TaxCure Blog

Each year millions of taxpayers opt to receive their tax refund early through their preparer. For example, popular tax preparation companies such as H&R Block, offer clients the opportunity to receive cash in hand (or on a debit card) the same day their taxes are prepared. In fact, 40% of H&R Block clients opt for this alternative versus waiting a few days or weeks for a refund check. What many of these individuals do not realize is they are actually agreeing to a tax refund loan. This year, this option may not be available to as many individuals as it has in the past. Here we look at tax refund loan programs and what is happening within the industry to limit this option in 2011.

Ivan Simon Cary Elwes, more commonly known as Cary Elwes has now joined the ever-growing list of past celebrities who have defaulted on their taxes. An English actor (maybe a reason he is having US tx problems) made a name for himself with performances in classic films such as “The Princess Bride,” “Robin Hood: Men in Tights,” and the well-known comedy, “Liar Liar.” It looks like Elwes won’t be able to sneak his way out of this one though as the IRS is after him for a substantial $68,648 in back taxes. This film star and his wife, Lisa, were hit with this burdensome tax lien on September 13th in Los Angeles according to the Detroit News.

While senators are debating tax legislation for Americans, and deciding whether or not to extend Bush tax cuts expiring on December 31st, Oklahoma Senator Tom Coburn introduced a bill to make sure U.S. lawmakers are also paying their taxes. The bill is an extension of legislation introduced previously by three Republic sponsors, Senators Richard Burr, Jon Ensign, and John Thune. They passed legislation on the 15th, which required lawmakers to list tax liabilities owed to federal, state, or local governments.

Omarion, or Omari Ismael Grandberry, the 25 year old R&B music artist, actor, dancer, and music judge and more, owes $110,585 to the IRS according to public records. The Detroit News broke the $110k and change tax debt amount down.

October 15th, 2010 is quickly approaching. This is an important date for the millions of taxpayers that filed for a 2009 tax filing extension. This deadline is important to not miss because after this date taxpayers can face some serious tax penalties and interest for unfiled or unpaid taxes. Below are some important factors to keep in mind about the October 15th deadline.

If you ever misplace or lose your tax information from years past, recovery is possible.

Wesley Snipes, star of such Hollywood movies as Blade and US Marshalls, was charged with one count of conspiracy to defraud the US Government, six counts of willfully failing to file Federal income tax returns by their filing date, and several other tax-related charges. Part of the conspiracy charge involved Snipes filing a false amended return with a fraudulent tax refund claim over $4 million in 1996. Snipes is also accused of filing a false refund claim totaling over $7.3 million in 1997.

Defaulting on an IRS Installment Agreement or Federal tax payment plan will be primarily brought about by a few scenarios. Remember, just because you defaulted does not meet your agreement is terminated. However, regardless of the manner in which you have defaulted, stay in contact with the IRS.

Last week, the IRS stated that interest rates for the fourth quarter will remain unchanged. Interest rates are decided on a quarterly basis and they vary depending upon whether there is an underpayment or overpayment of taxes and whether it is a corporation or not. Interest compounds daily and rates are built off of the Federal short-term interest rate.