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Posts Tagged ‘amnesty’

Question: served writ of exacution now trying to garnish wages can the employer deny garnish or be a problem for sheriff

there is rumor that employee is trying to hide or claiming to be independent contractor and filed 1099 i just want my money i can’t just cut my losses it got to personell what are the steps the employer has to take after they have been served with the garnishment order?

Answer: The following is general information and is not intended as specific advice for your situation. Each state (in the United States) has different procedures for garnishments, and so you would need to either provide me with more information, or consult an attorney licensed in your state.

It appears from your statement that you are the plaintiff and are trying to obtain money from someone you sued, and won.

In *most* states, if you serve a garnishment on an employer, the employer has, by law, a set number of days in which to answer the garnishment. This means they must file a document with the court telling the court if the person is their employee, and if so, how much they are paid and how often. THEN, they are required to withhold a portion of their wages. The amount of wages to withhold varies from state to state.

There are also non-earnings garnishments. These include bank accounts and other intangible assets, which means property held by a third party.

If you need additional information, please let me know what state you’re in, and/or please contact an attorney licensed in your state. For a referral, contact your local or state bar association.

Fresh Start Tax: You Never Filed an IRS Tax Return; Here Is What You Do to Stay out of Trouble

FORT LAUDERDALE, FL–(Marketwire – July 29, 2010) – Two of the country’s leading experts of IRS Problems, Michael Sullivan and Steven Jacob, run across countless scores of individuals and businesses who have never filed tax returns and desperately would like to get back into the system unnoticed and without pain. Fresh Start Tax recently had two clients who had not filed tax returns, one …

Question: Wife’s credit card problem!?

My wife recently approached me with $30,000 of credit card debt she needs help with. This is the 3rd time in our short marriage that I have been approached to help her. The past two times I paid off over $36,000 in credit card debt. I told her to cancel her cards and only use her personal checking card to buy anything. Needless to say, she couldn’t keep from opening more accounts.

Here’s the question: If I call all of her creditors and negotiate settlements, will the side effects (1. bad mark on her credit 2. 1099 for the difference between balances and agreed upon payoffs) affect my credit score or bring about other problems?

I can afford to pay them off completely, but that will put a severe dent into our savings affect plans for investing the money.

Answer: Good answers, close, but you seem to ask about the effect of settlements.

Settlements are a viable way to restore credit. It is best to make them before chargeoff, else they will show the account was settled after a chargeoff, make them while in house. Make sure you get letters stating a lesser amount being accepted as pmt in full, and a letter that was paid, settled. In house, the creditors usually report to credit bureaus. If made w/agencies will have to check w/cr. bureaus to see if reported, if not send lttrs of s.i.f. settled in full to cr. bureaus, agencies notorious for not reporting, unless sometimes if they own the debt.

Now the other part of the question, will this effect credit. The answer is yes, to a lesser degree. What degree you ask. Usually won't be able to get the best cr rates available. The fico and fair Isaac nobody know, but is presumed you get a ten (10) for a paid in full and a seven to eight plus (7-8) for a settlement. Not too bad, but PIF and SIF mixture might be better, and maybe a dispute w/one of the SIF's if you can think of a valid one.

One other thing, a card w/a zero balance should never be cancelled, it should stay open w/a zero balance, this helps credit score. Now with your wives situation, this may be an exception to the rule, if she can't stop this obviously compulsive behaviour.

Now your wife: Are you in community property state whereas her debts are yours? If so, she needs help, this just does not seem right in a loving relationship, caring relationship.

It sounds of situations where maybe a younger woman taking advantage of an older man, I hope not,,,,,a person not caring about the other persons feelings, or finances,,,,,either way for this to happen a second time does not make sense, I would seek legal counsel, this seems headed for trouble.

If you are married and have children, a problem. I have a friend. She was/is bi-polar. Her way of dealing w/unpleaseant parts of life, to make her feel good, after some bad words w/hubby, or a bad day at work, was to take a credit card and go buy herself a thousand dollars worth of clothes. This has gone on the effect of $120,000 in debt w/hubby bringing back brand new merchadise often, when he catches it, with the tags still on. Your wifes problem should be investigated, hope I did not offend, trying to help and throwing out some possible things to consider.

Yes, settlements are a viable method of dealing w/excessive debt, never use a so called settlement company, do it yourself.

Want to cut Uncle Sam a smaller slice of your income pie? Read about these tax law changes

There were a couple of dozen major changes in tax law last year, including some that require new forms to be filled out in addition to the 1040. If you're not ready for them, they could be easy to miss and could cost you big bucks. Here are some of the changes that will determine how big a slice of your income pie Uncle Sam gets to gobble.

Offshore Accounts: Too Late To Fess Up?

Despite Swiss court ruling and end of amnesty, voluntary disclosure still has advantages

Alex Jones Tv {Sunday Edition} 6/8:Pelosi “Buy a $15,000 Policy or Go to Jail”

Question: Will I be covered by the Mortgage Relief Act President Bush established?

I just completed a Deed In Lieu of Foreclosure and has debt forgiven. This was my primary residence and I had to relocate due to family medical issues. I know I will receive a 1099-C but From what I have read I will be able to have the debt forgiven based on this mortgage relief act. Just looking for some input or advice.
thanks
I thought you didnt have to pay any tax on debt forgiven if it was your primary residence

Answer: You should be able to find some answers here:

http://www.irs.gov/individuals/article/0,,id=179414,00.html

Strategic Global Income Fund, Inc.-Distribution Declaration and Portfolio Statistics

NEW YORK----Strategic Global Income Fund, Inc. , a non-diversified, closed-end management investment company seeking a high level of current income as a primary objective and capital appreciation as a secondary objective through investments in US and foreign debt securities, today announced that the Fund’s Board of Directors declared a regular monthly distribution of $0.0699 per share.

In November 2009, the IRS began a new National Research Program Initiative (the Initiative): an industry wide detailed random audit of employment taxes for 6,000 employers during the course of the next three years. The purpose of the Initiative is dual fold: (1) assess systemic employment tax compliance; and (2) collect assessments from delinquent employers.

With diminishing tax revenues due to the depressed economy, the U.S. Treasury Department is stepping up efforts to decrease the tax gap between overall tax liabilities and taxes paid to the Internal Revenue Service. Auditing employment taxes is seen by the IRS as a necessary method of closing this tax gap. For tax year 2001 for example, the gross tax gap was estimated by the IRS at around $345 billion, with underreporting of employment taxes accounting for around 17% of the tax gap.

The IRS will audit businesses to ensure that Federal withholding taxes are deducted and paid over to the government from employees wages for Social Security and Medicare as well as Federal Unemployment taxes. An employer found to be in noncompliance could face stiff civil penalties and interest on unpaid taxes. These penalties could have a particularly severe impact on small business owners.

The IRS has prioritized four areas to focus their auditing efforts under the Initiative, including:

Worker Classification: i.e. whether an employer properly classifies an employee as an employee or independent contractor for tax purposes. Determining which depends on the behavioral, financial and type of relationship the company has with the person performing the work.

Employee Fringe Benefits: A fringe benefit is a form of pay for the performance of services. i.e. benefits such as insurance coverage, company car or child care, etc. that are provided by employers tax free to employees but not to independent contractors.

Reimbursed Business Expenses: e.g. reimbursement for taking a client to lunch, purchasing office supplies: which requires a written business expense plan. I.E. You must have paid or incurred expenses that are deductible while performing services as an employee. You must adequately account to your employer for these expenses within a reasonable time period, and you must return any excess reimbursement or allowance within a reasonable time period.

Compensation of Owners who are also employees of the company, whereby unpaid taxes may result in personal liability for the employer.

It has been reported that the IRS has already commenced with the process of selecting entities for audit of their employment taxes now that the employment tax audit Initiative has begun. Severe consequences wait for employers who are in noncompliance with the employment tax laws. Businesses are highly encouraged to make sure procedures are set to adhere to the applicable tax laws. Doing so can thwart much headache, and the loss of money and productive office time in the event of an audit.

For example, the Internal Revenue Code requires a written reimbursement plan in order to take advantage of the tax benefits of legitimate business expenses. Employers should consider consulting with experienced counsel in preparation for the Initiative and in the event of an audit of their employment taxes.

Justice Department Cracks Down on Tax Preparers

On the heels of the IRS s plan to begin regulating tax preparers, the Justice Department announced that it has filed six lawsuits this week to stop preparers charged with generating fraudulent income tax returns.

Civil Penalties