Tag Archives: income tax

Mary J. Blige’s financial woes deepened in mid-February when the state of New Jersey reportedly filed a $900,000 lien against her New Jersey home. While most people don’t own homes worth that much, Blige’s case is a reminder of what can happen when income taxes go unpaid.   Mansion Targeted The singer has been in hot financial water for some time, with two banks having already sued her for defaulting on loans worth about $511,000 and $2.2 million, and a …

At the beginning of 2013, President Obama signed the American Taxpayer Relief Act of 2012, averting the dreaded “fiscal cliff” and making significant changes to U.S. tax law. While the top 1 percent of taxpayers will bear the biggest burden, the new law will affect most U.S. families in one way or another.   Income Tax Brackets Rates will increase for only the highest income tax bracket, increasing from 35 percent to 39.6 percent. These changes apply only to individuals …

After the close of another year, income taxes of course come to mind. While it’s clear we have to pay tax on our income, there are plenty of provisions in the tax code that require federal taxes to be paid on things you may not normally think of. As you’re gathering your forms and preparing to submit your returns, consider the following checklist of surprises, groaners, and ironies.   Unemployment Benefits It’s ironic but true – you have to pay …

As part of the law passed as a last minute escape of the so-called fiscal cliff, Congress extended the Mortgage Forgiveness Debt Relief Act to the great relief of homeowners who’ve suffered foreclosure.   Injury, but Not Insult First passed in 2007, the act allows mortgage holders to avoid paying income tax on the value lost when they are forced to sell their homes at prices below their market value. Normally, the IRS considers that lost value as a break …

In a world of CPAs, tax preparers, enrolled agents, bookkeepers and accountants, it can be confusing to know when to hire a tax attorney. After all, you’re not hiring a tax lawyer to prepare this year’s income tax return. So when and why would you need a tax attorney’s services?   IRS Tax Disputes First and foremost, you need a tax lawyer if you have a dispute with the Internal Revenue Service. Most tax disputes arise in the form of …