this to you through a bill.

It seems that the IRS makes itself known in everything you do in your life. Getting married, getting divorced, having a baby, getting a new job, buying a house and even purchasing an energy efficient car have tax implications.

People do not file their taxes for many reasons. But while some reasons are acceptable, the IRS still requires that late and back taxes be filed. To define, late taxes include those returns that should have been filed for a particular year while back taxes are the tax dues dating as early as the mid 1980s. Doing so will certainly help you alleviate and avoid possible problems with the IRS.

Numerous people have to pay money because of financial issues. Among creditors, the IRS is the most ruthless and utilize certain techniques to collect tax debts. You can get the IRS off your back with the protection made available by a bankruptcy claim.

A checklist ensures that you have everything you need when it is time to settle taxes. The process will not be nearly as stressful, because it will be simplified.

In essence, bankruptcy already has a bad connotation, and this negativity is increased with the latest amendments in the laws pertaining to it. For a number of people, on the other hand, this becomes their best option. Thus, it is important that we understand what the concept really is, what the filing requisites and procedures are and what the process is. The need to refer to a Tampa tax lawyer should not be missed as his expert opinion is instrumental in bankruptcy filings.

What is the Automated Collection System? The Automated Collection System (ACS) controls Integrated Data Retrieval System (IDRS) balance due and non-filer cases requiring telephone contact for resolution. Simply put, the ACS is a computerized network which communicates with taxpayers who owe money to the IRS, which is a huge IRS problem.

The argument can be heard each time. The IRS and the government tax everyone else and collect more money from the poor than they do from the rich. The rich are forever applying tax loopholes so that they don't have to settle any taxes. They're getting away with criminal activities!

The strangest things are applied by people to attempt to deduct from their taxes. One woman attempted to deduct a $5000 mink coat as a business expense. A man attempted to deduct a fallout shelter he built as "preventive medical expense."

Intelligent taxpayers are aware that they should not pay the IRS any more than what they need to in taxes. They are aware that receiving a huge refund every year means that they overpaid and essentially loaned money to the government entirely interest-free. Of course, you do not want to end up underpaying and having to owe the government tax money, as it may lead to a potential IRS issue.

Many people are dealing with IRS tax problems as the deadline for filing taxes comes ever nearer. From surprise penalties to excessive tax debt, these IRS issues can be daunting, complex, and costly.

Common IRS issues such as late settlement of taxes lead to serious consequences like an IRS levy. A levy entitles the IRS to garnish wages, seize property, and empty bank accounts to be able to satisfy a taxpayer's debt or unpaid penalty.

Because creditors collect settlements direct from paychecks, salary garnishment is a tough situation for people in debt. For a score of reasons, people can have their wages garnished.

If you hear about the IRS garnishing somebody's wages, you have to understand that it is absolutely as terrible as it looks. Before you even get the chance to see it, they take your money from your paycheck. It goes directly from your employer to the Internal Revenue Service, and you don't receive any of that money.

You do not want to end up paying the IRS too little or too much at tax time. Filling out your W-4 form can be tricky, but if you adjust your tax withholding correctly, you will be maximizing your efficacy in paying taxes.

What kind of estate planning is advisable for individuals with a non US citizen spouse? In this article, San Francisco Bay Area attorney John C. Martin discusses three reasons why individuals with a non US citizen spouse should consider estate planning with QDOTs, and how to avoid several pitfalls.

The Internal Revenue Service no longer conducts face-to-face file reviews for every taxpayer who has been flagged for an audit. Instead, most audits take place either by mail correspondence or telephone. These less intrusive types of file reviews are not as likely to become confrontational, and the taxpayer is usually able to keep the matter private, without as much interruption to their daily lives.

The federal estate tax is defined by the Internal Revenue Service as a tax on the right to transfer property at death. The tax is imposed on the taxable estate, which is the total fair market value of the property transferred at death (called the gross estate) minus allowable deductions. Deductions allowed under the Internal Revenue Code include administration expenses, funeral expenses, charitable transfers and property that will be passed on to a surviving spouse.

The State Administration of Taxation issued Notice on Administration of Individual Income Tax Collection regarding Stock Transfer (hereinafter “Notice”) on May 28, 2009. The Notice emphasizes the liability of individual income tax payment by individual shareholders for the stock transaction and a strict procedure is set to avoid tax evasion.

Several years ago the Ontario government allowed dentists and doctors to incorporate professionally such that professionals were able to take advantage of the small business deduction limit. If your articles were amended sometime after January 2006 with subsequent share issuances to family members, you would want to ensure that the amendments and reorganization of the corporation was done properly.

Thinking of starting a new business but are confused whether it should be a sole proprietorship, a partnership or a corporation? Each form has its disadvantages and advantages.

International taxation of E-commerce

In California, Proposition 13 has revolutionized the property tax system. Parents can pass on a house to their children without any reassessment of property tax. However, one might lose the exception from reassessment if one fails to structure the transaction perfectly. In this article, attorney John Martin explores three ways that the exception from reassessment can be lost, and what to do about it.

What is an irrevocable life insurance trust (“ILIT”) and why would it be useful to me? This article explores the upsides and downsides of the “ILIT.” In this article, attorney John Martin concludes that an ILIT is both a cost-effective and powerful tool for providing liquidity, paying estate tax, avoiding Generation Skipping Transfer Tax (GSTT), protecting beneficiaries from creditors, and for business owners, keeping a business in the family.

This briefing looks at how the bail out of the banking industry will affect Tax Grouping Rules.

This information is designed to provide a general overview with regard to the subject matter covered. The author and publisher and host are not providing legal, accounting, or specific advice to your situation. You should consult with the professional advisor of your choice for specific advice.

Before the accession of Romania in the European Union there existed strict rules that prevented foreign investors, either legal or natural persons, to purchase land in Romania. After January 1st, 2007 when Romania joined the European Union these rules have been changed and as such presently foreign investors are allowed to purchase land in Romania under certain conditions.

Most importers applauded Ukraine’s entry into the World Trade Organization in May 2008, which resulted in a decrease of import duty (including the duty for the automobiles) from 25% to 10%.

The Madoff scandal has affected a very large and diverse pool of Investors, some of whom are reported to have lost most of their life savings... To help provide clarity and to assist Taxpayers the IRS is today issuing guidance articulating the tax rules that apply and providing “safe harbor” procedures for Taxpayers who sustained losses in certain investment arrangements discovered to be criminally fraudulent.”

Private placement life insurance is a pre-emptive IRS audit tax strategy that transforms taxable ordinary income and capital gains into tax-free income (with no income tax reporting required under current U.S. Law). Please reference IRS Private Letter Ruling 200244001 (May 2, 2002). For U.S. Persons with investment income, private placement life insurance provides for compliant, tax-free compounded earnings.

About two years ago there was a lot of media coverage about South Africa adopting something similar to what the Canadian tax regime has namely, a form of flow-through company. The idea behind this company was to assist the development of junior mining companies, by passing the tax breaks which a mining company is eligible for to its shareholders in the period before the mining company generates sufficient taxable income from production to utilise the costs generated by its mining activities.

The article details the effects of the new bankruptcy law on income tax discharges.

In Kazakhstan, taxation is governed by the Tax Code, which came into force on the 1st of January 2009. Kazakhstan is also a party to more than 35 double tax treaties with various countries. The double tax treaties prevail over the Tax Code, but their application must comply with established procedures.

For decades, many companies whose names appear in the Registry of Companies with the Corporate Affairs Commission (CAC) fail to pay annual corporate taxes or file annual returns.

Summary of the new legislation for the financing of German limited companies.

The Technical Committee on the Nigerian National Tax Policy has announced that the draft document of the tax policy is to be submitted to the Federal Executive Council for approval before the end of the year 2008.

The IRS Qualified Intermediary Program has heightened scrutiny as a result of the federal investigation into the Swiss Bank, UBS (the world's largest private bank). U.S. Prosecutors allege UBS deliberately abused the Qualified Intermediary Program ("QI Program"), selling offshore banking services to U.S. Taxpayers to evade taxes.

Double tax relief is a term associated with cross border transactions and refers interchangeably to any of the relief methods which may exist in domestic tax law or treaty law.

This article reports on the amendment of the Assessment and Collection of Taxes Law to incorporate the exchange of information provisions of Article 26 of the OECD Model Tax Convention of 2005 in double taxation agreements which have been concluded between Cyprus and other jurisdictions.

The need to protect and preserve the environment is no longer a debate. Governments around the world, including South Africa, have recognised the need to put certain legislative measures in place to ensure that the environment is, to some extent, preserved at the expense of business.

Overview of US tax laws affecting both US and non-US residents/citizens.

In an attempt to revive a tax incentive regime from 2004, the Argentine Congress enacted Law No. 26,360 (the “Investment Regime”) to stimulate investments in (i) capital assets (excluding automobiles) to be used in industrial activities and (ii) infrastructure works.

About two years ago there was a lot of media coverage about South Africa adopting something similar to what the Canadian tax regime has namely, a form of flow-through company. The idea behind this company was to assist the development of junior mining companies, by passing the tax breaks which a mining company is eligible for to its shareholders in the period before the mining company generates sufficient taxable income from production to utilise the costs generated by its mining activities.

About two years ago there was media coverage about SA adopting something similar to what the Canadian tax regime has, namely, a form of flow-through company. The idea behind this company was to assist the development of junior mining companies by passing the tax breaks which a mining company is eligible for to its shareholders in the period before the mining company generates sufficient taxable income from production to utilize the costs generated by its mining activities.

Governor Schwarzenegger has signed into law tax legislation with immediate and retroactive negative tax effects along with some future positive tax changes.

When the ECJ decided the case of Marks & Spencer Plc v David Halsey it found that the UK group relief rules where mostly consistent with European law.

The author discusses Law No. 5 of January 25, 2006 modifying Article 5 of Law 108 of 1974 which grants incentives for exports and indicates other provisions.

Business owners are well aware of how federal estate taxes can prevent the family business from passing to the next generation.

Ukrainian tax legislation is built on the principle of non-discrimination and equal terms of taxation for any business entity in the Ukraine. An overview of the taxation system for foreign investors and individuals.

On March 3rd 2008, the Official Gazette published Resolution N° 150 of the Labor Authorities establishing the Tax Credit Regime of the Labor Authorities (the “Regime”) meant to contribute with companies promoting social inclusion, improving the work quality of their staff and to allow unemployed people to prepare for the work.

Various issues relating to under the Sales Tax Law in India.

Constitutional restrictions of levy of sales tax on imports and exports are to be found in Article 286 of the Constitution of India. The said Article makes it clear that, the States have no power to levy sales tax on imports and exports.

China's tax refund policy for re-investment with profit by foreign investor

The Capital Markets Board of Turkey (CMB) released the restrictions governing the some of the financial operations of sports activities business listed corporations with a set of principles.

Taxation of the foreign natural persons and legal entities in Bulgaria

It seems that the Greek governments of the last years have realized that it is in the interest of the Greek people and of the state that many foreign residents of Greek origin or even foreign people who happen to have business or real estate interests in Greece claim their inheritance shares over Greek properties.

Taxation in the Kyrgyz Republic is regulated by the Constitution of the Kyrgyz Republic, the Tax Code of the Kyrgyz Republic, (42) specific laws, regulations, and instructions. The authorized agency responsible for the supervision of timely payment of taxes is the State Committee on Taxes and Duties of the Kyrgyz Republic.

It was more than 70 years ago that Schumpeter used the term “Tax Culture” in his celebrated article “Economic and Sociology of the Income Tax”.

Service tax is levied on several services. This article analises the constitutionality of levy of service tax on services provided as part of works contract.

Since King Mohammed VI ascended the throne in July 1999, he has actively pursued multifaceted economic, social and political reforms. Furthermore, multiple incentives have also been deployed to ease efforts for incoming investors.

On 21 August 2006, the Mainland government and the Hong Kong SAR government signed an "Arrangement between the Mainland of China and the Hong Kong Special Administrative Region for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income" (the "New Arrangement").