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Welcome to Total Tax Solutions, we have over 25 years of experience!

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2100 East Sample Road,

Suite 202 Lighthouse Point, FL 33064

Tax Attorney

Tax Lawyer Boca Raton

Let Total Tax Solutions provide assistance to resolve your tax debt, delinquent tax problems, tax disputes and IRS back taxes instead of calling a tax lawyer in Boca Raton. Our team of tax consultants, enrolled agents, and CPAs are considered the most effective tax resolution company as an alternative to a tax lawyer. The Total Tax Solutions team is exceptional at dealing with the IRS, reducing tax debt, eliminating tax disputes, negotiating IRS payments, and providing ethical tax representation and tax solutions better than a tax lawyer.

Get the representation for your own protection against the IRS now! Avoid any further tax trouble, additional penalties, interest or late fees and take the first step in resolving your federal tax or state tax problems today by avoiding excessive fees associated with a tax lawyer. The Total Tax Solutions CPA, EA, and tax consultants are experts in all options available to stop the IRS harassment and fix your tax problems: Installment Agreements, Offer in Compromise, Penalty Abatement, IRS Tax Payment Plans, and Audit Representation to name a few. We can help protect your income, negotiate a reasonable IRS payment plan or settlement and provide you freedom from the IRS when a tax lawyer is only necessary to handle a criminal or tax court case.

If you are in trouble with the IRS, you need Total Tax Solutions in Boca Raton so call 954-946-4142 now!

Back Tax Boca Raton

Back Tax Boca Raton

Are you looking for back tax help in Boca Raton, Florida? Total Tax Solutions can help

If you are in need of back tax help in Boca Raton, Total Tax Solutions may be able to assist you.  Total Tax Solutions may be able to help you with many IRS problems including: back taxes: stopping an IRS levy for seizure; releasing an IRS lien; putting an end to wage garnishments; representing taxpayers during an audit; negotiating Offers in Compromise and Installment Agreements; getting an abatement of penalties granted; and settling payroll taxes.

You have not filed your back tax returns because you didn’t have the money to pay what was owed. You may think, “Oh well—I will catch up next year.” Before you know it you find yourself several years in arrears and suddenly there is a notice from the IRS, stating that you owe three or four times the original amount for not filing your back taxes in Boca Raton.

It’s truly amazing how fast tax penalties and interest add up. Now you have a choice, you can write a big fat check and pay the full amount, including interest and penalties. Or you can just keep ignoring them while the penalties and interest keep piling up.

Luckily, Total Tax Solutions can offer several options when it comes to resolving back taxes  Please call Total Tax Solutions today for back tax help in Boca Raton at 954-946-4142

Tax Audit Boca Raton

President Donald Trump famously declared that his tax returns have been audited every year for many years. “Twelve years or something like that,” he said last fall during a debate.

Is a tax audit something for the average taxpayer to be worried about in Boca Raton?

Tax Audits have declined in recent years, owing to a loss of 30 percent of the IRS’ enforcement staff since 2010. In fiscal year 2016, the agency says it audited nearly 1.2 million tax returns, or just 0.6 percent of the total.

Seven out of 10 audits were conducted after a notice like this:

Dear Taxpayer,
Some of the information that you provided to us does not agree with the information we received from other sources. 
— The Internal Revenue Service

Focus on richer taxpayers
In recent years, the tax collector has been focusing on the wealthy. If you earn $10 million or more, you have a roughly 1 in 5 chance of getting audited. But for most taxpayers, the odds of a tax audit are less than 1 in 100.

Here’s the breakdown:

Percentage of individual returns audited in 2016
Size of adjusted gross incomeReturns audited
No adjusted gross income3.25%
Under $25,0000.8%
$25,000 – $49,9990.49%
$50,000 – $74,9990.41%
$75,000 – $99,9990.52%
$100,000 – $199,9990.62%
$200,000 – $499,9991.01%
$500,000 – $999,9992.06%
$1,000,000 – $4,999,9994.6%
$5,000,000 – $9,999,99910.46%
$10,000,000 or more18.79%

Source: Internal Revenue Service Data Book, 2016

What’s the DIF?

In addition to a filer’s overall income, other figures can attract auditors’ attention.

A return can be selected for audit via the IRS’ computer-scoring system known as Discriminant Information Function, or DIF. The DIF looks at deductions, credits and exemptions, with norms for taxpayers in each of the income brackets.

The actual scoring formula to determine which tax returns are most likely to be in error is a closely guarded secret. But it’s no mystery the system is designed to screen for returns that could put more money in the U.S. Treasury.
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How do your deductions compare?

Tax experts believe one discriminant information function component looks at average deduction amounts. This allows IRS examiners to spot inconsistencies, such as a high mortgage interest deduction for someone with low income.

Tax specialists at Wolters Kluwer Tax & Accounting US examined 2014 return statistics, the latest complete data, and came up with the following itemized deduction averages. The experts note that the IRS takes a dim view of taxpayers who base their claimed deductions on these figures. The numbers can be useful, however, in giving you a general idea as to whether certain deductions on your return might seem out of line.

Average deduction amounts according to income
Income rangeMedical expensesTaxes*Mortgage interestCharitable contributions
Under $15,000$8,787$3,566$7,129$1,427
$15,000 – $30,000$8,477$3,376$6,619$2,339
$30,000 – $50,000$8,209$4,098$6,511$2,594
$50,000 – $100,000$9,614$6,679$7,553$3,147
$100,00 – $200,000$11,122$10,983$9,147$4,130
$200,000 – $250,000$18,092$17,763$11,642$5,786
$250,000 or more$36,992$50,679$16,982$21,596

*State and local income and sales taxes
Source: Wolters Kluwer, 2017

So, besides a higher income or deduction disparities, what else might trigger a red flag?

  • Income other than basic wages; for example, contract payments.
  • Unreported income, such as investment returns.
  • Home-based businesses, especially when in addition to salary income, and home office deductions.
  • Noncash charitable deductions.
  • Large business meal and entertainment deductions.
  • Excessive business auto usage.
  • Losses from an activity that could be viewed as a hobby rather than a business.
  • Large casualty losses.

Returns claiming the earned income tax credit, or EITC, designed as a tax break for lower-income wage earners, also get IRS attention. The credit’s complexity often results in legitimate mistakes on returns. Some filers, however, have been caught making false claims to increase the payment the credit provides.

Schedule C filers who report a business loss also are likely to face more questions from the IRS tax audit in Boca Raton.

But don’t be afraid to claim all the deductions and credits to which you’re entitled. Even if your return is questioned, it’s not a foregone conclusion that you’ll end up owing the IRS. As long as your deductions and expenses are legitimate and you have documentation, they will be allowed but let the professionals at Total Tax Solutions help you navigate the IRS’s tax audit water by calling 954-946-4142.

 

IRS Tax Audits Boca Raton

IRS Tax Audits in Boca Raton Defense

IRS-Audit-Defense

Representing yourself in an IRS tax audits can cost you thousands of dollars in irreversible penalties!

If you’ve opened a letter informing you that one of your tax returns has been selected for an IRS audit, it’s important to immediately begin assembling your defense. IRS audits can be one of the most challenging and emotionally draining tax issues you will ever face, and if approached incorrectly, the results can be devastating.

Ways Total Tax Solutions can help during IRS tax audits:

  • Negotiate with IRS agent over the position taken on original tax return.
  • Comprehensive research to dispute audited items.
  • Assemble alternative supporting docs to help minimize disputed items.
  • Review IRS tax audits calculation tables for accuracy.
  • Communicate directly with the IRS on behalf of taxpayer.
  • Represent taxpayer in collections upon audit judgement.

Some taxpayers choose to represent themselves before the IRS, and this is a choice that can not only affect the outcome of the tax audit and penalties paid, but can potentially create legal repercussions. Whether you’re an individual or a small business, IRS audits don’t have to keep you up at night. Representation allows you to put your best foot forward, and can help make the tax audit process as smooth and successful as possible.

If you’ve been selected for an IRS tax audits, Total Tax Solutions can help you stand up to the IRS and get a fair outcome!

When the IRS shows up to the audit, they are familiar with all the laws and regulations allowable, and unless you’ve handled audit proceedings before, you are not. They know this, and will use it to their advantage. Much like trying to represent yourself in court, the outcome is only as good as your representations. Total Tax Solutions can help put you on equal footing with the IRS to both defend and validate your audited return. Being audited is stressful. We can help you avoid potential pitfalls and position your case for success.
Getting Help with your IRS Audit

The first step towards successful resolution is to acknowledge that your tax debt and IRS Audit won’t go away on their own and to seek professional assistance. Total Tax Solutions firm of tax relief professionals has helped thousands of individuals and businesses just like you stop forced collections and finally resolve their tax debt.

Call 954-946-4142 today

Total Tax Solutions professionals will take the time to discuss your issue free of charge, and help map out the best solution moving forward. Rest assured, all information is confidential, and nothing will be shared.

We understand that you have many options when it comes to choosing the right tax relief firm, and we welcome the opportunity to help you patiently through this process and bring closure to this important financial consideration.

Unfiled Tax Return

UnFiled Tax Returns in Boca Raton

If you have years of unfiled tax returns, accurately preparing them can dramatically reduce your tax debt in Boca Raton!

Every wage earner and business must file a tax return. When you haven’t filed a tax return in more than three years and owe back taxes, the IRS can file criminal charges against you and proceed directly to collection action. While this type of enforcement is rare, it is a pointed reminder that filing tax returns is everyone’s obligation and unreported income will be severely punished.

If you have years of unfiled tax returns or IRS back taxes, it’s important to get current. Being timely with your filings is one of the most important and overlooked aspects of tax debt as well as the associated penalties and interest that accrue on back taxes.

Total Tax Solutions unfiled tax return preparation services include:

  • Individual income tax returns
  • Corporation income tax returns
  • Partnership income tax returns
  • State income tax returns
  • FBAR tax returns
  • Gift tax returns

While some clients have simple returns that need to be filed, others incur massive liabilities due to complex return issues. Our tax professionals can prepare most types of tax returns quickly and accurately, and can maintain your account with our year-over-year tax planning and preparation service to safeguard you against further liability issues.

When you don’t file your tax return, more often than not you are giving the IRS more money than you need to!

Many taxpayers will accumulate tax debt at an alarming rate when their returns are not filed because the IRS submits the return for them on their behalf, commonly referred to as an SFR (Substitute for Return). This is the worst form of taxation as it allows for zero deductions and maximizes the IRS’s revenue. Total Tax Solutions has found that the majority of our clients have delinquent returns contributing to their tax debt!

This is a common mistake we see all too often. Millions of taxpayers put their heads in the sand when it comes to filing returns or dealing with unfiled back taxes, because the process can be complicated and tedious. Taxpayers wrongly assume that if taxes were properly withheld through payroll or claimed through vendors, then filing a return is redundant and unnecessary. This is a very costly mistake, and is one that leads to an estimated billions of dollars annually in tax debt.

We can prepare your unfiled, old tax returns as well as maintain your returns year over year.

Filing your tax return can be one of the best insurance policies against tax debt that you can have. If done correctly, the process is fairly straightforward and easy to maintain year over year. The modest investment to have Total Tax Solutions professionals accurately prepare your returns for you can more than make up for itself in the long run, as it can guard against penalties and interest and create the most favorable tax refund (if any) possible. We have found that many times, when we file a client’s overdue tax returns, we can reduce the amount of assessed tax debt, and in some cases, generate a refund.

Get your unfiled tax returns filed!

The first step towards successful resolution is to acknowledge that your unfiled tax return debt and un-filed tax returns won’t go away on their own and to seek professional assistance. Total Tax Solutions has a Certified Public Accountant, Enrolled Agent and tax relief professionals who helped thousands of individuals and businesses just like you stop forced collections and finally resolve their tax debt.

Call 954-946-4142 today!

Our tax relief professionals will take the time to discuss your issue free of charge, and help map out the best solution moving forward. Rest assured, all information is confidential, and nothing will be shared.

We understand that you have many options when it comes to choosing the right tax relief firm, and we welcome the opportunity to help you patiently through this process and bring closure to this important financial consideration.

Tax Attorney Boca Raton

Both certified public accountants, known as CPAs, and tax attorneys are available to individuals and organizations attempting to navigate the often confusing universe of taxes in Boca Raton. Members of both professions work on a variety of tax-related issues, and their expertise can overlap in certain areas. However, CPAs and tax attorneys also specialize in areas that are unique to their field.

Tax Strategies and Preparation

Both CPAs and tax attorneys provide tax planning support, helping individuals and organizations make financial decisions with an eye on the possible tax benefits or penalties that those moves would create in the future. In this realm, tax attorneys offer more specialization in the legal questions of tax planning, while CPAs have more expertise on the financial implications. Tax planning encompasses such areas as trusts, estate planning, investments, business and personal expenses, payroll, business structure and self-employment. Tax attorneys typically do not prepare tax returns, though they might provide legal advice on how to fill out specific aspects of a return. CPAs do prepare tax returns and can file them directly with the Internal Revenue Service.

Tax Defense

In the event that a person or entity needs to defend itself on a tax-related issue, both tax attorneys and CPAs can prove useful. However, tax attorneys are educated to handle legal challenges and can represent clients in the court system, whether the clients are bringing a case against the IRS or the IRS is investigating them for possible tax crimes. A CPA can help to strengthen a legal case, especially if he or she helped to prepare the tax returns in question. A tax attorney provides the advantage of attorney-client privilege. A CPA only offers attorney-client privilege if acting at the direction of a lawyer to give the client information relevant to the case.

Other Areas of Interest

While a tax attorney’s focus is on tax law and the many issues related to it, the work of CPAs encompasses other areas. In fact, many CPAs do not work on taxes at all. CPAs can work on a wide range of areas in accounting, such as personal financial planning and corporate financial accounting, including the creation of financial statements and other public documents. One prominent area of work for CPAs is auditing, which entails serving as an external authority to review and validate corporate financial statements to provide confidence for investors and others who depend on the information.

Education

Both tax attorneys and CPAs face stringent education requirements. Tax attorneys must earn a law degree and then pass the state bar association exam in the state where they plan to practice. Some choose to pursue other educational opportunities in their specialty, such as a master of laws degree in taxation or a CPA license. States maintain their own requirements for taking the CPA exam, but most of them require a minimum of 150 college credits, which is about five years of study. Some states also require a minimum amount of work experience in the field, or they will allow an applicant to use work experience as a substitute for the education requirement. Finally, someone seeking a CPA license must pass the Uniform CPA examination.

Total Tax Solutions is uniquely qualified with a experienced CPA and Enrolled Agent passionately devoted to helping clients with back taxes, unfiled returns, IRS Tax audits, wage garnishments, innocent spouse, offer in compromise, installment plans, bank levies, and a myriad of tactical IRS options to help resolve your IRS and State tax issues.  Call today for a free consultation 954-946-4142.

Tax Lawyer Lighthouse Point

Choosing a Tax Professional, Tax Lawyer, CPA, or Enrolled Agent in Lighthouse Point?

Hiring a tax lawyer, certified public accountant (CPA), or enrolled agent to help you with your tax needs depends on your specific situation in Lighthouse Point. Below is an explanation of what each tax professional can do for you and your tax needs:

Tax Attorney:

Tax Lawyers specialize in the minutiae of the IRS tax code. They provide advice on complicated legal issues, particularly in the areas of trusts, estate planning, tax disputes, and business tax law. Tax Lawyers are powerful negotiators who analyze case facts in light of the law and construct arguments that best support a desired position. They can use the court system in ways that provide leverage in resolving tax cases in court, however, most case do not involve a legal issue and are more administrative in nature.

Some tax lawyers help prepare your tax returns for a premium; however, tax lawyers are not accountants and are rarely involved in filing taxes with the IRS. Tax lawyers typically do not hold the expertise of an accountant when maximizing deductions and planning ahead for future tax years.

Reasons you may need a tax lawyer include:

  • You are starting a business and need legal counsel about the structure and tax treatment of your company.

  • You are engaged in international business and need help with contracts, tax treatment, and other legal matters.

  • You plan to bring a suit against the IRS.

  • You are under criminal investigation by the IRS.

  • You committed a tax crime and need the protection of attorney-client privilege.

If your tax issue is likely to reach tax court, or if you were charged with a tax related crime, a tax lawyer is a strong option. Unlike other tax professionals, tax lawyer maintain attorney-client privilege and cannot be forced to provide information to third parties or testify against you.

CPA:

Certified public accountants (CPA) are trained primarily in maintaining business and financial records. They can also help you prepare your taxes, ensure you are in compliance with the tax code, and file or correct your tax returns. They may also represent you in front of the IRS. CPAs can provide financial planning, and are a good resource for those seeking a holistic tax strategy to deal with personal and professional financial issues.

Enrolled Agent:

Enrolled agents specialize in tax issues, and receive their certification by passing a comprehensive examination which covers all aspects of the tax code, or working at the IRS for five years in a position which regularly interpreted and applied the tax code and its regulations. Enrolled agents represent taxpayers during IRS collections, audit investigations, offers in compromise, and reducing penalties. If you are facing an audit and believe you did not commit a tax crime, or if you neglected to file a required form, then an enrolled agent is good option.

Total Tax Solutions is uniquely qualified with a experienced CPA and Enrolled Agent passionately devoted to helping clients with back taxes, unfiled returns, IRS Tax audits, wage garnishments, innocent spouse, offer in compromise, installment plans, bank levies, and a myriad of tactical IRS options to help resolve your IRS and State tax issues.  Call today for a free consultation 954-946-4142.

IRS Tax Audits Lighthouse Point

Few things are more unnerving than having your tax return selected for an IRS tax audit. The IRS uses that “tax audit anxiety” to help keep taxpayers honest. Audit anxiety is an important part of our voluntary compliance system. What determines whose returns will be picked for an ITS Tax audit in lighthouse Point? A certain number of unlucky taxpayers will be picked simply to help the IRS gather statistics

TCMP Auidt

What determines whose returns will be picked for audit? A certain number of unlucky taxpayers will be picked simply to help the IRS gather statistics. The “TCMP” audit (Taxpayer Compliance Measurement Program) is probably the most exacting audit. These are sometimes referred to as the audits from hell. The taxpayer is required to substantiate every number on his or her tax return. The results from these audits are used by the IRS to compile statistical information that can be used for other audit purposes. These statistical audits have been suspended until further notice, but they could be reinstated at any time

DIFF Scores Count

Apart from the TCMP program, your return will be evaluated based on your “DIF” score, a set of IRS formulas known as the “Discriminate Function System.” About three-quarters of all returns audited are selected by the DIF computer, which compares deductions, credits, and exemptions with the norms for taxpayers in each income bracket.

While these formulas are kept very secret by the IRS, you can count on having a higher audit probability if you fall into certain categories or report certain things on your tax return.

IRS Audit Flags – What Interestes the IRS?

Some higher risk areas are –

 

  1. Tax shelters. Though most new tax shelter write-offs have been eliminated by tax reform, old shelter deductions will continue to interest the IRS. Returns with passive income and losses are certain to be scrutinized.

 

  1. Tax protests. Both the IRS and tax courts are getting fed up with what they consider frivolous tax protests. If you file a return stating that you owe no tax because the dollar is worthless or make some other such protest, you’ll probably be audited.

 

  1. High income. Because auditing higher-income taxpayers is likely to produce more additional tax revenue than auditing lower-income taxpayers, this category is targeted by the IRS.

 

  1. Certain occupations. Taxpayers whose occupations produce cash income, such as taxi drivers and waiters, run a higher risk of being audited. Self-employed individuals, particularly independent contractors, are IRS targets for the same reason; they are more likely to have unreported cash income.

 

  1. No preparer or a problem preparer. If you have a complex return and prepared it yourself or if your return was prepared by someone on the IRS’s problem preparer list, you are more likely to be audited.

 

  1. Certain deductions. The IRS has found it profitable to audit returns that claim office-in-the-home deductions, travel and entertainment deductions, and certain other write-offs where they feel taxpayers stretch the truth.

 

  1. Related party transactions. Taxpayers who involve family members in their financial operations are more likely to be scrutinized by the IRS. Paying wages to your children, lending money to relatives, splitting income among family members, or running a family business will make the IRS more interested in your returns.

What other information is collected but not used at this time?

  1. Cash Transactions reports are posted to your personal tax record. These are the reports of cash transactions of more than $10,000.

If your transaction is legal don’t worry about this! It is a crime if you structure transactions to avoid the report. If you receive money from overseas, you must file a special report. This will be important to dual nationals or individuals who immigrated to the United States.

  1. When a passport is issued, a note is made in your personal tax record.

1-2% of all individual tax returns filed in any year will be selected for an IRS Tax audit. Higher-income taxpayers and those in target categories face a slightly higher audit risk than lower-income taxpayers. Absent fraud or substantial understatement of income, the IRS has three years from the due date of your return to initiate an IRS Tax audit. Typically, most returns are selected within two years of their filing date. The best defense in an audit is a two-part strategy: (1) Have supporting documentation for all deductions and credits, and (2) See your accountant immediately upon notification that you’re being audited. Total Tax Solutions can put your mind at ease, find the information that the IRS wants more quickly than you can, and very likely will save you money in the long run by getting a faster and more favorable conclusion to the IRS’s tax audit.

Back Tax Lighthouse Point

The single worst mistake a taxpayer can make is, not filing a tax return or back taxes. If you owe money and you cannot pay, you have options. If you do not file a tax return and have a back tax issue and you owe money the IRS will impose a Failure to File penalty. This penalty maxes out at 25% of the back taxes owed. If you do not pay back taxes by the due date, the IRS imposes a 25% Failure to File penalty.
A taxpayer can save many dollars by filing their tax returns on time. If you have many years of unfiled back tax returns, we can help. We have specially trained professionals to help you file your back taxes. Filing many years of tax returns can be a lot of work and extremely stressful. If you need to file many years of back taxes you will probably need professional help.

Many times a professional can help a taxpayer save thousands of dollars of base tax and penalties. If a professional can help a client save $1000 of base tax owed that will help save another $500 in penalties. Many times Total Tax Solutions has helped its client’s save more money in taxes than fees the client was charged.

Recently, Total Tax Solutions helped a client with the filing of back taxes. The last return he filed was for the year 2004. Within a week after meeting this client we had prepared his 2004 thru 2007 individual income tax returns. Filing back taxes does not have to be a painful and long process.

File Back Taxes Lighthouse Point

You haven’t filed your taxes in a while. Suddenly, several years have gone by and you really need to file your back taxes. There is stress and worry, you don’t know what to do. You are not alone, many people need to file back taxes!
Total Tax Solutions specializes in filing back taxes for its clients. We help clients find and organize their information so that we can file an accurate income tax return. We have worksheets, methods and staff members that help the client file an accurate return. If you need to file back taxes, you want to ensure that the return is as accurate as possible and there are no red flags in deductions. There are many reasons accuracy is important, penalties and interest accrue from the base tax owed. If your return is not accurate you may owe way more than you should, had you filed an accurate return.

Recently, Total Tax Solutions helped a client who owed back taxes. He thought she owed about $50,000. When we got done preparing the back taxes he was owed a refund of  $10,251. Many people worry so much about the balance that is owed they think the situation is worse than it really is.

We help our clients achieve the best possible results. When you have not filed your back tax returns in a number of years, there is a lot of work that needs done. Let Total Tax Solutions help you file your back taxes.

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