Who Audits TIGTA?

By George W. Connelly The Inspector General for Tax Administration, TIGTA, has been in the news a lot lately. In addition to tracking down misbehaving IRS employees and misbehaving representatives, an important role of this organization seems to be examining every aspect of the operation of the Internal Revenue Service and publishing a critical report about … More Who Audits TIGTA?

Before You Abandon That Underwater House, Read This!

By George W. Connelly The Tax Court recently issued a Summary Opinion, Malonzo v. Commissioner of Internal Revenue, T.C. Summ. Op. 2013-47, involving an individual who was underwater on her mortgage, and who abandoned the property, subsequent to which the mortgage loan was foreclosed.  She took no formal steps to transfer title or provide the lender … More Before You Abandon That Underwater House, Read This!

How Does the IRS Treat Federal Agencies Who Owe Employment Taxes?

By George W. Connelly Previous Blawg articles have cautioned my readers about the problems they can face if they do not take care of their Federal employment taxes, ranging from collection action against their business, to the trust fund recovery penalty being asserted against individuals determined to be “responsible officers.”  Since Federal agencies are also required … More How Does the IRS Treat Federal Agencies Who Owe Employment Taxes?

What Will The IRS Do If You Don’t Prepare An Income Tax Return?

By George W. Connelly Well for starters, it won’t be very happy!  Beyond that, the IRS has several avenues it can pursue. In extreme situations, such as where a taxpayer owes a considerable sum of money and has not filed for several years, the IRS may consider pursuing criminal liability under I.R.C. § 7203, which makes … More What Will The IRS Do If You Don’t Prepare An Income Tax Return?

What Can The IRS Do If You Go Out Of Business?

By George W. Connelly Obviously, there will be “nothing” to do unless the business owes taxes or has not filed all its tax returns.  These comments are prompted by the fact is that the IRS has just issued a Manual Administration Supplement No. 855 to instruct its employees about how to proceed in the case of … More What Can The IRS Do If You Go Out Of Business?