Tax Relief with Timalyn Bowens
Episode 62: In this episode, Timalyn explains why the IRS selects certain taxpayers for audits and reassures listeners that being chosen does not automatically mean anything is wrong. Following up on last week’s episode, , Timalyn continues her audit series by breaking down how audit selections are made and why it is important not to panic if you receive an IRS notice. Contrary to common fears, receiving an audit notice does not mean jail time or that you did something wrong. Many audits are selected at random or flagged through a computer system that looks for unusual patterns or...
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Episode 61: In this episode, Timalyn breaks down one of the most misunderstood topics in tax: the IRS audit. After 60+ episodes of educating taxpayers, she’s kicking off a brand-new series that explores what an audit really means — and what it doesn’t. Many people fear a suit-wearing IRS agent knocking at their door, but as Timalyn explains, that’s highly unlikely. Instead, most audits today are conducted through correspondence and notices, not surprise visits. So, what is an audit? An IRS audit is simply a review or examination of your accounts and financial information to ensure you...
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Episode 60: In this episode, Timalyn explains your right to appeal unfair IRS decisions and why you shouldn't give up. We are celebrating three years and 60 episodes of the Tax Relief with Timalyn Bowens podcast! Provisions from the 2017 Tax Cuts and Jobs Act are set to expire in December, and many taxpayers are worried about IRS mistakes - especially after recent budget cuts and workforce reductions. Does this mean you have to accept wrongful IRS decisions? Timalyn says absolutely not. She explains that the IRS has an Independent Office of Appeals that provides fair, impartial review of...
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Episode 59: In this episode, Timalyn addresses whether or not the IRS is here to stay. We have seen significant changes at the IRS within the past few months as they went through a work force reduction. We have also seen them lose $40 billion of the $80 billion that was promised to them in funding by the Biden Administration. Does this mean that they are going to go bye bye? Timalyn doesn't believe so. She believes that this smaller force will make it more difficult for taxpayers to handle their IRS issues on their own. She also fears that some taxpayers will receive unfair treatment, as well...
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Episode 58: In this episode, Timalyn explains how much time you have to pay your tax bill and how much time the IRS legally has to collect. Your tax balance is due on the due date of the return. However, when the IRS sends you a will give you 30 days to pay before the IRS uses any enforcement. This includes things like an or . If you can pay the debt off within 180 days you may qualify for a short-term installment agreement. This agreement can be arranged using your online IRS.gov account to set up an online payment agreement (OPA). If the amount is over $50,000 you will have to...
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Episode 57: In this episode, Timalyn explains the reason you likely owe taxes this year. She highlights 5 common reasons that people owe each year. It is ultimately the responsibility of the taxpayer to ensure that they are withholding enough taxes. The top 2 reasons that people owe the IRS is because their withholding and/or estimated tax payments are off. Timalyn has created a series on her YouTube channel to walk you through the process of correcting your withholding for a W-2 job, pension, or your social security. You can find this series below. If you are self-employed or...
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Episode 56: In this episode, Timalyn explains that all hope is not lost if you can't pay your taxes in full. You do have options! First, take a deep breath! Make sure that you have your tax return filed on time. This will help you avoid any additional penalties, such as the . Payment Arrangments You may qualify to pay your balance over time. If you owe less than $50,000 and have been tax compliant you may qualify to set up an OPA yourself using the IRS website. An OPA is an . If the balance is $10,000 or less and you haven't owed in the past 3 years or defaulted on an...
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Episode 55: In this episode, Timalyn explains what the failure to file penalty is and why it is adding so much to your tax bill. She will not only talk about what it is but how it's calculated, and how to potentially get it removed. Can't File Your Taxes On Time? You can avoid the failure-to-file penalty by filing a timely tax return or tax extension. If you're an individual needing to file an extension you can do so by filing Form 4868. Timalyn will have a video to walk you through filing the 2024 4868 on her YouTube channel, coming out on March 31st. The Failure to File...
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In Episode 54 Timalyn discusses unemployment tax and how it affects a taxpayer's tax liability. Some forms of unemployment are not taxable such as workers compensation. The topics covered in this episode are: What is unemployment? Is unemployment taxable? What's workers compensation? How is unemployment reported? What is Form 1099-G? If you'd like to work with Timalyn directly, you can book a call with her at www.Bowenstaxsolutions.com . As we conclude Episode 54, we’d like to encourage you to connect with Timalyn on social media. You’ll be able to...
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In this episode, Timalyn discusses severance pay and the tax implications of receiving a severance package. She breaks it into 3 sections: What is severance pay? Is severance pay taxable? Why is my severance pay taxed at a higher rate? How to lower the taxes on your severance pay. If you are already facing a tax debt that you can't pay in full Timayn mentions episode 18 - as a resource for you to use to stop the IRS from using enforcement such as tax levies to collect from you. If you'd like to work with Timalyn directly you can book a call with her at . As we conclude...
info_outlineEpisode 50: In this episode, Timalyn explains your rights as a taxpayer. How do those rights balance with what the IRS’ mission is? You may have an opinion on how the IRS is doing, but either way, it’s a part of the government that definitely impacts your life.
Taking a Quick Moment to Celebrate
Before she begins, Timalyn is excited about having recorded 50 podcast episodes! It’s been a way for her to fill the tax literacy gap, one taxpayer at a time. It’s her hope that these easy to follow episodes breakdown complex tax issues into understandable topics.
Did you know that 95% of podcasts fail? There are 2.8 million podcasts and less that 500,000 are considered active. Only 11% of podcasts make it to 50 episodes. So, now you can understand why she’s so excited. Thank you for following her podcast over the past 2 years.
The Mission of the IRS
The IRS is focused on providing America’s taxpayers with top-quality service. They want to help taxpayers to understand and meet their responsibilities. Finally, the IRS wants to enforce the law with fairness and integrity.
Timalyn admits, things could be much worse. She wants to make sure you understand your rights when dealing with the IRS. That’s correct, you have rights as a taxpayer.
According to the Taxpayer Bill of Rights, you have the right to representation. Timalyn has described the specific tax professionals who are qualified to handle tax debt issues with the IRS. These 3 groups are enrolled agents, CPAs and tax attorneys.
There are 9 other important rights and they can be found in IRS Publication 1. It explains the rights, but also the processes for examination, appeals, collections and refunds.
Today, we’ll focus on the Taxpayer Bill of Rights. Let’s go through them, below.
#1: The Right to Informed. You have the right to know what you need to do to be in compliance with the IRS. “Taxanese” is a complicated language and it can sometimes difficult to follow or understand. The IRS issues publications to help you. IRS.gov is a free resource that explains compliance matters. Nevertheless, you may need to consider hiring a tax professional to assist you.
#2: The Right to Quality Service. Yes, that’s part of the IRS’ mission. While the slow responses and backlog (especially since the pandemic) may not seem like they’re on the way to achieving their mission, Timalyn actually credits the IRS with doing a good job investing in new technology to serve you better. You have a right to prompt, courteous and professional response from the IRS. While the publications are written to be easily understandable, the reality is that tax issue are complicated. You might want to check out the Tax Tips with Timalyn blog. It’s a good resource.
#3: The Right to Pay No More than the Correct Tax. This means you have the right to only pay the amount due, including any interest and penalties. It’s why the IRS posts the quarterly interest rates. You might want to listen to Timalyn’s Episode 7 on tax transcripts.
#4: The Right to Challenge the IRS’ Position and to Be Heard. You have every right to be heard by the IRS. Believe it or not, the IRS actually does want to hear from you. You have the right to have your claims about what you owe examined. This is why you’ll need to substantiate your claim with documents and other proof. You have the burden of proof in this situation.
#5: The Right to Appeal and IRS Decision in an Independent Forum. In Episode 26, Timalyn explains that your appeal is actually handled by another department, not the IRS Collection Department. You can appeal all the way to tax court, but you must do it in a timely manner.
#6: The Right to Finality. This means you have the right to know your deadlines for challenging the IRS’ position. The IRS will let you know how long you have to appeal. If you are going to exercise this right, you must do it within a specified period of time. Finality also refers to the right to know when an audit has been finished or where they are in the process.
#7: The Right to Privacy. You have the right to expect that the IRS will keep your information private and to stay within reasonable/necessary limits. The information privacy means the IRS can’t publicize how much you owe for separate years. They are permitted to communicate with your bank, if they are going to levy your account. They can communicate with your employer if they need to apply a garnishment until you’ve paid off your tax debt.
#8: The Right to Confidentiality. The information you provide the IRS cannot be disclosed to other parties, unless they’ve been authorized by you or the law. For instance, if you hired Timalyn, you’d complete IRS Form 2848, designating her as your tax power of attorney. Once this form is submitted, the IRS would be authorized to communicate with her regarding your tax situation. She is also bound by confidentiality, so Timalyn can’t speak to others about your taxes. If you file as married filing separately, the IRS cannot even speak to your spouse about your taxes. If you file married filing jointly, then they can communicate with either spouse.
#9: The Right to Representation. This means you have the right to seek assistance from the Low Income Taxpayer Clinic, if you qualify. Timalyn offers multiple, free resources to help you, but she does charge for representation. If you can’t afford the fee, you could always check with the Low Income Taxpayer Clinic to see if they can work with you. Also, check out the Taxpayer Advocate Services website.
#10: The Right to a Fair and Just Tax System. This is the right Timalyn protects the most. Do you feel as if you’ve been taken advantage of by the IRS? The system will consider specific facts and circumstances that might impact the amount you owe, your ability to pay or your ability to provide timely information. In Episode 37, Timalyn describes the Tax Relief Journey. The person you hire to represent you is going to tell your side of the story. They should also be ready to work hard to ensure the IRS treats your fairly.
Need Tax Help Now?
If you need answers to your tax debt questions, book a consultation with Timalyn via her Bowens Tax Solutions website. Click this link to book a call.
Please consider sharing this episode with your friends and family. There are many people dealing with tax issues, and you may not know about it. This information might be helpful to someone who really needs it. After all, back taxes shouldn’t ruin their life either.
As we conclude Episode 50, we encourage you to connect with Timalyn on social media. You’ll be able to subscribe to this podcast on Spotify, Apple Podcasts, Google Podcasts, and many other podcast platforms.
Remember, Timalyn Bowens is America’s Favorite EA and she’s here to fill the tax literacy gap, one taxpayer at a time. Thanks for listening to today’s episode.
For more information about tax relief options, visit https://www.Bowenstaxsolutions.com/ .
If you have any feedback, or suggestions for an upcoming episode topic, please submit them here: https://www.americasfavoriteea.com/contact.
Disclaimer: This podcast is for informational and educational purposes only. It provides a framework and possible solutions for solving your tax problems, but it is not legally binding. Please consult your tax professional regarding your specific tax situation.