Covid-19 Update

I owe the IRS money; will they take my COVID-19 stimulus check?

No. Despite the use of the Internal Revenue Service in administering the stimulus distribution program, the funds are unrelated to tax debt and will be distributed to all who qualify.

Due to COVID-19, I lost my job and can’t make may installment agreement payments to the IRS or state – what do I do?

The IRS has offered a suspension of installment agreement payments through to July 15, 2020. If you find you are still not able to make payments at that time, you may contact the IRs directly to work out a solution, or contact our tax experts who may offer solutions the IRS will not offer freely.

I am receiving collection notices from the IRS, but COVID-19 cut my hours and my income – I don’t know what to do, can someone help?

Yes, we can help! Right now the IRS has suspended *most* collection actions, but only until July 15, 2020. We can help set up a plan that is in your best interest with the IRS, not one that favors them. Give us a call.

My business was forced to close temporarily due to COVID-19. When I reopen, I won’t be able to pay employment taxes until we’re back on our feet – what do I do?

As part of the CARES act, the deposits and payment of the employer’s portion of social security taxes have been extended. There are provisions/related adjustments regarding filing as well. Our expert tax experts can address your specific questions help set you up to win with the IRS in these trying times.

I have to make estimated payments every year, I can’t tell when they are due with the COVID-19 changes in the IRS. Can someone explain it to me in plain language?

Yes. The IRS has moved the due date for first quarter and second quarter estimated tax payments to July 15, 2020. The third and fourth quarters remain unchanged with third quarter due September 15, 2020, and fourth quarter will be due January 15, 2021.

I own a business and with COVID-19 I was able to stay open with limited staff. How do I pay taxes AND bring back my full staff? We don’t have the money to do both – help!

The IRS has offered some relief to employers in your position. There are delays for the payment of the employer portion of Social Security, and we here at Leading Tax Group can help you navigate your way through the IRS to help make it easier to re-staff your business while working with the realities of cashflow and the IRS. Reach out to our tax experts for more answers.

I just got an audit notice for my business, but due to COVID-19 I can’t get to my office for any of the documents that would help me, what should I do?

There is help. IRS audits have continued through the pandemic emergency and our staff has been working nonstop with IRS auditors. We can help. Reach out to our tax experts and we’ll get started on helping you through the minefield of audits with the special circumstance of not having access to needed documentation. There is always a way and we can help guild you.

The state thinks our business is making more than it is due to COVID-19, they don’t believe me and think I owe sales taxes to them. What do I do?

STOP AND CALL US! The CDTFA is not your ally and does not work well with others, especially taxpayers they earmark has owing taxes or returns. We can help!

An IRS collection officer, Revenue Officer I think, sent me a letter asking for financial information. I have limited income due to COVID-19, are they going to take it all?

If an IRS Revenue Officer has been assigned to your account, you are well served in considering getting expert help. When the IRS works directly with taxpayers on collection matters, they look at it from the IRS side of the coin. You need an advocate fighting for your rights and the correct resolution to your specific situation. Call us for a consultation, we can help.

I’m on social security and had a part time job just to get by. The job stopped due to COVID-19 and won’t be able to pay my taxes, what do I do?

If your only income is Social Security, you may have some options. You may call the IRS directly and hope they understand and work with you, or you can contact Leading Tax Group for options the IRS may not share. There are solutions that will be less painful than the IRS emptying your bank account or levying your Social Security income.

I was impacted by COVID-19, but the taxing authorities issued a levy/lien. What can I do?

Effective April 1, 2020, the IRS has stopped *most* collection activity. If you are under a garnishment now, call us, we can help.

Due to COVID-19, I lost my job. Am I eligible to negotiate by balance down in a small settlement?

Qualifying for a settlement or more precisely an Offer In Compromise is possible, but the path is very thin and a seasoned professional can help forge through that path or recognize that it is not the route for your resolution needs. Our tax experts can help bridge the information gap and help you get the assistance and guidance you need to resolve your tax debt.

Written by senior Tax Attorney Elizabeth Sheldon.