Frequently Asked Questions

... And of course Answers

According to the IRS, if you are an individual who owes taxes and missed the July 15 tax filing deadline, you will incur a failure to file penalty and late filing fee outlined as follows:

  • The combined penalty is 5% (4.5% late filing and 0.5% late payment) for each month or part of a month that your return was late, up to 25%.
  • If after five months you still haven't paid, the failure to file penalty will max out, but the failure to pay penalty continues until the tax is paid, up to 25%.
  • The maximum total penalty for failure to file and pay is 47.5% (22.5% late filing and 25% late payment) of the tax.
  • The late filing penalty applies to the tax that remains unpaid after the due date. Unpaid tax is the total tax shown on your return reduced by amounts paid through withholding, estimated tax payments, and allowed refundable credits.
  • However, if your return was over 60 days late, the minimum failure to file penalty is the smaller of $205 or 100% of the tax required to be shown on the return.

For more information about filing deadlines and penalties,Please Visit the IRS Website

Your account will go through a multitude of steps once we bring you on. The flow goes something like this:

1. Compliance Check: Completed with the IRS and/ or state. This provides us with a complete analysis of what the IRS says you owe and determines if you have any unfiled tax years.

2. Tax Preparation: This is where we prepare and deliver any missing tax returns required to bring you into compliance.

3. Resolution: This is where we get an acceptable solution for the back taxes you may owe.

An IP PIN is a six-digit number assigned to eligible taxpayers that helps prevent the misuse of their Social Security number on fraudulent federal income tax returns. Confirmed identity theft victims will be mailed an IP PIN if their case is resolved prior to the start of the next filing season. Taxpayers who receive the annual IP PIN via mail but lose or fail to receive their CP01A Notice may use theGet an IP PIN tool to retrieve their number. A new IP PIN is generated for each filing season and can be retrieved starting in mid-January of each year by logging into the account you create.

The Fresh Start Program is an umbrella of programs that the IRS offers to settle any money owed to them. All programs are contingent on each client's financial situation. The following is a list of possible options:

  • PPIA (Partial Payment Installment Agreement)
  • IA (Installment Agreement)
  • PA (Penalty Abatement- 1st-time users only)
  • CNC (Non-Collectable Status)
  • OIC (offer and compromise- Income Based)

Find out more about scams here: https://bit.ly/NO_SCAMS

Cash, Credit, Multiple Financing Programs (No penalty to pay off early).

They can contact your bank notifying them that you have a tax liability that is delinquent. Once that happens, the bank account is then frozen and all funds in the account will be turned over to the IRS in 21 days. The IRS can also contact your employer notifying them as well to send them the money from your paycheck. Don't become a victim, call us immediately.