{"id":51,"date":"2013-07-10T20:31:50","date_gmt":"2013-07-10T20:31:50","guid":{"rendered":"http:\/\/project-files.com\/desertbk\/?p=27"},"modified":"2018-11-21T01:20:45","modified_gmt":"2018-11-21T01:20:45","slug":"open-your-irs-and-ftb-mail-not-having-enough-money-to-pay-not-good-excuse","status":"publish","type":"post","link":"https:\/\/desertbk.com\/?p=51","title":{"rendered":"Open Your IRS and FTB Mail \u2014 Not Having Enough Money To Pay Not Good Excuse"},"content":{"rendered":"

People come into my office every week with a stack of unopened letters from the IRS.\u00a0 If those are fresh letters it is not a big problem.\u00a0 But, I see people with months of unopened letters.\u00a0 The IRS in almost all situations tells you in advance what they are going to do before doing it.\u00a0 For example,\u00a0Dear You<\/strong>,\u00a0it seems as though you have forgotten to file your tax return from 2012<\/strong>, or\u00a0it appears as though you have not paid your tax assessment from 2011<\/strong>.\u00a0 The letters start out nice and innocuous but become more and more threatening until the IRS either files that return from 2012 for you using information that they have without giving you the benefit of deductions you would use if you filed yourself, or in the unpaid tax assessment situation the IRS will eventually empty your bank account and garnish your wages.<\/p>\n

Not being able to afford to pay what you owe is not a good reason to avoid the IRS because there are options available to delay paying until you are making more money (Currently not collectable status).\u00a0 Also, not being able to pay is not a good reason to avoid filing your tax return.\u00a0 When the IRS prepares a return for you called an SFR (Substitute for return) or the FTB prepares an NPA (Notice of proposed assessment that is assessed) those returns will never be dischargeable in bankruptcy.\u00a0\u00a0 Yes.\u00a0 Taxes are dischargeable in bankruptcy.\u00a0 If the taxes meet the requirement of having been filed by the taxpayer (not SFR or NPA), are for a tax year at least 3 years old plus any extensions, have been filed at least two years, and assessed for more than 240 days (8 months) prior to filing the bankruptcy the taxes are dischargeable.<\/p>\n

Let me go into Currently Not Collectable Status with the IRS or Hardship with the FTB.\u00a0 Both the IRS and FTB have financial statements that allow taxpayers to show three things.\u00a0 First any assets available to be sold to payoff the tax liability.\u00a0 Second what income you get each month from all sources.\u00a0 Third what monthly expenses you have to determine if there is anything left over for the IRS or FTB.\u00a0 When taking into account all necessary expenses if the taxpayer has nothing leftover the IRS and FTB have to place the taxpayer in a hardship category and leave you alone.\u00a0 It is not just policy it is the law.\u00a0 Internal Revenue Code Section 6343 provides that no levy shall issue if that levy will create a hardship on the taxpayer.\u00a0 That means if the levy keeps you from being able to pay your housing or put food on the table the levy is illegal.<\/p>\n

So, the next time that letters come in from the IRS or other taxing authority it is important to deal with the contents of the letter.<\/p>\n","protected":false},"excerpt":{"rendered":"

People come into my office every week with a stack of unopened letters from the IRS.\u00a0 If those are fresh letters it is not a big problem.\u00a0 But, I see people with months of unopened letters.\u00a0 The IRS in almost all situations tells you in advance what they are going to do before doing it.\u00a0 Read more about Open Your IRS and FTB Mail \u2014 Not Having Enough Money To Pay Not Good Excuse<\/span>[…]<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/posts\/51"}],"collection":[{"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/desertbk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=51"}],"version-history":[{"count":1,"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/posts\/51\/revisions"}],"predecessor-version":[{"id":63,"href":"https:\/\/desertbk.com\/index.php?rest_route=\/wp\/v2\/posts\/51\/revisions\/63"}],"wp:attachment":[{"href":"https:\/\/desertbk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=51"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/desertbk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=51"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/desertbk.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=51"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}