Do I have to file a tax return?

I read on irs "you must file a federal income tax return if your income is above a certain level; which varies depending on your filing status, age and the type of income you receive." Im 45. I cut lawns and handy stuff and make about $10,000 a year in cash. No other income or interest…

Howard’s Answer

  • On Oct 29
Yes. And non-filing is a very serious situation, which you need to address ASAP!

Can my wages be garnished if I'm a 1099 employee?

There was a notice sent to my employer stating they were going to garnish my wages. I am 1099 realtor under a brokerage. Employer says they will withhold. Can they legally do this?

Howard’s Answer

  • On Oct 29
Yes. However, your real problem is you have an out of control tax situation. And you need to pursue a "collection alternative" ASAP!

Is it possible for me to be paid "off the books" but file all the appropriate taxes, FICA, Workman's comp, etc on my own ?

I'm being offered a position as a home care aide for an elderly couple. However, the family wants to pay me "off the books" Is there any way for this to happen legally?

Howard’s Answer

  • On Nov 9
Nothing prevents you from filing. Indeed, failure to file may subject you to very serious civil and criminal penalties.

How can I decipher where the IRS wants info for just the taxpayer versus the taxpayer and spouse in the OIC forms?

I am helping my husband prepare an OIC for the IRS for a 37K tax balance. We file "single". It is difficult to decipher where we need to include information only about my husband versus both of us. For form 433-A, Section 3 - is this just assets in my husband's name, or mine as well? For example, both vehicles are under my name. Are those included under his assets? Or do we just include their cost in Section 7 under Monthly Household Expenses since his income helps pay for them and it is a shared expense despite them being registered and titled under me? We are running into the same issue with the IRS online tool for determining your minimum offer amount because it isn't always explicit where the IRS expects information on both the taxpayer and spouse versus just the taxpayer.

Howard’s Answer

  • On Nov 9
Offers-in-Compromise are very complex creatures. Accordingly, you are doing yourself a disservice by proceeding without guidance from an experienced, competent tax attorney.

Is it true that IRS cannot take more than 15% of Social Security monthly check?

Wife's only income is Social Security, wife owes back taxes on married filing separately returns, and husband is making lots of money now. Now filing jointly, living together.

Howard’s Answer

  • On Oct 14
Yes. However, IRS is not limited to the Social Security levy and it may levy on other income/assets. Accordingly, she should pursue a "collection alternative," which may resolve all matters.

If I'm a beneficiary and i owe taxes can the IRS take it?

I owe IRS my father had life insurance I'm a beneficiary will they take it

Howard’s Answer

  • On Sep 23
  • IRS has enormous enforced collection powers and they use them. Accordingly, you need to address your IRS problem, ASAP, to avoid enforced collection. In this regard, IRS has several "collection alternatives" to avoid levies.