Owing the IRS can be one of the most stressful situations a taxpayer can face. Recent data shows that American taxpayers owed over $316 billion in back taxes, penalties, and interest as of the end of 2022. Much of this debt can be attributed to late filing, mathematical errors, and underreported income. Whatever the reason […]
Tax Credits vs. Tax Deductions
Tax season is officially here. As you prepare to file your tax return, it might be helpful to research ways to decrease your tax liability. A popular way to do this is to claim tax credits and tax deductions. While both can help reduce your overall tax liability, they operate in distinct ways. In this […]
I Missed the Tax Deadline. Now What?
Missing the tax deadline can feel overwhelming, especially if you’re not sure what happens next. Whether you forgot, ran out of time, or just didn’t have the funds to pay what you owed, you’re not alone—and you still have options. Each year, millions of taxpayers miss the April deadline for a variety of reasons. The […]
Do You Need an EIN for Your Side Business?
If you’re starting a side business, you may have already encountered the term Employer Identification Number (EIN). It’s a common topic of confusion for new business owners, particularly those who are running smaller, more casual operations. This article will help clarify when you need an EIN for your side business, how to apply for one, […]
Do Widows Pay Taxes on Life Insurance Payouts?
Losing a spouse is one of the most emotionally challenging experiences a person can go through. During this time of grief, managing finances and understanding the tax implications of inherited assets can feel overwhelming. One common question is if widows pay taxes on life insurance payouts. The answer, in most cases, is reassuring—but there are […]
Optima Tax Relief Launches Initiative to Combat Tax Scams
Consumer education campaign empowers taxpayers with tools to detect and prevent tax-related fraud amid a rise in sophisticated scams. Optima Tax Relief, a nationally recognized leader in tax resolution services, is proud to announce a new initiative aimed at combating the growing threat of tax scams. As tax fraud continues to evolve, becoming more sophisticated […]
IRS Staffing and Service Concerns
The IRS plays a critical role in maintaining the U.S. tax system, collecting trillions of dollars in revenue and enforcing tax laws. In recent years, the agency has gone through significant changes. After a period of revitalization under the Biden administration, the Trump administration is now pushing for major reforms that are reshaping how the […]
Incarceration and Back Taxes: What You Need to Know
Dealing with back taxes can be stressful under any circumstances. However, when incarceration is added to the mix, the situation becomes more complicated. Incarcerated individuals still have tax obligations and understanding how these obligations are handled during their time in prison is essential. This article will provide a comprehensive overview of what happens to your […]
Tax Tips for Seniors and Retirees
As the golden years approach, seniors and retirees face a new set of financial challenges, with tax planning becoming increasingly important. Understanding the tax implications of retirement income sources, investments, and deductions can significantly impact a retiree’s financial well-being. In this blog post, we’ll explore some valuable tax tips specifically designed for seniors and retirees, […]
Is the IRS Going Away? Here’s Why You Still Need to File
Is the IRS going away? Should you wait to file your 2024 tax return? CEO David King and Lead Tax Attorney Philip Hwang answer some of the biggest IRS and tax questions people are asking—and explain why it’s more critical than ever for taxpayers to resolve their tax burdens and stay compliant. If You Need […]