Questions tagged [irs]
34 questions
10
votes
3 answers
Making Money and not filing an Income Tax Return
I have a friend who works as a teacher. He claims that for several years he has made money and paid all the income tax that he owed and maybe a bit more. He has not filed an income tax return. I do not think this is wise. However, I believe he has…
Bob
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7
votes
3 answers
On the Taxability\Nontaxability of Website Donations in the United States
Say a person (U. S. resident) has a personal website (which has a Donate button) in which everything on that site is freely accessible whether or not a donation is made. Are the monetary donations collected by the recipient subject to federal…
DDS
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4
votes
1 answer
Is it legal for a restaurant to assume tips on cash payment?
A friend recently posted that,
She is a waitress that receives tips.
Her restaurant has a POS machine.
This POS machine assumes a 15% tip on all cash payments. She can not alter this setting.
Because the tax liability is on the waitress the only…
Evan Carroll
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4
votes
1 answer
Avoid potential criminal liability in IRS "interviews"?
As I understand it, it is a crime to lie to any federal "officer" including IRS agents. People have been convicted of doing so and sent to prison.
This obviously creates a serious liability for anyone undergoing an "interview" during an audit. Since…
Cicero
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4
votes
1 answer
How should Form 990: Part IV Question 3 be answered?
When I read Form 990, question 3's answer by the the AMERICAN ISRAEL PUBLIC AFFAIRS COMMITTEE for FY 2021 it doesn't make sense to me,
Question 3 reads,
Did the organization engage in direct or indirect political campaign activities on behalf of…
Evan Carroll
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3
votes
1 answer
IRS Auditor neighbor continually asking for favors (including monetary and legal) - is this legal?
To explain briefly - we moved to a new home a little over 3 years ago - our next door neighbors are government auditors. He is an auditor for the IRS, and she does something internal. On our first visit over to their house he made several jokes…
Jasper Godlan
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3
votes
1 answer
Is it legal for a non-profit to omit the salaries of their deputy director and other lower level directors on Form 990?
I'm looking at a the Form 990 for a small non-profit, and I'm noticing that under administrative/management expenses only the Executive Director's salary is listed. I know there is a Deputy Director and a Director of Business Communications who draw…
user20401
2
votes
2 answers
Car Debt and the IRS
A certain tax payer is on a payment plan to the IRS. The tax payer owes $10,000. The tax payer has missed several payments and now the IRS is going to take away the tax payer's car. The car is worth about $11,000 however there is an outstanding loan…
Bob
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2
votes
1 answer
IRS Form 5472 - What is a related party?
I am looking at the definition of a related party at https://www.irs.gov/instructions/i5472#en_US_202301_publink1000283641
and the definition includes further references to some sections? What are these sections, where are they? I would have…
giorgio79
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2
votes
1 answer
Are non-cash payments to the IRS legal?
Since the IRS taxes barter transactions, is it legal to pay your taxes to the IRS in non-cash payments such as produce or cattle or other goods?
Suzanne Paroski
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2
votes
2 answers
An employer deducts for taxes but does not pay them to the IRS or social security, is employee liable?
Suppose that an employee A has a boss B (who is also the company owner) that deducts payroll taxes and then keeps the money and reinvests it into his company. A has complained to B about this. As a result A has had problems with trying to…
S.D.
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2
votes
2 answers
When did U.S. tax code limit the personal Capital Loss Deduction to $3000?
Beginning in the late 1970s, after capital losses offset capital gains dollar for dollar, the allowable deduction on the IRS 1040 form for capital losses coming from Schedule D was $3000. The same is still true today.
When did the limit on capital…
DDS
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2
votes
2 answers
When do you need to request a W9?
I know that a W9 is required when paying over $600 to a US individual or company that is your vendor. What I'm confused about is why you don't need to request a W9 if you walk into best buy and have Geek Squad fix a computer for $650. However, you…
Chris
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2
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Do I need to register as a Money Service Business for a cryptocurrency trading platform?
According to the U.S. Department of Treasury FinCen: Money Service Business Definition. The term "money services business" includes;
any person doing business, whether or not on a regular basis or as an
organized business concern, in one or more…
Digital fire
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1
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Is it possible for a no-sales clinical or pre-clinical stage or prototype stage biotech. company to meet the IRS definition of "trade or business?"
Is it possible for a no-sales clinical/pre-clinical/prototype stage biotechnology company to have any activity carried on "for the production of income from....?"
IRS says:
"The term trade or business generally includes any activity carried on
for…
user44744