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Questions Answered by Michelle D. Wynn
1 Answer | Asked in Tax Law for Texas on
Q: wanting to know if I have to sign this new 872 since last was incorrect

I am appealing my audit I am begin told that if I don't sign the new form that I can't go to appeal I have a person working on it and they are telling me that If I don't sign the new 872 I won't be able to go to the new appeal I can only do Audit Recon is that true

Michelle D. Wynn
Michelle D. Wynn
answered on May 14, 2019

The IRS often offers people the ability to pursue an Appeal of initial audit finding before the IRS issues a Statutory Notice of Deficiency. However, Appeals will only accept the case if they have at least 395 days before the current Statute of Limitations on Assessment is set to expire; this is... View More

1 Answer | Asked in Employment Law and Tax Law for Illinois on
Q: I have an upcoming IRS appeal and I need to subpoena some documents /information from my employer. How do I best do it?
Michelle D. Wynn
Michelle D. Wynn
answered on Oct 31, 2018

Unfortunately, you cannot subpoena documents from an employer unless it is in connection with a court case that is already filed. Since I assume you are speaking of an administrative appeal with the IRS Office of Appeals, you would not be able to issue a subpoena. You can request the documents from... View More

1 Answer | Asked in Tax Law for North Carolina on
Q: Ask TAX question for selling apartment oversea (<240k)

I came to USA 20 years ago, and I bought an apartment oversea before I came to USA, I hold green card 5 years ago, I became to be USA citizen this year. I never own a house in USA since I came to USA, and I rent apartment all the time. I sold the apartment and got less than $ 240,000 this year and... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Aug 10, 2018

You will need to declare the income on your 2018 income tax return when you file it next year. If the money was held in a foreign bank or other account, you may also have other filing obligations such as a requirement to file an FBAR or an IRS Form 8938. I suggest you use a professional to prepare... View More

1 Answer | Asked in Tax Law for Ohio on
Q: I don't know what to do about 2 different letters I got from the IRS after being audit?

I got audit this year on the EIC and sent all the information they needed. I had to have it sent in by March 12, 2018 which I did. On March 26 I got another letter that says they are auditing my 2017 form 1040 and proposed changes to it. I either have to agree to it and sign the page and send it... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Apr 23, 2018

You should respond to the March 26th letter and provide the information again. Even though the inquiries are being handled by the same department at the IRS, it is quite likely that they have not associated the two years in their system and if you do not respond to the March 26th letter, they will... View More

1 Answer | Asked in Tax Law for New York on
Q: IRS deemed "uncollectable", only income SSDI, will never be able to pay as never able to work, NYS: unrelated

Taxpayer offered $10-$15 monthly to NYS, Told unacceptable. License suspended, min fee for restricted use license $75. Need for appts, groceries, etc.,minimal support available. HELP! Out of $ before out of month !

Michelle D. Wynn
Michelle D. Wynn
answered on Apr 19, 2018

Try calling the NYS Office of the Taxpayer Rights Advocate. They may be able to assist you with this. https://www.tax.ny.gov/tra/default.htm

2 Answers | Asked in Tax Law for Florida on
Q: How can I resolve my back taxes with the IRS?

I am actively looking for advice, and even retaining someone for help navigating this mess. I owe around $150,000 in back taxes from 2014, 2015, 2016, and 2017. The returns are filed, but I can’t afford to pay. The back taxes arose out of a business I owned I didn’t know how to run properly,... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Apr 19, 2018

You can do either an Offer in Compromise for your liability for 2014, 2015, 2016, and 2017 or an installment agreement for your separate liabilities (or one joint installment agreement for both your joint and separate liabilities), based on your financial situation. There are some special... View More

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1 Answer | Asked in Tax Law for North Carolina on
Q: Can I deduct my moving expenses if I moved from overseas for a job, but haven't worked for a US company abroad?

Hi, I'm an American citizen who lived abroad for two years. Last year, I moved back because of a better job opportunity, but I'm not sure if I can deduct my moving expenses. I keep reading if expenses occurred 'related' to the income. What does it mean? The company I worked for... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Mar 26, 2018

For 2017 taxes, you can deduct your moving expenses if you returned to the US to start a new job or to work at a new location for your prior employer. You can find more information about this on the IRS webpage for moving expenses (IRS Publication 521): https://www.irs.gov/publications/p521... View More

1 Answer | Asked in Tax Law for California on
Q: I have never filed my taxes and this year i tried to file but i have to id verify.

what problems am i going to encounter>

Michelle D. Wynn
Michelle D. Wynn
answered on Feb 19, 2018

The problem you are most likely to encounter is if you are asked for your prior years' AGI (Adjusted Gross Income) or Tax amount. If you get these questions, simply answer "0" if you did not file for last year. Other than these, the ID verification questions are typically related to... View More

2 Answers | Asked in Tax Law and Child Support for Georgia on
Q: I'm claiming my son but he just told me he hasn't paid child support in years. Will the IRS keep my refund?

He has lived with me for 13 months. He is unemployed right now because of an illness. That's why he lives with me. When I told him I could claim his said "No don't I haven't paid child support in years so the IRS will take my return". I just need to know what to do.

Michelle D. Wynn
Michelle D. Wynn
answered on Feb 14, 2018

If you claim your son as a dependent on your tax return and you are due a refund, the IRS should not take your tax refund to pay his back child support ( I hesitate to say "will not" because sometimes IRS does things it should not). In collecting child support arrearages, the IRS can... View More

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1 Answer | Asked in Tax Law for New York on
Q: I get $400 a month from government to rent a room of my house out to a disabled tenet. Is this taxable income?

My mortgage is very expensive and $400 is much less than mortgage so I do not make a profit.

Michelle D. Wynn
Michelle D. Wynn
answered on Feb 13, 2018

You should declare the $400 per month rent as rental income on a Schedule E, Supplemental Income and Loss. You will be able to deduct a portion of your mortgage interest (not the mortgage principal) and property taxes against this income. You will also be able to deduct a portion of your utilities... View More

1 Answer | Asked in Tax Law for California on
Q: Do I need to report wire transfer money from foriegn country that I received as inheritance?

I once reported these inheritance in form of properties from my dad few years ago with my tax returns. Now I receieved wire transfers (over $100,000) from selling some of the properties . do I need to report this money again? does form 3520 apply to my situation? thanks .

Michelle D. Wynn
Michelle D. Wynn
answered on Feb 9, 2018

Presumably the Form 3520 would have been filed to declare the value of the properties when you received them as an inheritance. Now that the properties are sold, you will need to include the gain or loss from the sale on your tax return for the year when you sold the properties, as you are required... View More

2 Answers | Asked in Tax Law for Virginia on
Q: Can a college I never attended put a hold on my tax return?

2010 I went to a college to get info on classes. I saw the prices & instantly left. They unknowingly enrolled me. Nothing was signed by me, no oral contract, never applied for fasfa. The following year on my credit report the school sent me to collections for a semester of classes. I went to... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Feb 8, 2018

You should dispute this item on your credit report with Equifax, TransUnion, and Experian. The Federal Trade Commission has a web page with instructions on Disputing Errors on Credit Reports that can provide you with information on how to dispute this item on your credit report. You can find the... View More

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1 Answer | Asked in Tax Law for New York on
Q: My grandmother just received a 1099c. But usually doesn't file taxes due to her not earning enough what do I do
Michelle D. Wynn
Michelle D. Wynn
answered on Feb 2, 2018

If the 1099-C puts her above the threshold for filing a tax return, then she will need to file her 2017 tax return even if she normally doesn't need to do so. You should look into the various exemptions for having to pay taxes on the cancelled debt. You can find information about these in IRS... View More

1 Answer | Asked in Tax Law for Oregon on
Q: Disabled & recieved a 1099, do I need to file

I have not been required to file taxes on my SDDI, but I did a little work in December & have recieved a 1099 in the amount of $620 do I need to file taxes on that?

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 31, 2018

Because your self-employment earnings are more than $400, you will need to file a tax return for the year. You may have to pay some self-employment taxes when you file your return if you are not eligible for credits that could offset the taxes owed.

1 Answer | Asked in Tax Law for Texas on
Q: Married filing separately in Texas. When we fill out box 1, is it an average of both my wife and I's incomes?

For example, if I earn 1000 a year and my wife earns 2000 a year, would we both put 1500 as our taxable income because Texas is a community state?

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 31, 2018

You would each need to include an IRS Form 8958 with your separate returns showing how you allocated your income. Each of you would need to claim 1/2 of the wages paid to each of you. So, you would claim $500 from your wages and $1,000 from hers and she would claim the same. You can refer to IRS... View More

1 Answer | Asked in Tax Law for New Jersey on
Q: I recently recieved my 2017 tax return after being out of work due to a work related injury which accured December 2016.

For a year i received my regular bi weekly pay which i pay state and federal taxes. But when i recieved my w2 it stated i only made $4900 when in reality i made over $35000 and contributed thousands of dollares to federal taxes. I never recieved workers comp or so should my w2 be fixed and how do i... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 29, 2018

You should contact your employer about the situation and ask them to issue a corrected W-2. Make sure that your correspondence with them about this is in writing. If the employer refuses to issue a corrected W-2, you will probably need to use your last pay stub of the year to calculate your income... View More

1 Answer | Asked in Tax Law for Washington on
Q: Taxation on transfer of crypto currency across country border

I am resident of US for tax purpose (have job in US). I have transferred money from My foreign account to US account. I have used this money to buy crypto currency and sold this crypto currency in INR with profit. The money from sale got transferred to my Indian account. I transferred this money to... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 26, 2018

When you are a US resident for tax purposes, all of your worldwide income is taxed in the US, regardless of where the proceeds are deposited. This means that, in addition to being taxed on your virtual currency transactions, you would also be subject to tax on the earnings in any Indian bank... View More

1 Answer | Asked in Tax Law for Pennsylvania on
Q: IRS is saying I owe back taxes for 2010, I was homeless in a shelter and never worked in 2010 can I fight the IRS?

I never filed that year so how do I owe and I was homeless and on welfare

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 24, 2018

If you had no taxable income for the year in 2010, then you likely should not have any tax liability. If you never filed a tax return, it is likely the IRS prepared a tax return for you based on reporting it received from some other source saying that you were paid certain income. The other... View More

1 Answer | Asked in Divorce and Tax Law for New York on
Q: Which comes first? Back taxes owed or support arrears?

I reside in NY and my ex-spouse resides in CT. He owes back IRS taxes for the year 2015 in the amount of 26k and the divorce decree holds me harmless from any tax liabilities owed. 2015 was filed married filing jointly and he filed all taxes and did all finances. He is also 8k in arrears for... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 23, 2018

The IRS will keep his refund for the back taxes until they are paid. Also, just because your divorce decree holds you harmless for the tax liability does not mean that the IRS will not try to collect the taxes from you. If you have not already applied for innocent spouse relief (or other relief to... View More

1 Answer | Asked in Tax Law on
Q: my spouse and i currently live outside of america.. what is my best option ?

my spouse and i currently live outside of america.. he is NOT a citizen. we got married in august and prior i worked up to july .. i am only 22 and didn't have much income to begin with . i was wondering what you suggest would be the best option for me going about my taxes.. without having to... View More

Michelle D. Wynn
Michelle D. Wynn
answered on Jan 18, 2018

Because you were married at the end of the year, you will have to use a married filing status - either Married Filing Jointly or Married Filing Separately. If you file Separately (understanding he won't file a US return unless he earned income in the US during the year), you will only be taxed... View More

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