Beware of Scam IRS Calls

The IRS has issued a consumer alert providing taxpayers with tips to protect themselves from telephone scam artists who call pretending to be with the IRS.

 Remember that the IRS will never:

1.      Call you about taxes you owe without first mailing you an official notice.
2.      Demand that you pay taxes without giving you the opportunity to question or appeal the amount they say you owe.
3.      Require you to use a specific payment method for your taxes, such as a prepaid debit card.
4.      Ask for credit or debit card numbers over the phone.
5.      Threaten to bring in local police or other law-enforcement groups to have you arrested for not paying.

Dealing with IRS Collections, Do’s and Don’ts

 

Is the IRS is trying to collect a debt from you?  Grown men – and women – have been reduced to tears because they feared IRS collection agents.

 

It doesn’t have to be this way. In fact, the worst thing you can do is ignore IRS collection agents. When you ignore them and don’t try to work out a mutually satisfactory arrangement for the repayment of your tax debts, they have no choice but to resort to enforced collection. An IRS agent has almost unfettered power to seize your assets, garnish your wages and, if he or she believes that you are intentionally evading taxes, to refer you to the Criminal Investigation Division. Jail Time!

 

Avoiding the inevitable is not the way to go. My experience is that if your qualified representative (enrolled agent, EA) deals with the agent in a direct and prompt, manner you can almost always work out some sort of payment arrangement that will allow you to maintain a reasonably comfortable lifestyle.

Here are five do’s and five don’ts for dealing with IRS collection agents:

The Do’s:

• Do consult a tax professional, preferably an EA, to find out what your rights are. Do file all your tax returns whether or not you have the money to pay the tax liability shown on those returns. Not filing your tax return is a crime.
• Do meet the call back deadlines included in IRS correspondence.
• Do treat IRS personnel with respect.

The Don’ts:

• Don't lie to the IRS.
• Don’t hire any organization that tells you the income tax is illegal or that there are legal ways for you to be exempt from taxes. These are scams.
• Don’t procrastinate
• Don’t blame others for your predicament. This is just another form of procrastination.

As with most things we fear, the reality is never as bad as the fantasy. The IRS is powerful but is also reasonable. The horror stories you hear are usually from people who ignored the IRS and didn’t follow my list of do’s and don’ts.

 

 

 

Call HGi Financial Services for assistance with all your tax returns, collections and audits. Share this with your family and friends. They may have tax concerns or know someone who does.

 

Go to http://www.hgifinancial.com/ for additional information.

Your Guide to Social Security

With spousal and survivor social security benefits in the mix, married couples have a daunting task to maximize lifetime benefits.

 

There is a “file and suspend” strategy we can use to qualify your spouse for a spousal benefit while both of you earn delayed retirement credits. (Until age 70)

 

Your spouse still working? We can flip the “file and suspend strategy” on its side, and use the strategy known as “restricting an application”.

By combining the strategies, the husband gets spousal benefits from 66 to 70. And both spouses qualify for delayed retirement credit until age 70.

 

Ready to start planning for your social security retirement? Set a consultation appointment with Holly Gunnette, EA, Senior Advisor. We can work out a plan, and if you are a Gold Plus Tax Maintenance member, the first appointment is included in your GPTM fee.