Category: Taxation


Should I Write My Own Protest Letter?

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Should I Write My Own Protest Letter?

When the IRS examines your return and makes adjustments, it must send a notice to inform the taxpayer of these actions. From here, the taxpayer has several options: Ignore the notice. This is not truly an option as it can have terrible financial consequences. Accept and pay the adjustment. This is a personal choice, and  … Read more

Why Should I Bring a Claim to Tax Court?

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Why Should I Bring a Claim to Tax Court?

As an American taxpayer, you have legal rights. It may seem that the IRS is an all-powerful agency with the power to tell you what you owe, and then to collect on that; however, know that the IRS is not foolproof. Simply put, the people who examine and audit your taxes are human beings, and  … Read more

Appealing a Wrongful IRS Levy

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Appealing a Wrongful IRS Levy

Any letter or notice from the IRS can send shivers up a person’s spine. It is incredibly important to first take some deep breaths, then to read the notice carefully. No matter what you do, do NOT ever ignore an IRS notice, as the consequences can be dire. One of the many enforcement powers that  … Read more

Understanding the “Hazards of Litigation” and Tax Appeals

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Understanding the “Hazards of Litigation” and Tax Appeals

The IRS has a very high win rate when it comes to trials in tax court. A big reason for this is that the IRS is very selective in the cases that it brings to trial. The agency is selective because the IRS cares about its reputation. A lot. There is a good reason for  … Read more

Tax Fraud and the Equifax Fiasco

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Tax Fraud and the Equifax Fiasco

Last year, it was publicly revealed that one of the major consumer credit reporting agencies, Equifax, had been hacked. As a result of this, the personal information of more than 145 million Americans was stolen, presumably for sale to identity thieves and other criminals. This was a terrible, major breach and is expected to result  … Read more

IRS 2018 Tax Changes

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on IRS 2018 Tax Changes

It finally happened. After years of campaign promises and an endless news cycle, the Federal tax bill has come to fruition. Regardless of which side of the political fence you might sit, the tax bill is sweeping and will affect all individuals and businesses in the country. It is therefore important to understand just what  … Read more

What is “Bad Debt”

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on What is “Bad Debt”

Lending money is a part of life and is also a normal practice for many types of businesses. But with lending money comes the real risk that it will never be repaid. The IRS allows for certain types of debt to be written off, classified as “bad debt.” However, the IRS also closely scrutinizes bad  … Read more

Tax Implications of Rental Property

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Tax Implications of Rental Property

Rental property can be a sound investment as it can bring in a consistent, predictable flow of income. Unfortunately, it can also make taxpayers targets of IRS scrutiny. In 2008, the Government Accounting Office estimated that over half of tax filers who own rental property misreported their income and losses on their tax returns. The  … Read more

Understanding Capital Gains and Losses

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Understanding Capital Gains and Losses

What is a Capital Asset? The IRS considers capital assets to encompass almost all of the property you own for personal use or as an investment. This includes stocks, securities, houses, cars, and jewelry. However, under the tax code, Section 1221, capital assets exclude the following property: Stock or property in a taxpayer’s trade that  … Read more

Rules on Charitable Contributions

  • Robert S. Thomas,
  •   Taxation
  •   Comments Off on Rules on Charitable Contributions

Many of us have causes we believe in. For some, we support causes based on deeply personal experiences that have shaped us for better or worse. Others have identified with causes that fit with their belief systems or interests. There are a number of ways that people show their support: with their time, their voices,  … Read more