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I Have Tax Problems

I received a letter from the IRS

The IRS sends notices for a number of reasons:

  • You have a balance due
  • Your return has been changed by the IRS
  • They need to identify your identity
  • They need additional information
  • There is a question about your tax return
  • You are due a larger or smaller refund
  • There has been a delay in processing your return

The first thing to do is to carefully read the letter because it is valuable information. If there has been a change in your return, compare the information that the IRS has provided in the notice or letter side by side with the information in your original return.

Look carefully  if there is a certain date that you need to respond by. Make sure you do it in that time frame to minimize additional interest and penalty charges and or to preserve your appeal rights if you do not agree.

If you owe money, pay as much as you can even if you can’t pay the full amount. You may pay online or apply for an Online Payment Agreement or Offer in Compromise.

Make sure you make a copy of the letter to keep with your tax records just in case, you might need them later.

The IRS provides you with contact information in the letter. You can call or write them back  if you don’t agree with the information, if the IRS has requested additional information, or if you have a balance due. If you decide to write the IRS back, allow for at least 30 days for their response.

If you need help with contacting the IRS or understanding what has been requested of you from the IRS, our company, MC Tax Group are full of skilled and experienced people and we would be sure to help you find a solution.

Call us at 214-404-6008 to make a free appointment.

I am being audited

The chances of being audited are slim but those chances go higher the more money you make annually. People often get an audit letter because the IRS does not have a lot of information about them. With most taxpayers, the IRS has access to all their information, their total wages and how much mortgage interest they paid. However, returns filed by self-employed people and the wealthy tend to have a lot more self-reported items that the IRS may question.

If you do get an audit letter, the first thing is to determine what part of your tax return is being audited. Sometimes IRS auditors will have questions on a portion of the tax return rather than the entire thing. You should also always make sure that everything on your return is accurate.

Once you know what the IRS is looking for, the next step is to getting records and documentation that proves your claim. The IRS has up to three years to audit your tax return so that just-received letter could be from your 2011 taxes, which is why you should keep tax documents for at least three years. If you haven’t kept any  proof that your claim is correct, MC Tax Group can help you find a solution. We will analyze your situation and help you find the best method in proving your claim

Do not ignore the letter or put it off until later, it could make the situation worse. The IRS will give you a certain deadline to respond, make sure to meet it. If you don’t feel comfortable doing the talking, have us at MC Tax Group handle the discussions for you, we will take care of the situation, and more.

Contact us at 214-404-6008 for a free consultation.

I owe child support

If you do not meet his or her child support obligations can face serious consequences. Penalties for not paying back child support vary from state to state, and the federal government may become involved.

Some of the penalties imposed by state or federal governments include:

  • License Suspension
  • Denial of Passport
  • Wage Garnishment
  • Seizure of Tax Refund
  • Property Seizure
  • Jail Time
  • Cross- Border Enforcement

If you have suffered a change in financial circumstances and have trouble with child support obligations, go to the court and explain your situation. In many cases, courts can adjust child support payments, or allow you to stop paying them for a period of time. Just ignoring the problem, and allowing back child support to accrue, can cause more issues later.

If you do have back child support payments to make, you have some options. You can begin by finding a lawyer that specializes in family law. Do what you can to show that you want to meet the obligation, and the court may help you find a reasonable solution.

When you owe child support, you need to fulfill your obligation as soon as you can. There are several consequences that come with not paying on time. Make sure you communicate with everyone involved in the child support agreement, and respond quickly to the court.

Come to MC Tax Group to get all your questions answered and your problems solved. We are highly experienced and we are here to make your life easier.

Reach us at 214-404-6008 for a free appointment.

I have not received my tax refund

The IRS issues most refunds in less than 21 calendar days. You can use the IRS2Go mobile app or the Where’s My Refund? Tool to start checking on the status of your tax return within 24 hours after the IRS has received your e-filed return or 4 weeks after you mail a paper return. You have access to these tools 24 hours a day and 7 days a week. Remember that you will not get a refund date right away. The IRS has to receive your tax return, process it, and approve it. You usually don’t get a refund date until after your tax return is approved.

Calling the IRS will not speed up the process. Their phone and walk-in representatives can only research the status of your refund if it has been 21 days or more since you filed electronically, more than 6 weeks since you mailed your paper return, or Where’s My Refund? directs you to contact us. If the IRS needs more information to process your tax return, they will contact you by mail.

If it has been longer than 21 days since the IRS received your return and you still have not received your return, it could be one of these reasons:

  • Your return has errors
  • It is incomplete
  • It needs to be reviewed further
  • It is impacted by fraud or identity theft.
  • Or your return includes Form 8379, injured Spouse Allocation, which can take up to 14 weeks to be processed.

If you need help understanding why you have not received the refund you are entitled to, MC Tax Group is here to help. We are experienced with these kind of situations and would help you find a quick fix.

Make a free appointment with us at 214-404-6008.

My identity was stolen

Identity theft takes many forms and if you do not report it as soon as possible, it can get worse.

Put a fraud alert on your credit reports. A fraud alert puts a red flag on your credit report and notifies lenders and creditors that they should take extra steps to verify your identity before extending credit. To place a 90-day fraud alert on all three of your credit reports, you only need to contact one of the three credit reporting agencies Experian, Equifax, or TransUnion. When you place the alert, they will automatically notify the other two agencies for you. When you place a fraud alert on your credit reports, you’re entitled to a free copy of your credit report from each of the three agencies, make sure you obtain them.

Place a security freeze on your credit reports. A security freeze prevents creditors (except with those you already do business with) from accessing your credit reports at all. New applications will automatically be declined. With a security freeze in place, you will need to take extra steps if you wish to apply for a new credit.

If you know if something was directly affected contact the institution. For example if you are sure that your checkbook has been stolen, contact the bank. For this reason it is important to keep a list of what you have in your wallet, along with the contact information for each item.

Contact The Federal Trade Commission (FTC). You can file an Identity Theft Affidavit and create an Identity Theft Report. The FTC will give you information on what you should do next depending on the type of fraud that may have been committed. To complete the report you’ll need to file a police report, and make sure you make a copy of it.

If you need to find more options or solutions to your problem, relax! MC Tax Group is full of experts all over Dallas, Texas that can point you in the right direction and more.

Give us a call at 214-404-6008 for a free consultation.

I suspect that my tax preparer did something wrong

If your tax preparer did do something wrong, you may have to pay for their errors. Taxpayers are responsible for their own returns. It is crucial to talk to them more than just about your income and deductions. Make sure you know that if the bottom line turns out to be wrong because an error was made on your return, who pays if the IRS comes knocking, who is responsible if your preparer will stand by you during an audit, or will you be on your own. Tax preparers often will pay penalties that result from a mistake they made, although they won’t pay any additional taxes. Assuming responsibility for penalties on the part of tax preparers isn’t automatic. Before you choose a tax preparer, find out what the policy is.

If you find something wrong with your tax return you should get into contact with your tax preparer as soon as possible and present your concerns. If there is something incorrect and it means you owe more, the IRS says to file an amended return and pay as soon as you can to keep penalties to a minimum. You might find that amending will get you some money back instead. If so, and you are waiting on a refund based on the original return, hold off submitting the amended return until the refund check arrives. Don’t put off filing an amended return for a refund too long, though. You can only amend to get a refund for three years after the original due date of your tax return.

This is why it is important to trust who does your taxes. Sometimes big corporations just worry about getting the job done, rather than getting it done correctly. MC Tax Group is fully invested in following up with you and helping you get through situations as quickly and efficiently as possible.

Make your life easier with just one call at 214-404-6008 for your free estimate.

I received a phone call from the IRS

The Internal Revenue Service and the Treasury Inspector General for Tax Administration both continue to hear from taxpayers who have received unsolicited calls from individuals demanding payment while fraudulently claiming to be from the IRS.

Additionally, it is important for taxpayers to know that the IRS:

  • Never asks for credit card, debit card or prepaid card information over the telephone.
  • Never insists that taxpayers use a specific payment method to pay tax obligations
  • Never requests immediate payment over the telephone and will not take enforcement action immediately following a phone conversation. Taxpayers usually receive prior notification of IRS enforcement action involving IRS tax liens or levies.
  • Never demands that you pay taxes without giving you the opportunity to question or appeal the amount they say you owe.

If you get a phone call from someone claiming to be from the IRS, here’s what you should do:

  • If you know you owe taxes or you think you might owe taxes, call the IRS at 1.800.829.1040. The IRS employees at that line can help you with a payment issue, if there really is such an issue.
  • If you know you don’t owe taxes or have no reason to think that you owe any taxes (for example, you’ve never received a bill or the caller made some bogus threats as described above), then call and report the incident to TIGTA at 1.800.366.4484.

It is rare to get a call from the IRS, but when it does occur they usually will send a letter before hand letting you know that will you probably receive a call. Our company, MC Tax Group has been working with the IRS for a long time and we could help you detect a hoax call.

For a free consultation call us at 214-404-6008.

I owe back Taxes

Even if you don’t have the money to pay the IRS what you owe when your return is due, you still have to file your return on time. If you don’t, you’ll also pay a late-filing penalty along with the taxes you owe.

If you owe tax and you don’t file your return on time:

  • The late-filing penalty is usually 5% of the tax you owe for each month — or part of a month — that your return is late. This applies up to a maximum of 25% of the tax owed.
  • If your return is more than 60 days late, the minimum penalty for late filing is the smaller of these:

-$135

-100% of the unpaid tax

Interest is usually charged on any unpaid tax from the due date of the return until the payment date. The interest rate is the federal short-term rate plus 3%. The rate is set every three months, and interest is compounded daily. The interest rate recently has been about 3%. Interest is also charged on late-filing penalties.

If you file on time but you don’t pay the total amount due, you’ll usually have to pay a late-payment penalty. This is 0.5% of the tax you owe per month or until the tax is paid completely. You’ll be charged up to a maximum penalty of 25% of the tax due.

If you think paying off everything is your only option, you are wrong. MC Tax Group can help you figure out other options that you may qualify for to reduce or completely wipe out what you owe. If you want to know how much you really owe, call us.

Contact us at 214-404-6008 for a free estimate.

I have another problem

If you have another question that needs answering that has not been answered you can refer to these links for anything “IRS related”

Also us at MC Tax Group are the ones to call if you need advice, assistance, or help with your taxes. We are highly experienced experts with tax, and we can help you find a solution to your problem and more.

Call us at 214-404-6008 for a free appointment.

I Need to File My Taxes

I want to file this year’s taxes

Do you need an enrolled agent or another tax preparer that you can trust? Well you are at the right place. Experts always advise that the best option when it comes to filing your taxes is consulting an accountant at least periodically, even if you do your own tax returns, to make sure you’re sending the right information.

It may be hard to know where to start when it comes to filing your taxes, but it gets a lot easier when you have MC Tax Group to help. We can tell you what documents you need rather than having to look through several websites to know what is required. We can help you figure out whether you and your spouse should file taxes jointly or separately based on your situation and more. Here at MC Tax Group we are skilled experts with tax who not only have been doing taxes for years but are more than happy to guide you through every step of the filing process. We have offices around Dallas to make it easier for you to visit us and we are only a phone call away.

Get your money’s worth at 214-404-6008 for a free estimate.

I need to file prior year taxes

File your past due return as soon as possible because:

  • You can limit interests and penalties
  • You risk losing your refund if you don’t file your return
  • You need to protect your social security benefits
  • You need to avoid issues with obtaining a loan

If you owe more than you can pay:

If you cannot pay what you owe, you can request an additional 60-120 days to pay your account in full through the Online Payment Agreement application or by calling 800-829-1040; no user fee will be charged. If you need more time to pay, you can request an installment agreement or you may qualify for an offer in compromise.

If you fail to file:

The IRS may file a substitute return for you, this return might not give you credit for deductions and exemptions you may be entitled to receive. They will send you a Notice of Deficiency CP3219N (90-day letter) proposing a tax assessment. You will have 90 days to file your past due tax return or file a petition in Tax Court. If you do neither, we will proceed with our proposed assessment. If you have received notice CP3219N you can not request an extension to file.

Here at MC Tax Group we understand that you’re in a hurry to get you filing done especially when it’s from a prior year. So, we are here to make your life easier by giving you all the documents you need to file your taxes from the prior year and remember that you can’t complete prior year tax forms using instructions from the current tax year. That tends to confuse people, but don’t worry we are here to help you every step of the way.

Get a free estimate at 214-404-6008.

I need to apply for ITIN

ITINs are for federal tax reporting only, and are not intended to serve any other purpose. IRS issues ITINs to help individuals comply with the U.S. tax laws, and to provide a means to efficiently process and account for tax returns and payments for those not eligible for Social Security Numbers (SSNs).

How to apply for an ITIN:

Use the latest revision of Form W-7, Application for IRS Individual Taxpayer Identification Number to apply. Attach a valid federal income tax return, unless you qualify for an exception, and include your original proof of identity or copies certified by issuing agency and foreign status documents.

IRS issues ITINs to foreign nationals and others who have federal tax reporting or filing requirements and do not qualify for SSNs. A non-resident alien individual not eligible for a SSN who is required to file a U.S. tax return only to claim a refund of tax under the provisions of a U.S. tax treaty needs an ITIN.

Other examples of individuals who need ITINs include:

  • A nonresident alien required to file a U.S. tax return
  • A U.S. resident alien (based on days present in the United States) filing a U.S. tax return
  • A dependent or spouse of a U.S. citizen/resident alien
  • A dependent or spouse of a nonresident alien visa holder

Whether you know a lot about ITINs or not, it can be time consuming if you are not familiar with all the documents you need and what they are for. Save your time and money at MC Tax Group. We are very experienced and we will make the process easier for you by getting things done correctly and efficiently.

Get your money’s worth at 214-404-6008 for a free estimate.

I need to amend my taxes

If you made a mistake on your tax return, or forgot to claim a tax reduction or credit, it can be fixed by filing an amended return.

When to amend:

You should amend your tax return if you need to correct your filing status, the number of dependents you claimed, or your total income. You should also amend your return to claim tax deductions or tax credits that you did not claim when you filed your original return. The instructions for Form 1040X, Amended U.S. Individual Income Tax Return, list more reasons to amend a return.

When NOT to amend:

In some cases, you don’t need to amend your tax return. The IRS usually corrects math errors when processing your original return. If you didn’t include a required form or schedule, the IRS will send you a request for the missing item.

Form to use:

Use Form 1040X to amend a federal income tax return that you previously filed. Make sure you check the box at the top of the form that shows which year you are amending. Since you can’t e-file an amended return, you’ll need to file your Form 1040X on paper and mail it to the IRS. If you file an amended return for more than one year, use a separate 1040X for each tax year. Mail them in separate envelopes to the IRS. See “Where to File” in the instructions for Form 1040X for the correct address to use.

Amending to claim an additional refund:

If you are waiting for a refund from your original tax return, don’t file your amended return until after you receive the refund. You may cash the refund check from your original return. Amended returns take up to 12 weeks to process. You will receive any additional refund you are owed.

When to file:

To claim a refund, you generally must file Form 1040X within three years from the date you filed your original tax return. You can also file it within two years from the date you paid the tax, if that date is later than the three-year rule.

If you have any questions about this process or if you need help with the 1040X form to amend your taxes we can help you at MC Tax Group. We are tax experts and we’ll make sure there is not mistake on your return when you work with us and more.

Give us a call at 214-404-6008 for a free consultation.