ImplicationRegarding Short Sale & Foreclosure Taxes
IRS Tax Law
Do you have questions or concerns regarding federal tax (IRS) or California Franchise Tax Board "FTB" issues? David D L Horton, Esq., EA*, can assist you with IRS and FTB issues, whether simple or complex, including:
Filing Tax Returns-Personal, Business and Trust Returns
IRS and FTB Tax Audits
Offers in Compromise
Innocent Spouse Relief
Other Tax Settlement Options
IRS and FTB Tax Liens and Levies
Unfiled Tax Returns (Back Taxes)
"An Enrolled Agent that is also an Attorney, unlike other attorneys and certified public accountants (CPAs), have unlimited practice rights. This means they are unrestricted as to which taxpayers they can represent, what types of tax matters they can handle, and before which IRS jurisdiction they can represent clients.
*An enrolled agent is a person who has earned the privilege of representing taxpayers before the Internal Revenue Service by either passing a three-part comprehensive IRS test covering individual and business tax returns, or through experience as a former IRS employee.
Enrolled agent status is the highest credential the IRS awards. Individuals who obtain this elite status must adhere to ethical standards and complete 72 hours of continuing education courses every three years. "
David D L Horton is knowledgeable, experienced and assertive; therefore it is not necessary for him to resort to the less professional and counter-productive methods of being so-called "aggressive" or "tough".
Usually this phrase is used as a buzz-phrase for marketing purposes and has little to do with reality.
Indeed, depending on your individual circumstances, your tax debt could be reduced or even eliminated; however, such a claim by itself should not induce you to retain that particular firm or professional to represent you.
In fact, we find it to be disingenuous, to possibly give false hope to a distraught taxpayer before all of the facts and law applicable to that particular taxpayer are thoroughly analyzed.
BEWARE of "asset protection" and "tax avoidance" strategies and exotic products sold on the internet.
It takes more than a few trusts, corporations, llc's, or offshore entities to legally reduce your tax liability or protect your assets.
In fact, the more complicated and expensive your so-called tax-reduction or "asset protection" plan is, the less likely it will benefit you. It is often true that such "plans" place persons in worse shape than they were before the "plan" was implemented.
If your tax-reduction strategy is complicated, or mysterious, or difficult to understand, there is a good chance it is not working. Unfortunately, many do not find this out until it is too late.
The most effective tax planning results when a preliminary plan is designed based upon a legitimate business purpose and then refined in order to qualify for the tax benefits applicable thereto.
David D L Horton can assist you with genuine, legal and effective tax planning and "asset protection". Allow him to review any tax-reduction or "asset protection" plans or structures you have in place to ensure their legitimacy and effectiveness.
Over the last few decades David D L Horton has heard and researched many "tax protester" and constitutional arguments regarding federal taxes. He can assist you with understanding the risks that are associated with subscribing to these legal positions and can advise you on how to avoid or minimize the effect of the future and inevitable problems you will encounter.
The MOST IMPORTANT thing to remember is… DO NOT ignore any correspondence or contact you may receive from the IRS or FTB!
These problems do not just go away when you ignore them - THEY ACTUALLY JUST GET WORSE!!!
Please Be Aware: Individuals who deliberately fail to comply with federal or state tax laws may be subject to a criminal investigation, which could result in prosecution, fines, and imprisonment. Do not deliberately ignore your problems with the IRS or FTB; instead, contact a professional as soon as possible and settle any issues you may have.
Do NOT be Overwhelmed
Do NOT feel as if your tax issue is unsolvable or insurmountable - do not become overwhelmed by IRS and FTB issues.
Act now; there are answers and methods available by which your problems may be solved. Retain Local Professionals to Act as Your Advocate.
You may have noticed that there are many nationwide firms that heavily advertise that they can solve your tax problems. Beware of them. If you have issues with the IRS or FTB, find one of the local, experienced professionals whom you can trust - a professional whom you can meet in person.
It is not wise to face problems with the IRS or FTB alone and/or not at all. David D L Horton, Esq., an attorney and enrolled agent, can represent taxpayers before the U.S. Department of Treasury (I.R.S.) regarding any matter within any jurisdiction and before the FTB.
David, alone, has over 25 years experience with all types of tax matters: personal taxes, corporate taxes, partnerships, and international and "offshore" tax issues. David has previous real-life experience as a business owner, employer, investor, and more, which can be very useful in helping you solve your real-life problems.
If you are facing foreclosure or selling your property or home in a short sale, you may incur a federal tax liability. In almost every instance of a foreclosure or short sale you will be issued an IRS form 1099 that will indicate the amount of the deficiency.
You are required to report this amount on your federal income tax return. Generally, this amount is taxable to you as ordinary income.
However, there are legal methods by which you can reduce or completely avoid this tax. None of these methods are as simple as some Realtor's ® and other persons claim.
You should obtain the counsel of a federal tax professional who will fully review your tax situation and render reliable advice regarding this matter.
As required by U.S. Treasury Regulations, you are hereby advised that any written tax advice contained in this communication was not written or intended to be used (and cannot be used) by any taxpayer for the purpose of avoiding penalties that may be imposed under the U.S. Internal Revenue Code. Furthermore, the contents of this website are neither intended to be, nor should be, construed as either legal OR tax advice. Each individual's circumstances are unique. This site contains general and overall discussions, and as such, the content of this site is not intended as definitive legal or tax advice that would apply to any particular person. Those who view this web site should seek advice from an independent tax advisor with respect to their particular transaction or matters that is based on the reader's particular circumstances. You must have your particular financial and tax situation personally reviewed by a tax professional or attorney in order to obtain tax or legal advice upon which you can rely.
Probate is a procedure that is designed to Protect against Improper use of the assets of the estate of a deceased person, by insuring it is Properly distributed according to Law, or the Will of the recently deceased.