Last week, we provided a more detailed explanation of the first five items on the new Taxpayer Bill of Rights. The following is a more detailed explanation for the second half of those rights. Click here to read last week’s blog that details the first five items. 6. The Right to Finality Taxpayers have the right to know the maximum amount of time they have to challenge the IRS’s position as well as the maximum amount of time the IRS has to audit a particular tax year or coll
Last week, we listed out the new “taxpayer bill of rights”. The following is a more detailed explanation for the first five of those rights. 1. The right to be informed Taxpayers have the right to know what they need to do to comply with the tax laws. They are entitled to clear explanations of the laws and IRS procedures in all tax forms, instructions, publications, notices, and correspondence. They have the right to be informed of IRS decisions about their tax accounts and
Welcome back from our summer break. This year has been very slow in terms of new tax legislation. However, we do have some new items that have come from the IRS and the Supreme Court. No Bankruptcy Exemption for Inherited IRAs A unanimous Supreme Court has held that inherited IRAs do not qualify for a bankruptcy exemption, i.e., they are not protected from creditors in bankruptcy. Under the Bankruptcy Code, a debtor may exempt amounts that are both: 1. “Retirement funds” 2.