How to Solve the Problem of Lack of Receipts to Prove Tax Deductions

If the IRS sends you a notice in case of a discrepancy in your tax returns or if you fail to report all deductions on your return, you will have to face the consequences of penalties and interest. If you are missing some documents, the IRS is likely to pick out the problem if you do not report it. However, there is a solution according to tax lawyers.

You can issue an affidavit to prove your deductions. Your lack of documentation would result in the IRS disallowing deductions. Backing up the lack of documentation with your own statement is fantastic enough for the IRS. The affidavit is a form of testimony and is accepted by the IRS. This will enable you to claim deductions as well if you don’t have the requisite proof.

You believe the tax code is a mess and it is but there is a response to that. It is us at Tax.USAttorneys. You need to pay your taxes even if the IRS is controversial. Your tax problems will not go away by themselves. They will just magnify. Click on the link – give us a call. We can help you find the legal help you need.

Respond to the IRS immediately

You need to take IRS audits seriously and deal with the matter as soon as possible even if the tax code is so complicated not even they understand it. The IRS may request an audit by mail, in your office, or at the IRS office. The IRS Tax Examiner usually requests documents and any explanations concerning deductions and this is where tax attorneys come into play.

If you owe the IRS taxes and cannot pay past due taxes (America has never been taxed and regulated like this) to the IRS in a lump sum, the IRS can arrange for payment plans. IRS payment plans are allowable on any kind of tax including payroll or employment taxes. You can arrange for an IRS payment plan on back taxes owed, payroll taxes owed or also an IRS payment plan on any taxes owed to the IRS.

IRS payment plan

Tax lawyers want to make it a point that in order to get an IRS payment plan, you first need to complete several special IRS forms in order to be eligible for payment plans with the IRS, taxpayers have to comply with certain rules and supply the IRS with necessary information.

Firstly, you need to file all your tax returns even if you owe money. Then you are required to disclose all property you own as well as all cash and bank accounts. Another important rule that has to be followed is that you must not have sufficient cash available in your savings, checking, money market, or brokerage bank account to pay the IRS.

You must also not have the capability to borrow the amount you owe to the IRS from any other source. You also should not have enough equity in a retirement account from which you can borrow or liquidate. The total dollar amount that you owe more often than not states with whom the negotiations will be handled.

In general, IRS Revenue Officers are not involved in cases where the tax amounts owed are less than $25,000. The IRS will ask you to fill in a personal financial statement and your business financial statements.

The IRS has settled on permissible monthly expenses for individuals, which will be matched against the taxpayers’ real monthly expenses. The difference between your monthly earnings and permissible monthly expenses will be the sum that the IRS will require them to pay on a monthly basis. These monthly payments will continue until your outstanding tax liabilities have been paid in full.

Hire a tax lawyer

When it comes to taxes and tax laws, there is a lot to consider since the burden of filing taxes and dealing with the IRS can be a difficult task. No matter what tax problems you may encounter including tax liens, bank levies, and IRS audits, all you need is a reliable and focused tax lawyer to make sure you adhere to all of the laws and regulations that govern the financial field.

If you need legal help in the tax realm give us a call at USAttorneys.com. We will be here for you and if we do not answer, we will call you back. Please leave your phone number!