Ways to Pay

Posted on June 2, 2016 by Camron Hoorfar

There are a few different ways to pay the IRS.

The IRS Direct Pay allows you to have your tax bill deducted directly out of your checking or savings account.  There is no charge for this option.

The IRS also accepts debit cards and credit cards.  However, you must use one of the six different payment processors that the IRS accepts.  Also, there is a fee of approximately $2.75 for debit cards and 1.9% for credit cards.  Most credit cards are accepted by at least one of the payment processors.

The IRS Electronic Federal Tax Payment System allows taxpayers to pay their tax bill online or over the telephone.  There is no charge for this option.  However, this option is usually used by employers needing to make their quarterly tax deposits or their payroll tax deposits.

Of course, the IRS accepts checks.  If you choose this payment method, be sure to make your check payable to the Department of Treasury.  This same rule applies for money orders.

An installment agreement is where a taxpayer cannot pay the full amount of the tax bill and therefore needs a monthly payment plan.  You can usually get a 5 year payment plan on your tax bill, but there is a fee of $120.

An offer in compromise is where a taxpayer cannot pay the full tax bill up front or in monthly payments.  This option allows taxpayers to make an offer to the IRS in hopes that the IRS will accept less than the balance owed.  This option costs $186 and a full disclosure of all of your assets and liabilities.

If you are having tax troubles contact our office by phone at 816-524-4949 or visit our website at Hoorfarlaw.com.

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Offer-in-Compromise

Posted on May 31, 2016 by Camron Hoorfar

offer in compromise

An Offer-in-Compromise is an agreement between the IRS and the taxpayer that settles the taxpayer’s tax debt and allows the taxpayer to pay less than the full amount that is owed.  Whenever you watch TV and you see a commercial where people are claiming they settled their IRS debt for pennies on the dollar, this is what they are talking about.

An offer-in-compromise is difficult to obtain because it is not very often that the IRS allows someone to pay less than their full tax debt owed.

In order to qualify for an offer-in-compromise, you must satisfy the requirements of one of the three types.  Doubt as to liability is when the taxpayer and the IRS have a genuine dispute as to the existence or amount of the correct tax debt and therefore the taxpayer wishes to resolve the matter rather than fighting to the death with the IRS.

Doubt as to collectability is when the taxpayer admits to owing the full tax debt, but the taxpayer’s assets and income are so low that there is no reasonable method for the taxpayer to pay off the taxes owed.

The third type falls under effective tax administration.  This occurs when the taxpayer admits to owing the taxes and has the income or assets to fully pay, but some reason exists so that if the taxpayer was forced to pay the tax debt, the taxpayer would experience some sort of severe economic hardship that would be unfair or inequitable to the taxpayer.

If you are having tax issues, contact our office at 816-524-4949 or check out our website at Hoorfarlaw.com.

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Free Cars For Car Salesman

Posted on May 26, 2016 by Camron Hoorfar

carsss

Salesmen and saleswomen have the ability to use their employer’s vehicles tax free, both at work and at home.

However, the exclusion comes with some pretty onerous requirements:

1.The salesman or saleswoman must be a full time employee

2.The car is used within 75 miles of the dealership

3.Family members cannot use the car

4.Cannot store personal items in the car

5.Cannot take the car on vacations

6.When outside work, you can drive it to/from home and work plus 10 extra miles per day

What is strange is that this exclusion is only available to the salespeople of the dealership and is not available for the mechanics, bookkeepers, or any part time salespeople.

If you need assistance with your taxes, give our office a call at 816-524-4949 or visit our website at Hoorfarlaw.com.

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Common Personal Income Tax Return Penalties

Posted on May 25, 2016 by Camron Hoorfar

income tax

The first penalty is not really a penalty, but it occurs so often that I thought I would mention it.  Any unpaid amounts to the IRS accrue interest from the due date of the return until the date of payment.  The interest rate is determined quarterly and is the federal short term rate plus 3%.

The failure to pay penalty is assessed on any amount of tax that remains unpaid from the due date of the return until the date of payment.  Similar to interest, this is assessed when the taxpayer does not pay their full tax bill on time.  The penalty is .5% for every month that the tax goes unpaid, up to a maximum of 25%.

The failure to file penalty is assessed on any taxpayer who does not file a timely tax return or a timely extension request and owes money to the IRS.  The penalty is 5% for every month the tax return is late, up to a maximum of five months.  The minimum penalty for returns 60 days late or more is $135 or 100% of the tax, whichever is less.

If you are having tax issues, contact our office by phone at 816-524-4949 or visit our website www.Hoorfarlaw.com.

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Loan Modifications

Posted on May 24, 2016 by Camron Hoorfar

Come see Camron speak at the National Business Institute CLE seminar ” BOOT CAMP: Foreclosure and Loan Workout Procedures” on June 13th, 2016, at the Crowne Plaza Kansas City. His presentation will cover Loan Modifications.

For more information please visit: http://www.nbi-sems.com/Details.aspx/R-72219ER%7C?ctname=SPKEM

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Denial of a Chapter 13 Plan is Not Appealable

Posted on May 24, 2016 by Camron Hoorfar

bankruptcy 4

Missouri has stated that a denied Chapter 13 bankruptcy plan cannot be appealed.  A Chapter 13 bankruptcy plan is the repayment plan that a debtor proposes to the court in a Chapter 13 bankruptcy.  A bankruptcy debtor must have a confirmed Chapter 13 bankruptcy plan in order to have a successful bankruptcy.  But if the bankruptcy plan is denied, the denial cannot be appealed.

If you are thinking of filing for bankruptcy or need assistance in a bankruptcy you already filed, contact our law office at 816-524-4949 or visit our website at www.Hoorfarlaw.com.

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Appealing a Default Judgment

Posted on May 23, 2016 by Camron Hoorfar

law

In Missouri, if a default judgment is entered against you, you cannot immediately file an appeal to the Missouri appellate courts.  Instead, you must take the appropriate action in the court that issued the default judgment.  A default judgment can occur if you fail to show up to court or if you fail to respond to a petition.

If you have been sued and would like some assistance, contact our law office at 816-524-4949 or visit our website at www.Hoorfarlaw.com.

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Essential Terms for a Commercial Lease

Posted on May 20, 2016 by Camron Hoorfar

commercial lease

If you are a landlord or a tenant of a commercial space and are not familiar with commercial leases, here are a list of important terms that every commercial lease should include:

  1. Description of the Premises – It is important to ensure what exactly you are renting.
  2. Use – Make sure you can use the property how you want.
  3. Base Rent – This is the amount of rent, usually given in a per-square-foot amount.
  4. Additional Rents – Pay attention to ownership costs, maintenance costs, and property taxes.
  5. Security Deposits – The amount you need to put up front in order to lease the property.
  6. Letters of Credit – A letter from your bank telling the landlord you have sufficient funds to pay your rent.
  7. Guarantees – Usually makes the individual owner of the tenant business personally liable for any rent due.
  8. Assignment – This discusses a tenant’s ability to pass the lease off to someone else.

If you are thinking of getting involved in a commercial property or you need someone to review your existing lease, contact our office at 816-524-4949 or visit our website at www.Hoorfarlaw.com.

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Title Insurance Claims

Posted on May 19, 2016 by Camron Hoorfar

title insurance (3)

If you purchased title insurance on a piece of real estate and you discover a title defect in your real estate, you may be able to sue your title insurance company and assert a title insurance claim.  When determining damages for your title insurance claim, you must consider the fair market value of the real estate at the time the title insurance was purchased and the fair market value of the real estate at the time of the title defect.  If you are facing a real estate issue or you believe you have a title insurance claim, contact our office at www.Hoorfarlaw.com or 816-524-4949.

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Appealing Child Support

Posted on May 18, 2016 by Camron Hoorfar

appealing child support

Temporary child support orders are not subject to appeal, even if they are labeled a judgment.  If you are facing a child support award that you are unhappy with, contact our office at 816-524-4949 or www.Hoorfarlaw.com.

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