Nicholas Hartney, E.A.©

Due to the worst economic downturn the country has faced since the Great Depression, The Internal Revenue Service has recently announced that they are enacting new policies structured to help people in tax debt (a little late in my opinion but then again better late then never). Highlights of the new polices: When a taxpayer enters into a streamlined installment agreement the IRS will withdraw their federal tax lien.  The IRS will also withdraw their federal tax lien if a taxpayer is currently participating in a regular Installment Agreement and later converts to a streamlined installment agreement though a direct debit installment agreement and requests a withdrawal of federal tax lien. Currently, small businesses with under $10,000 in unpaid back taxes are able to participate in the IRS's Installment Agreement program, which helps businesses pay their taxes over 24 months as a last ditch alternative to a lien. Under the new policy, small businesses will be able t...

The 2010 IRS Nationwide Tax Forum was nicely set up and had some great presentation speakers.   Some of the highlights discussed from the forum: There were almost one million federal tax liens filed in 2009. The National Taxpayer Advocate's Office discovered that federal tax liens drop your credit score 100 points as soon as they are filed.  The investigation also found that the three major reporting credit agencies, Experian, Equifax, and Transunion, do not remove tax liens for years, if at all, even after the tax has been paid.  The Fair Credit Reporting Act allows the agencies to keep the lien on your credit report for up to 7 years after payment in full.  Regardless of this Act for some reason the investigation found that Equifax keeps liens on your report for up to 15 years, Experian keeps the liens on your report for 10 years, and TransUnion indefinently!  Federal Tax Lien filings went up 475% over the past 10 years. Bankruptcy on back taxes are di...

Ring*Ring* "Hello we are calling to speak to the (owner/Mr./Ms.x) regarding a private matter". "Yes this is Ms. X".  "Ms. X, we are calling you regarding a federal tax lien that was filed are you aware of that?" "Yes, I am." "Well Ms. X (in pleasant "soft" voice, usually female) I am with Muddy Waters Financial and we specialize in helping people resolve their back taxes.  How much are they claiming you owe?" "Around X amount." "OK, hold on for me, we can definitely help." {Transfers you to the "closer" for a hard sell} "Hello Ms. X, my name is Seth Gideon, I am a senior consultant here at Muddy Waters Financial. We have been in business since Aramaic was still a spoken language....hire us and all the penalty and interest will stop immediately.  If you don't the IRS will levy your bank account!" Sound familiar?  If you have had the misfortune of the IRS ...