By Hale Sheppard When battling the IRS, knowledge is power. Nowhere is this more true than in worker-classification cases, where the IRS often seems hell-bent on treating all workers as employees, regardless of the facts. One bright spot for taxpayers under IRS scrutiny is an obscure provision, commonly known as Section 530, that grants taxpayers a … Continue reading Must Taxpayers File “Timely” Forms 1099 to Obtain Section 530 Relief? Unexpected Answers from a Recent Worker-Classification Case
The IRS allows employers that determine that they are not in compliance with various employment and income tax laws to step forward and be accountable by entering into an agreement with the IRS. Generally, the agreements are structured so that the taxpayer is better off than if the IRS had identified the issue on exam. While this assists … Continue reading Voluntary Compliance: Will it be more difficult to come clean?
The IRS National Employment Tax Research Project has started. On November 9, 2009 the IRS announced its first employment tax research project in 25 years. Under the program, which will last from 2010 through 2012, the IRS will audit 6,000 employers randomly selected from all employment tax filers. It is our understanding that the initial … Continue reading Tax Blawg Report on IRS National Employment Tax Research Project