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By butlercpa17472259, Jan 18 2018 01:42PM

According to the Protecting Americans from Tax Hikes (PATH) Act of 2015, the IRS is required to hold all refunds for taxpayers claiming these credits. This means the IRS won't issue your refund until mid-February.

This delay applies to all tax prep companies and filing methods and impacts your entire refund amount -- not just the portion associated with these credits.

While the IRS will begin issuing refunds with these forms starting in mid-February, your federal refund likely will not appear in your bank account until February 27. (If you’ve chosen direct deposit and your return doesn’t have any IRS processing issues, this allows time for your financial institution to post your refund to your account.)

Amending your return to remove these credits won't increase the speed of your refund and could cause further delay.

You'll be able to check your federal refund status at Where's My Refund? at www.irs.gov beginning in mid-February. You’ll need all of these:

Your Social Security number (SSN)

Your filing status

Exact refund amount

By butlercpa17472259, Aug 30 2017 02:42PM

When the IRS comes to your house or place of business, there is a certain protocol that you MUST follow. A Revenue officer's main objective on this visit is to get financial information from you and inspect your home and place of business for assets. This can be a very unnerving experience and if you don't handle this visit properly it could impact your case in a negative manner.

The best way to handle this situation, is to get their information and tell them you are hiring a tax attorney to help you with your case. It is best not to give them financial information regarding your income, assets and budget. First of all, you are giving them levy sources. Secondly, many people do not know their budget and really need some time to review their monthly bills. Lastly, if you are a small business owner or are self employed your income probably fluctuations. You do not want to give them a number until you can properly analyze your profit and loss statement.

Giving the IRS financial information on a surprise visit is a mistake! The IRS will use this information to determine your ability to pay and if you give them information without reviewing your budget and financial situation, you will get yourself into a payment agreement that you may not be able to afford.

Information provided by

Deborah Gregory

Former IRS Attorney

deborahgregory@gregorytaxlaw.com

By butlercpa17472259, Jun 26 2017 03:31PM

Issue Number: IR-2017-112

Inside This Issue

IRS Cautions Taxpayers to Watch for Summertime Scams

IRS YouTube Videos: Tax Scams: English | Spanish | ASL

Private Collection of Overdue Taxes: English | Spanish

IR-2017-112, June 26, 2017

WASHINGTON – The Internal Revenue Service today issued a warning that tax-related scams continue across the nation even though the tax filing season has ended for most taxpayers. People should remain on alert to new and emerging schemes involving the tax system that continue to claim victims.

“We continue to urge people to watch out for new and evolving schemes this summer,” said IRS Commissioner John Koskinen. “Many of these are variations of a theme, involving fictitious tax bills and demands to pay by purchasing and transferring information involving a gift card or iTunes card. Taxpayers can avoid these and other tricky financial scams by taking a few minutes to review the tell-tale signs of these schemes.”

EFTPS Scam

A new scam which is linked to the Electronic Federal Tax Payment System (EFTPS) has been reported nationwide. In this ruse, con artists call to demand immediate tax payment. The caller claims to be from the IRS and says that two certified letters mailed to the taxpayer were returned as undeliverable. The scammer then threatens arrest if a payment is not made immediately by a specific prepaid debit card. Victims are told that the debit card is linked to the EFTPS when, in reality, it is controlled entirely by the scammer. Victims are warned not to talk to their tax preparer, attorney or the local IRS office until after the payment is made.

“Robo-call” Messages

The IRS does not call and leave prerecorded, urgent messages asking for a call back. In this tactic, scammers tell victims that if they do not call back, a warrant will be issued for their arrest. Those who do respond are told they must make immediate payment either by a specific prepaid debit card or by wire transfer.

Private Debt Collection Scams

The IRS recently began sending letters to a relatively small group of taxpayers whose overdue federal tax accounts are being assigned to one of four private-sector collection agencies. Taxpayers should be on the lookout for scammers posing as private collection firms. The IRS-authorized firms will only be calling about a tax debt the person has had – and has been aware of – for years. The IRS would have previously contacted taxpayers about their tax debt.

Scams Targeting People with Limited English Proficiency

Taxpayers with limited English proficiency have been recent targets of phone scams and email phishing schemes that continue to occur across the country. Con artists often approach victims in their native language, threaten them with deportation, police arrest and license revocation among other things. They tell their victims they owe the IRS money and must pay it promptly through a preloaded debit card, gift card or wire transfer. They may also leave “urgent” callback requests through phone “robo-calls” or via a phishing email.

Tell Tale Signs of a Scam:

The IRS (and its authorized private collection agencies) will never:

Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. The IRS does not use these methods for tax payments. The IRS will usually first mail a bill to any taxpayer who owes taxes. All tax payments should only be made payable to the U.S. Treasury and checks should never be made payable to third parties.

Threaten to immediately bring in local police or other law-enforcement groups to have the taxpayer arrested for not paying.

Demand that taxes be paid without giving the taxpayer the opportunity to question or appeal the amount owed.

Ask for credit or debit card numbers over the phone.

For anyone who doesn’t owe taxes and has no reason to think they do:

Do not give out any information. Hang up immediately.

Contact the Treasury Inspector General for Tax Administration to report the call. Use their IRS Impersonation Scam Reporting web page. Alternatively, call 800-366-4484.

Report it to the Federal Trade Commission. Use the FTC Complaint Assistant on FTC.gov. Please add "IRS Telephone Scam" in the notes.

For anyone who owes tax or thinks they do:

View tax account information online at IRS.gov to see the actual amount you owe. Then review payment options.

Call the number on the billing notice, or

Call the IRS at 800-829-1040. IRS workers can help

How to Know It’s Really the IRS Calling or Knocking

The IRS initiates most contacts through regular mail delivered by the United States Postal Service. However, there are special circumstances in which the IRS will call or come to a home or business, such as:

when a taxpayer has an overdue tax bill,

to secure a delinquent tax return or a delinquent employment tax payment, or,

to tour a business as part of an audit or during criminal investigations.

Even then, taxpayers will generally first receive several letters (called “notices”) from the IRS in the mail. For more information, visit “How to know it’s really the IRS calling or knocking on your door” on IRS.gov.

ALL INFO PROVIDED BY IRS.GOV

By butlercpa17472259, Mar 23 2017 06:05PM

IRS Reminds Seniors to Remain on Alert to Phone Scams during Tax Season

WASHINGTON – With the 2017 tax season underway, the IRS reminds seniors to remain alert to aggressive and threatening phone calls by criminals impersonating IRS agents. The callers claim to be IRS employees, but are not.

These con artists can sound convincing when they call. They use fake names and bogus IRS identification badge numbers. They may know a lot about their targets, and they usually alter the caller ID to make it look like the IRS is calling.

The victims are told they owe money to the IRS and must pay it promptly through a preloaded debit card or wire transfer. If the victim refuses to cooperate, they are often threatened with arrest. In many cases, the caller becomes hostile and insulting. Alternately, victims may be told they have a refund due to try to trick them into sharing private information. If the phone isn’t answered, the phone scammers often leave an “urgent” callback request.

“The IRS warns seniors about these aggressive phone calls that can be frightening and intimidating. The IRS doesn't do business like that," said IRS Commissioner John Koskinen. “We urge seniors to safeguard their personal information at all times. Don't let the convincing tone of these scam calls lead you to provide personal or credit card information, potentially losing hundreds or thousands of dollars. Just hang up and avoid becoming a victim to these criminals‎."

In recent years, thousands of people have lost millions of dollars and their personal information to tax scams and fake IRS communication.

Later this spring, the only outside agencies authorized to contact taxpayers about their unpaid tax accounts will be one of the four authorized under the new private debt collection program. Even then, any affected taxpayer will be notified first by the IRS, not the private collection agency (PCA).

The private debt collection program, authorized under a federal law enacted by Congress in 2015, enables designated contractors to collect tax payments on the government’s behalf. The program begins later this spring. The IRS will give taxpayers and their representative written notice when their account is being transferred to a private collection agency. The collection agency will then send a second, separate letter to the taxpayer and their representative confirming this transfer. Information contained in these letters will help taxpayers identify the tax amount owed and help ensure that future collection agency calls are legitimate.

The IRS reminds seniors this tax season that they can easily identify when a supposed IRS caller is a fake. Here are four things the scammers often do but the IRS and its authorized PCAs will not do. Any one of these things is a telltale sign of a scam.

The IRS and its authorized private collection agencies will never:

Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. The IRS does not use these methods for tax payments. Generally, the IRS will first mail a bill to any taxpayer who owes taxes. All tax payments should only be made payable to the U.S. Treasury and checks should never be made payable to third parties.

Threaten to immediately bring in local police or other law-enforcement groups to have the taxpayer arrested for not paying.

Demand that taxes be paid without giving the taxpayer the opportunity to question or appeal the amount owed.

Ask for credit or debit card numbers over the phone.

If you don’t owe taxes, or have no reason to think that you do:

Do not give out any information. Hang up immediately.

Contact the Treasury Inspector General for Tax Administration to report the call. Use their “IRS Impersonation Scam Reporting” web page. You can also call 800-366-4484.

Report it to the Federal Trade Commission. Use the “FTC Complaint Assistant” on FTC.gov. Please add "IRS Telephone Scam" in the notes.

If you know you owe, or think you may owe tax:

Call the IRS at 800-829-1040. IRS workers can help you.

Remember, too, the IRS does not use email, text messages or social media to discuss personal tax issues involving bills or refunds. The IRS will continue to keep taxpayers informed about scams and provide tips to protect them. The IRS encourages taxpayers to visit IRS.gov for information including the “Tax Scams and Consumer Alerts” page.

Additional information about tax scams is available on IRS social media sites, including YouTube Tax Scams.

ALL INFO PROVIDED BY IRS.GOV

By butlercpa17472259, Feb 4 2017 07:03PM

Confused as to what you can claim and what is not allowed? The rules can be confusing. Butler CPA & Associates has you covered. Give us a call today @ 248-742-1747 and we will send you one of our tax organizers to help you along the way. Don't miss a chance to save some money!!

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