Bronx County, NY Real Estate News

By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. In order for the IRS to consider a taxpayer’s Offer-In-Compromise (OIC) request, a Reasonable Collection Potential or RCP must be completed and submitted along with supporting documentation as part of the package. The objective is a reduced tax liability that could be significantly less than an installment agreement but with a shorter time period of maybe 12 months or 24 months depending on the future income of the taxpayer. Without the RCP, then the Offer is likely to be rejected and the process would have to start over. The RCP Formula does allow for options that could increase the taxpayer’s expenses that could either lower the overall tax liability or perhaps put the taxpayer in a Currently Not Collectable status...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. A responsible person could be any employee who was in the position of making decisions involving the withholding and subsequent disbursement of the payroll tax trust fund to the IRS. A bookkeeper, sole proprietor, partner, and accounting firm are a few examples of the employees that could be made responsible simply because they have access to the payroll withholdings and the ability to effect or prevent its release.  The IRS can be very aggressive in obtaining these funds because they know taxpayers not only have payroll taxes withheld, but they’ve likely already reported them via the W-2 when filing their tax returns and received income tax refunds as a result. The IRS will aggressively go after anyone deemed respon...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. When taxpayers are seeking a tax debt resolution, they often think of asking for an Offer-in-Compromise or OIC. An OIC is one form of debt repayment that appears to be the most popular. Whether the taxpayer is eligible for an OIC depends largely on their ability to repay the tax debt. The IRS relies on the Reasonable Collection Process (RCP) to determine a taxpayer’s ability to repay tax debt because it involves the taxpayer’s gross income less qualified household expenses and the net equity in assets. The RCP formula has to be correct otherwise the taxpayer would have the offer rejected which could be costly.The IRS takes into account local and national standards when determining household expenses that taxpayers co...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. The taxpayer who has a lien on property, such as a house, could have the house discharged from under the tax lien. The tax lien is basically a claim made by the IRS for the property in an effort to collect on tax debt. Since the taxpayer has an asset (house), the IRS may have first claim on the asset above all other creditors. Discharging the asset can be accomplished through the sale of the house to satisfy the tax debt. The tax lien would not be discharged since it’s the claim on assets especially if by selling the house it would fall short of satisfying the tax debt. However, if the tax debt is satisfied through the sale of the house, then the lien would be released.Taxpayers can use the equity to fully pay the ta...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Taxpayers who may be seeking an Offer-In-Compromise (OIC) as a tax debt repayment solution may consider either a lump sum option or a short-term deferred option. The lump sum option would require the taxpayer to submit 20% of the amount offered to the IRS which is a calculation of the Reasonable Collection Potential (RCP). The RCP calculation would take into account the taxpayer’s net equity in assets and 12 months of future income. Once the RCP, application with fee along with the 20% upfront required payment, the IRS will determine whether the Offer will be accepted. Assuming the Offer is accepted, then the taxpayer would have 5 months to pay the remainder of the Offer that had been accepted. If the Offer is not ac...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Taxpayers who may be seeking an installment agreement such as an Offer-In-Compromise (OIC) but are having a tough time getting into compliance and can’t pay taxes owed right away may need to file for uncollectible status. Ordinarily the IRS won’t make any deals with taxpayers unless they’ve filed all back tax returns (up to the past 6 tax periods), but if the taxpayer files for uncollectible status via a Form 433-F to submit financial data, it could buy the taxpayer some time and hold off any potential levy. The IRS can review the taxpayer’s financial information to see if he/she qualifies for uncollectible status. The taxpayer could work on becoming compliant in the interim by filing necessary unfiled tax returns. T...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Many taxpayers may believe that an Offer-In-Compromise (OIC) is needed in order to resolve their back-tax debts. There are plenty of commercials that would make one believe that their back-tax debt could be reduced to pennies on the dollar. However, not everyone will need or even qualify for an OIC. The ability to obtain an OIC is really based on how much back-tax debt the taxpayer has as well as the ability to repay the debt. If the IRS determines that the taxpayer can pay all of the back-tax debt, then there would be no compromise and the taxpayer would be expected to make some other repayment arrangements on the full amount owed. The OIC could be the right solution for a taxpayer, but the Reasonable Collection Pot...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Streamlined Installment Agreement is an agreement that allows a taxpayer who owes less than $50,000 in back-tax debt to pay the IRS on a monthly basis. The reason why it’s called a streamlined agreement is because it’s relatively simple to set-up with the IRS. The taxpayer can simply make the arrangements over the phone with the IRS or apply directly for the installment agreement online at the IRS website. The taxpayer would not have to provide information about his/her assets or income to qualify which is likely the attraction to this type of agreement. In addition to having under $50,000 in back-tax debt, the taxpayer must not have had a back-tax debt or an installment agreement in the last 5 years. The taxpayer mu...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. A third-party could be held liable for paying the payroll tax fund which are tax withholdings held on behalf of the IRS. If the third-party is an individual, the person could be financially impacted. A parent could unknowingly become a third-party for an adult son or daughter in an effort to cover the business’ payroll. If the business owner in this case is short on money and the parent covers that responsibility by depositing the funds to cover payroll, then the IRS would seek the unpaid withholdings from the parent who made deposits for payroll. This would fall under “The Trust Fund Recovery Penalty” (IRC 3505).Under “The Trust Fund Recovery Penalty” (IRC 3505), the lender who provided funds to the business to cove...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. The first step in resolving payroll tax debt is to actually repay the payroll tax trust fund to the IRS. When employers of small businesses withhold federal taxes on behalf of their employees, they have a duty to hold the funds in trust as a fiduciary and in turn pay those withholdings to the IRS as scheduled. When small businesses don’t do this, it becomes a major problem for the IRS. The employees of the very same withholdings would have filed their federal tax returns claiming the withholdings from their W2s so the IRS knows it had already been withheld by the employer. Now they are wondering why they haven’t been paid those withholdings by the employer. Basically, they are paying out refunds to taxpayer employees...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Taxpayers who are unable to pay their tax debts due to financial hardship are able to obtain an uncollectible status. Uncollectible status is also known as Currently Not Collectible (CNC) and it based on a taxpayer’s ability to pay the tax debt through monthly installment payment. When the IRS determines that the taxpayer no longer has equity in assets or there is no or insufficient income to cover allowable expenses, then according to the IRS, the taxpayer would be placed in an uncollectible status. The taxpayer would be issued a letter indicating that the case is closed and CNC.When a taxpayer is placed in an uncollectible status, it does not mean the debt is forgiven. The tax debt is simply not collectible until t...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Taxpayers who have tax debt, but don’t know the exact details of their tax history will need to obtain their account (tax) transcript. The transcript will show all of the tax related information pertaining to the taxpayer during the course of a year. For every year a taxpayer has generated tax data, that information would appear on the transcript. The transcript would show when a tax return is received, any interest and penalties charged, any tax assessed and tax payments made. Knowing what’s on a tax transcript is very important when seeking tax resolution help because it helps the tax professional choose the best course of action for the taxpayer client.Tax professionals attempting to help taxpayers would want to o...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Once a taxpayer has been levied (only after ignoring IRS notices numerous times), their next step is to seek assistance of a tax professional to release the levy. Since the IRS didn’t have any success collecting on the outstanding tax debt, they know a levy will get the taxpayer to respond. They are no longer interested in speaking to the taxpayer the tax professional would need to intervene and work out a deal with the IRS going forward. In order for the tax levy to be released, the IRS will need the taxpayer to be in compliance, but the levy may have already caused a financial hardship for the taxpayer. In this case, the tax professional would have to communicate with a Revenue Officer on the taxpayer’s behalf to g...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY.  Taxpayers who refuse to answer IRS tax notices for payment of back tax debt will ultimately have their assets frozen or disrupted in some way. The IRS will issue a levy to a taxpayer when the taxpayer doesn’t respond to numerous requests to pay the tax debt. The IRS could seize a taxpayer’s assets, freeze their bank accounts, garnish pay and seek payment through a third party in an attempt to satisfy the debt. The IRS’ only intention is to satisfy a tax debt and is not interested in making the taxpayer’s life difficult, however a levy will definitely get the taxpayer’s attention and the IRS paid. It is at this point that the taxpayer will need to seek a tax professional to communicate on the taxpayer’s behalf before...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Taxpayers who wish to resolve back tax issues with the IRS may be interested in some type of an agreement to pay less than what they owe. However, taxpayers must be in tax compliance not only regarding past unfiled tax returns, but staying in compliance going forward.Once an evaluation or consultation determines the best course of action in resolving the tax debt, the IRS will need the taxpayer to first get into tax compliance by filing the past 6 years of tax returns including the current tax year. This is could also mean paying any estimated quarterly taxes for self-employed taxpayers and payroll taxes if the taxpayer has employees. Not only does the taxpayer have to comply in order to negotiate for a tax resolutio...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. Many taxpayers decide not to file their tax returns for fear that they won’t have the money to pay the taxes owed. Even though the taxpayer may not have money to pay the debt, it is always best to at least file the tax return. The consequences of not filing a tax return is more severe than not being able to pay the tax bill. For every month that the tax return is not filed beyond the tax return filing deadline, a failure to file penalty of 5% of the unpaid tax is assessed up to the maximum of 25% of the unpaid tax. At least with a failure to pay (you file the tax return, but you don’t have the money to pay), you will be assessed .5% per month (up to 25% max.) for the outstanding tax due. In comparison, that is a lot ...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. When tax clients who owe on their taxes have not answered numerous notices to a point that they can no longer avoid them, it could ultimately lead to tax debt collections. However, taxpayers still have rights to appeal the collections activity. Every taxpayer is allowed Collection Due Process (CDP) rights that provides a number of benefits: Collection on their assets would stop The case will be able to be reviewed by an Appeals Officer The taxpayer has the ability to take the case to Tax Court Many taxpayers aren’t aware that these rights are available to them which could ease their financial concerns. They have within 30 days of receiving the final notice of threat to levy to take advantage of the CDP hearing reques...
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By Gail Miller
(Miller Tax & Advisory Services)
The primary focus of my firm is tax representation in Parkchester, NY. If you have a tax debt with the IRS, then you’ve likely received an IRS collection notice request for payment. Taxpayers often ignore notices because they either don’t believe they owe or cannot pay, but simply ignoring them could be costly. The first notice the taxpayer would receive includes a breakdown of interest and penalties. If the tax debt goes unpaid, then the taxpayer would receive the following notices (assuming the taxpayer had not begun paying the debt):The second IRS collection notice would follow to inform the taxpayer that payment had not been received. At this point, the taxpayer can still make arrangements to pay on his/her own. The third IRS collection notice would follow second notice to inform th...
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By Grant Schneider, Your Coach Helping You Create Successful Outcomes
(Performance Development Strategies)
Plenty has happened since I began teaching my HR class at Fordham for the Spring semester in March.I taught the first Saturday and then we were converted to Zoom classes.  The university gave students a chance to withdraw.  The non serious students, I believe, withdrew.  I worked hard with the rest of the students with the goal of exceeding their expectations.  They felt I did that.Now we are ready to begin in person this Saturday.   I went to the dean today for updates on protocols.  I need to get a Covid test and so do the students.  I am not sure if my result will be back in time for Saturday and some students just registering will not make that deadline.I know many are registering because the class is in person.  They want the interaction.  But I had to do something to get everyone ...
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By Kin Tsui
(EMC Long Island Realty)
34th Annual Bronx Halloween Parade 2019. It is one of the Halloween Parades in New York City. There will have the NYC Village Halloween Parade on Halloween Day. This Parade was held on Saturday, October 26, 2019, at 1 PM. There were marching bands, drummers and kids with costumes, having fun walking on NYC streets.
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