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Saturday, May 17 2008 @ 04:47 PM EDT
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"But this time I really not guilty!"

General NewsI started out practicing criminal law--- both trial work and appeals. I found it easier in some ways, when clients were "guilty." (Wait, I'm, would never say they were guilty, rather in some cases, there was a lot of evidence that, if believed, would tend to prove guilt). The really tough appeals were when I had a client with a rather expansive record, and for whatever reasons was found guilty of something he really didn't do. And the truth is, a lot of these appeals I lost. And here's why, and more important,
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Understanding the Small Business Bind

General NewsIt seems to me, that in these United States, there are few barriers to entry to start a business. And we're lucky for that. But, there is no qualification that anyone know and understand how payroll taxes work before they start making money. And this leads to trouble.
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The Tax Lien 10-day to Countdown !!

General News

If you receive a Notice and Demand for Payment from the IRS, the 10-day countdown begins as to what could potentially be one of the biggest financial nightmares one can face – a lien on your property by the IRS. When a lien is placed on your property, all of your creditors are notified that the government now has a claim against your property. Not only does the presence of a lien seriously damage your credit rating, but it greatly hampers your ability to sell your property.

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How to Avoid Three Costly Tax Mistakes in 2008

Geeklog

With April 15th a month away, I just want to share these three mistakes to avoid on your income tax

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Scam Alert: What those late-night commercials don’t tell you...

General News

I am routinely asked ask me if is it possible to pay the IRS a fraction of what you owe and have the rest of your tax bill - along with penalties and interest - forgiven. Yes, it is possible, but it is not very likely.

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"Project Lifeline" observations

General News

Well well well. Fox New is reporting Project Lifeline is a new program will be available to people who have taken out all types of mortgages --- and not just the high-cost subprime loans that have been the focus on previous relief efforts. A particular curiosity is that the program was put together by six of the nation's largest financial institutions, which service almost 50 percent of the nation's mortgages.

These lenders say they will contact homeowners who are 90 or more days overdue on their monthly mortgage payments. They will be given the opportunity to put the foreclosure process on pause for 30 days while the lenders try to work out a way to make the mortgage more affordable to the homeowner.

So, out of the latent goodness of their hearts (and without concern for their shareholders or fear of a derivatives suit), the nation's 6 largest lenders have agreed to suspend foreclosure actions for 30 days.

Yes, perhaps you noticed a sarcastic tone implying a belief upon my part that the lender's motivations are rather cynical. Well, to back up such tone, I offer these following observations.

As a tax attorney in New Haven County, taxes and foreclosures are intertwined areas of law. As such, I am very familiar with the foreclosure court. I was just there yesterday afternoon on a very small matter. Before the judge came out from lunch recess, I was talking to the court reporter trying to figure out how long it would take. And she said this:

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Big News regarding Mortgage Forgiveness of Debt

General News

Good News! Forget what I said about the forgiveness of debt on home mortgage "short-sales" or foreclosures.

In the past, any such forgiveness of debt was treated as ordinary income. But thanks to a new law just passed by Congress, this is no longer the case.

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Are Bank Tellers “Set-up” to Target Minority-Owned Businesses?

Geeklog<p>On January 22nd, IRS agents raided two branches of Empire Szechwan Chinese Restaurants in Long Island, NY on suspicion of tax evasion. Sources familiar with the investigation say that the business is under investigation for an illegal process called “structuring” – splitting large sums of cash into smaller amounts below $10,000 to avoid bank currency reporting procedures. And many of my colleagues and I are having a debate – are bank tellers set up to target minority-owned businesses?</p>
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It's not too late: Free Money from IRS!!!

General News

Well actually, the money is not free. Rather, more than likely, you have already paid for it. But come to find out, you shouldn't have. Make sense?

Several recent federal court decisions have held that the tax does not apply to long-distance service as it is billed today. The IRS is following these decisions and refunding the portion of the tax charged on long-distance calls. The IRS is also refunding taxes collected on telephone service under plans that do not differentiate between long distance and local calls including bundled service.

Therefore, for 2006, the IRS allowed a tax refund in standardized amounts between $30 and $60 --- these amounts are based on actual telephone usage data, and the amount applicable to a family or other household reflects taxes paid on long-distance or bundled service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to request their refund and avoid gathering months of old phone records. Meaning, you don't have ot dig through years of bills to determine the amount of excise taxes you paid (although you can if you are still interested)

The Individual taxpayers can take a standard amount from $30 to $60 based on the number of exemptions they are eligible to claim on their 2006 tax return. For those who can claim:

One exemption, the standard refund amount is $30

Two exemptions, the standard refund amount is $40

Three exemptions, the standard refund amount is $50

Four exemptions or more, the standard refund amount is $60

And again, even if you already filed your 2006 return (I sure hope you have), it's not too late to request this refund. Simply submit a completed Form 8913 along with an amended return Form 1040X

Assuming your 2006 returns are accessible, expect the process to take you about 15-30 minutes.

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Tax Cheats Beware: Bush’s New Budget Creates Tougher IRS

General News

In his last budget proposal, if nothing else, President Bush and Congress may agree on one thing – it’s easier to squeeze money from people who owe taxes than to raise taxes, especially in an election year. So it’s no surprise that one the items most universally agreed upon by both parties was the need to expand both the budget and the tools of the IRS - to more effectively chase tax cheats.