NEWS

Posted on Aug 06, 2014

A recent news article from the Daily Caller explains that the IRS has recently changed it's policy on Individual Taxpayer Identification Number "ITIN" expiration and renewals. Previously the policy required that ITIN numbers expired after 5 years from the date of issue. The new change allows the ITIN to remain effective for an individual so long as that individual files their individual income tax at least once every five years. Don't you wish you only had to file once every 5 years to be in the good graces of the Federal Government? If you have an ITIN you are so fortunate. Unfortunately for those of you out there with a social security number, the IRS requires that you file your taxes on an annual basis, and your failure to do so results in crippling penalties and interest, wage garnishments, bank levies, and even seizure!

The IRS is the most powerful collection agency on the planet, and if you owe back taxes they have you in their sights! Don't face the IRS alone in such a critical matter. Level the playing field by contacting my office for a free consultation. Lets end your IRS nightmare!

Posted on Jun 23, 2014

A recent warning by the IRS states that United States taxpayers with foreign bank accounts could face higher penalties.

The warning is directed specifically toward any taxpayer who intentionally hid money in an offshore account. The agency recently announced changes to programs for taxpayers with offshore bank accounts that have not been declared. Prior to this announcement, the IRS had issued a five-year campaign against offshore accounts. This campaign made it easier for people who were unaware of tax disclosure requirements.

Now, the IRS is announcing a steeper penalty for people with offshore accounts because they believe people not reporting these after the grace period are now willfully cheating the system. The fine for these types of accounts will increase from 27.5 percent to 50 percent on August 4, 2014.

Right now there are ten offshore banks under investigation. If an American taxpayer has money in one of these ten foreign banks, he could be at risk of paying the 50 percent tax penalty.

In addition to the ten banks listed, there are several others that the IRS has not named. These offshore accounts each surfaced due to a criminal investigation involving individuals who tried to cheat the system.

The offshore accounts under investigation are located in countries such as Switzerland, Israel, and several others. As a Salt Lake City penalty abatement attorney, I encourage taxpayers with accounts in these countries to come forward and save significant hassle down the line. Not doing so could put you at risk of losing your entire account.

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Posted on Jun 16, 2014

Utah small businesses are bracing themselves for a tax hike in the coming year after lawmakers recently started exploring new ways of handling property tax disputes among larger businesses.

Corporations in Utah that face disputes about their property taxes could inadvertently pass the burden onto small businesses and homeowners. Big businesses at the center of the controversy include PacifiCorp, Kennecott, Questar, Union Pacific, and others. These companies see the tax dispute as a matter of fairness and being more efficient because their valuations are spread across state lines.

Now, many taxpayers fear that the tax challenges are costing millions of dollars. The disputes that have dragged out for years have created quite a bit of uncertainty for many companies.

Most counties defend themselves saying that they are advocates for local and small businesses. However, if tax burdens shift from large corporations, homeowners and small businesses could be the ones to pick up the tab.

Utah law deems that governments must receive a certain amount of revenue from taxes. If the higher value property owners—the big businesses—see their valuation reduced, their tax burden must be picked up by other property owners. Rep. Joel Briscoe confirmed that when there are lower taxes for big business players, small businesses and homeowners are negatively impacted.

As a Utah small business tax lawyer, Jordan Wilcox also worries that innocent people will have to pay more out of their pocket to support the tax burden. Members of the Legislature’s Revenue and Taxation Interim Committee seem sympathetic to these concerns. They are skeptical that the counties are falsely claiming to have everyone’s best interest in mind.

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