When individuals or businesses are involved in legal disputes that result in settlements or judgments in their favor, one common question arises. Do you have to pay taxes on a lawsuit settlement? The answer depends on the nature of the lawsuit, the type of damages awarded, and how the settlement is structured. Some lawsuit settlements are taxable, while others […]
1099s Explained: Types
IRS Form 1099 is a crucial tax document used to report various types of income received outside of traditional employment.A 1099 form is an information return sent to both taxpayers and the IRS to report taxable income that is not earned through a traditional W-2 job. Financial institutions, payment processors, government agencies, and businesses commonly issue 1099s. Most […]
What is the IRS Fresh Start Program?
The IRS Fresh Start Program is a series of initiatives and policy changes launched in 2011 and expanded since, designed to assist individuals and businesses in resolving their federal tax liabilities. This collection of provisions makes it easier for taxpayers to manage and settle their tax debt, offering various options to pay off what they […]
Is Overtime Pay Taxed Under the One Big Beautiful Bill?
Overtime pay is an integral part of many workers’ compensation packages. While employees may appreciate the boost to their paychecks, questions often arise about how overtime earnings are taxed. This is especially true after the passage of the One Big Beautiful Bill in July 2025. Understanding the tax treatment of overtime pay is essential for managing […]
What Is the SECURE 2.0 Act? Key Changes to Retirement Taxes
Retirement planning rules have changed significantly in recent years, and one of the biggest updates is the SECURE 2.0 Act. Signed into law in late 2022 as part of the Consolidated Appropriations Act, the legislation introduced dozens of retirement-related provisions designed to help Americans save more, delay taxable withdrawals, and expand access to workplace retirement […]
Tax Relief Services or DIY Tax Relief: What’s Better?
Dealing with IRS liability can quickly become stressful, especially when penalties and interest continue to increase over time. Whether you owe a few thousand dollars or are facing serious collection actions like wage garnishments or tax liens, many taxpayers eventually ask the same question: should you handle your tax problems yourself or hire professional tax relief services? The answer […]
What Is Taxable Income? A Beginner’s Guide
Understanding taxes begins with understanding taxable income. Whether you earn money from a traditional job, freelance work, investments, retirement accounts, or side hustles, the IRS may consider some or all of that income taxable. Knowing what counts as taxable income can help you file an accurate return, avoid penalties, and potentially lower the amount you owe. Many taxpayers assume […]
Optima Tax Relief Recognized by Newsweek as One of America’s Greatest Midsize Workplaces for 2026
Company Receives National Recognition for Inclusive Culture and Employee Support Initiatives Optima Tax Relief, the nation’s leading tax resolution firm, is proud to announce that it has been recognized by Newsweek in two prestigious 2026 workplace rankings. The company earned a 5-star rating on Newsweek’s America’s Greatest Midsize Workplaces for Culture, Belonging and Community 2026 […]
Optima Tax Relief’s Philip Hwang Discusses IRS Reform and the Future of Taxpayer Service on Federal News Network
Philip Hwang, Chief Tax Officer and Lead Tax Attorney at Optima Tax Relief, recently joined Federal News Network host Terry Gerton to discuss IRS reform, digital modernization, and the evolving taxpayer experience. Phil appeared in his role as National Chair of the Taxpayer Advocacy Panel (TAP), following the release of TAP’s 2025 Annual Report, which includes nearly […]
How to Choose the Best Tax Attorney for Your Situation
Tax problems can quickly become overwhelming, especially when the IRS begins sending notices, assessing penalties, or threatening collection actions. While some tax issues can be handled with the help of a CPA or enrolled agent, more serious matters often require legal representation. Choosing the best tax attorney for your situation can make a major difference in how […]