Identity thieves have taken their game to law-abiding tax payers. Dishonest people file tax returns under the name and social security number of another person and claim refunds from the IRS. When the rightful person then files the real return, the IRS refuses to accept it, saying someone has already filed under that name. If this happens it is important to act quickly. You need to file a report with the local police or sheriff and present that to the IRS along with a paper tax return. (You may not e-file in this situation.)

Another scam is if you receive an email from the IRS. The IRS NEVER sends emails. If you get an email from someone appearing to be the IRS, DO NOT open it. This is a scam and one way identity thieves try to get your personal information. Be aware that the IRS can call you and they will if you haven’t filed or paid your tax returns. In some cases a revenue officer may come to your door, but they will never email. If you get an email that is posing as the IRS you should forward it to phishing@irs.gov so they can take steps to resolve the problem.

Should you choose to e-file your taxes next year there are a few preventative steps you can take to decrease the odds of identity theft. Do not use a public computer to file, and do not use a public network either. Always shred or burn your old tax records that you no longer need. (You don’t need to keep paperwork older than seven years.) If you are a victim of tax identity theft or if you have issues with the IRS please call my office today 312-664-6649 and see https://chicagotaxteam.com/why-us/.

Oftentimes people who are fighting the IRS find themselves in financial hardship and are behind on their mortgage payments. If you find that you are in such a situation, and your lender agrees, a possible option for you may be to pursue a short sale on you property.

So what is a short sale? Well, basically, a short sale is a sale of a property where the seller sells the home for less than the balance owed on the mortgage covering the property. This allows you to get out from under a mortgage and payments that you can no longer pay.

Some benefits of pursuing the short sale option can include:

• The elimination or reduction of your mortgage debt.
• In times of hardship the less bills you have to pay the better. Your mortgage payment may no longer match your income, or put unnecessary strain on your stretched finances. Your home may not be worth the amount of money you owe on your mortgage making it impossible to sell in the regular market, settle your debts, and move on. Selling a burdensome home in a short sale can help you escape the overwhelming strain on your finances.

• The avoidance of having a foreclosure placed on your credit report.
• While a short sale does affect your credit a foreclosure is a dreaded mark. Short sales show that you took responsibility in the best way you could for your situation and did not just walk away from your financial obligations. Foreclosures still have a stigma.

• Quicker credit recovery afterwards then you would face from a foreclosure.
• Foreclosures can be messy and are a huge blow to your credit score. With a short sale you still suffer some damage to your credit score but, in most cases, it is less than what you will face after a foreclosure.

• The opportunity to qualify to buy another home sooner.
• Fannie Mae states that a buyer may be able to buy a home sooner after having a short sale placed on their credit. In as little as two years someone facing a short sale may be able to buy another home. Foreclosures, on the other hand, can prevent you from purchasing another home for up to 7 years.

• The possibility of living without a mortgage payment while the short sale process is being taken care of.
• You may be relieved of the burden of your mortgage payment during the short sale process. Again, the less you need to pay out during a time of financial strain the better.

There are other benefits to choosing the short sale option to reduce the burden of your unmanageable mortgage payments. However, as with all delinquent tax and real estate transactions make sure that you have a trustworthy advisor that is knowledgeable of the Short sale and foreclosure process to help guide you. You want to make sure that the option you choose is the best one for your specific situation. You also want to make sure that you are fairly represented and that all the details of the transaction are completely taken care of.

No one likes to face financial problems but there are solutions available. If you find that you are having to facing a potential loss of home, bankruptcy, tax problems or are considering trying to get out from under a burdensome mortgage feel free to contact us for a free consultation. https://chicagotaxteam.com/services/