Chicago IRS Tax Attorney

Chicago Tax Team - We help business professionals solve their IRS problems - FOREVER!

Call Us 312-664-6649
Free Consultation
  • IRS Radio Hour
    • IRS Radio Hour Show – 8/31
    • IRS Radio Hour Show – 8/23
    • IRS Radio Hour Show – 8/17
    • IRS Radio Hour Show – 8/10
    • IRS Radio Hour Show – 8/03
    • IRS Radio Hour Show – 7/27
    • IRS Radio Hour Show – 7/13
    • IRS Radio Hour Show – 7/06
    • IRS Radio Hour Show – 6/29
    • IRS Radio Hour Show – 6/22
    • IRS Radio Hour Audio
      • IRS Radio Hour – 6/15
      • IRS Radio Hour – 6/08
      • IRS Radio Hour – 6/01
      • IRS Radio Hour – 5/25
      • IRS Radio Hour – 5/18
      • IRS Radio Hour – 5/11
      • IRS Radio Hour – 5/04
  • Services
    • Tax Preparation
    • Tax Resolution
      • IRS Installment Agreement
      • IRS Currently Not Collectible
      • IRS Offer in Compromise
      • IRS Penalty Abatement
      • Presidential Tax Resolutions Timeline
    • Bankruptcy
      • Chapter 7
      • Chapter 13
    • Foreclosure Defense
  • About Us
    • Why Us
  • Testimonials
  • Today’s Tax Talk
    • Steven Leahy – Legal Questions Answered
  • Contact Us

Cash is King! IRS Form 8300

January 6, 2017 by admin

Steven A. Leahy

Cash is King – IRS Form 8300

By Steven A Leahy

Recently, I received a telephone call from a business owner in his accountant’s office. They wanted some information about large cash payments the business received 18 months prior. I immediately shut the conversation down and insisted they come to my office if they wanted to discuss this matter with me. I did that because, with the accountant privy to our conversation, the conversation conflicted with the traditional doctrine of attorney-client privilege. What they were discussing possibly involved illegal activity, and not something you want to talk about in mixed company.

Federal law requires that all cash payments more than $10,000.00 must be reported to the IRS with Form 8300. In general, the law requires that anyone engaged in a trade or business – “in the course of such trade or business, receives more than $10,000.00 in cash in 1 transaction (or 2 or more related transactions)” shall file the proper cash transaction forms. If Form 8300 is required, it must be filed within 15 days after the date the cash transaction occurred. Form 8300 must include “the name, address, and TIN of the person from whom the cash was received.”

Not only must you file IRS Form 8300, you must furnish a “written statement” to each person “from whom the cash was received.” That written statement must be provided “on or before January 31 of the year following the calendar year for which [Form 8300] was required to be made.”

A transaction could be the sale of a machinery, construction work for a home owner, or repair work for a vehicle. The cash payment can be a lump sum of $10,000.00 or more; Installment payments that cause total cash received within one year of the initial payment to total more than $10,000.00, or; Previously unreported payments that cause the total cash received within 12-month period to total more than $10,000.00.

For example, let’s say a customer agrees to buy a piece of equipment for $14,000.00. He pays you $9000.00 in a cashier’s check and the balance 10 days later with $5,000.00 cash. This is a cash transaction and must be reported. You have received more than $10,000.00 cash. Because “Cash” may include cashier’s checks, bank drafts, travelers checks and money orders with a face value of $10,000.00 or less. Confused yet?

Wait, there’s more. The law also requires that you report suspicious transactions. For example, if you suspect the customer is attempting to prevent a Form 8300 from being filed – you must file Form 8300. What you must NOT do – EVER – is help the customer structure the transaction to avoid the Form 8300 reporting requirement.

Failure to file Form 8300, when required, may result in civil penalties. The penalties can amount to millions of dollars. Worse, a person may be subject to criminal penalties. The criminal penalties are generally for willful behavior, and include fines up to $100,000.00 and/or imprisonment up to 5 years, plus the cost of prosecution. The criminal penalties apply to those whom attempt to structure the transaction in such a way that would make it seem unnecessary to file Form 8300.

Receiving cash payments in a transaction can cause BIG problems. Who must file Form 8300, when that form must be filed, what constitutes cash, the transactions that trigger the requirement and the penalties that follow non-compliance are often difficult to understand. Don’t play games – get advice!

So, if you receive large cash payments, you should work with a local law firm that will work with you to stay in compliance with these complicated laws. You should give me a call – Opem Tax Resolutions & The Law Office of Steven A. Leahy, PC (312) 664-6649. Call NOW to set up your FREE Consultation.

Filed Under: Uncategorized Tagged With: “Tax Relief”, back taxes, Chicago Tax Help, Help With IRS, irs options, tax attorney chicago, Tax Help Chicago, Tax Problem Help, tax resolution chicago il

IRS Telephone Scams

May 13, 2016 by admin

Steven A. Leahy
Beware IRS Telephone Scams

By Steven A Leahy

The biggest news about the IRS lately is really NOT about the IRS. I receive at least 5 calls a week about the “IRS” contacting taxpayers and telling them they are under investigation, or about to be sued or about to be arrested because the owe the IRS money and haven’t paid.

These calls are SCAMS – it isn’t the IRS calling! That is NOT how the IRS works. They will NEVER take a payment over the phone, or accept iTune cards as payment. That’s right, iTune cards. I was on David Hochberg’s Home Sweet Home Chicago Radio show last week to address these scams. You see, David received a call himself. We had previously addressed this issue on his show, so he knew it was a scam. He played along to see where it led.

Initially, the caller told him she could not help him – it was too late. But, with a little questioning, said she could talk to her supervisor to see if they could resolve the matter without having him arrested. Sure enough! If he went to Walgreens, CVS or Rite Aid and purchased around $3000.00 in gift cards, the “IRS” would not arrest him. The gift cards are also known as, get this, iTune cards! So, the caller told him to call back when he had the iTune cards and read the numbers on the back of the card.

As silly as this sounds, it WORKS. There wouldn’t be the number of scam calls as there are if there weren’t vulnerable taxpayer’s out there falling for it. The ONLY reason the scam works is the public is scared to death of the IRS and will do just about anything to avoid being a target.

Now, on rare occasions the IRS will call taxpayer. But they will NEVER ask for payment in this manner. If you EVER receive a call from the IRS, or someone claiming to be from the IRS, tell them you need to speak with your attorney, then hang up the phone. Immediately call my office for advise. If you need help, we are the firm to help. But, if you don’t, we will let you know that for FREE.

So, if you have ANY IRS questions, Call me, Attorney Steven A. Leahy at 312-664-6649. I am the Chicago IRS Answer Man.

Filed Under: Uncategorized Tagged With: Chicago Tax Help, Help With IRS, IRS Help Chicago, IRS Help IL, IRS Phone Calls, IRS Scams, steven leahy, Tax Problem Help, tax resolution chicago il

IRS Offer in Compromise

June 4, 2013 by admin

Steven A. Leahy

Chicago: IRS Offer in Compromise

Chicago: IRS Offer in Compromise
Why the IRS is cracking down

There is one method of getting out of debt with the IRS that’s been abused more than any other.

This method, offers-in-compromise, has become downright controversial – so much so that the IRS made changes to the “rules” regarding this debt relief method for both taxpayers and tax relief specialists.

When the act that allowed Offer-in-Compromise passed, it was like a giant Pandora’s box opened up. All of a sudden, late night TV became filled with commercials from Offer-In-Compromise “Pros” promising troubled taxpayers the chance to “pay pennies on the dollar to the IRS”.

These “pros” would fill out the OIC paperwork and send it to the IRS, sometimes ignoring whether a client met the criteria for being accepted or not. Either way, the “pros” got their money…even if the client never had much of a chance of being accepted.

Not only did this practice create a huge number of people getting ripped-off, it may have caused a reduction in the number of Offers-in-Compromise that are actually being accepted by the IRS. On November 1, 2003, the IRS began charging a $150 processing fee for most Offer-In-Compromise proposals.

Also, in February of 2004, they officially issued “a consumer alert advising taxpayers to beware of promoters’ claims that tax debts can be settled for ‘pennies on the dollar’ through the Offer in Compromise Program.”

It seems that “frivolous” proposals – not to mention plenty of complaints by consumers – had been mounting… enough to warrant concern by the IRS.

The IRS has cracked down.

Offers-in-Compromise now only have a 15% chance of success. An offer-in-compromise may still be the right option for you, or there may be better alternatives.

Don’t waste your time, if you are in trouble with the IRS or have received notices that you owe taxes, we can help. Call Opem Tax Resolution – The Law Office of Steven A. Leahy, PC (312) 664-6649. Call Now to schedule your FREE 1 hour Consultation!

Filed Under: Uncategorized Tagged With: “Offer in Compromise”, back taxes, Chicago Tax Help, Help With IRS, IRS Levy, irs non-collectible status, IRS Options Help, IRS problem, IRS Tax Debt, Offer in Compromise IRS, Offer in compromise Settlement, Relief, Tax Debts, Tax Help Chicago, Tax Levies, Tax Levy, tax options Chicago, tax resolution chicago il, TaxHelp

Late Filing Your Taxes? Attorney Steven Leahy Offers Advice

June 1, 2013 by admin

The tax deadline was a few months ago, but what if you missed the April 15th deadline? The most important action you can take at this point is to file as soon as possible. The IRS is already tallying up interest and penalties on the amount you owe and these fees add up fast. The longer you put off filing, the more penalties you will accrue if you owe taxes. Additionally, many people don’t realize that failing to file a tax return is a felony. In other words criminal charges may be filed against you!

The penalty for filing late is approximately 5% of the unpaid taxes you owe for each month (or part of the month) the tax return is late, up to a maximum penalty of 25%. So if you owe $10,000 your first penalty for the month is $500. Not only is there a penalty for failing to file, there is an additional penalty for failing to pay. This penalty is one half of one percent of the unpaid taxes. Similar to the failure to file penalty, this penalty cannot exceed 25% of the net amount of taxes due. Most of my clients are shocked when they learn about the severity of these penalties.

I also want to clarify extensions- what they are and what they aren’t. A lot of people think that an “extension” allows you more time to pay your tax bill. This is NOT true. An extension merely affords you more time to file your return. If you owe taxes that amount is still due April 15th. If you are going to owe money and you file an extension, you also need to send the estimated amount that you will owe in with the extension. For instance if you think you are going to owe $10,000, it was still due April 15th. The extension deadline is October 15th to file.

What if you haven’t filed with the IRS for a couple years? The first priority we face is to get you caught up on your filings. Once we complete that and know the total amount you owe including interest and penalties, I may be able to negotiate with the IRS and get you set up with a payment plan, or we may get an Offer In Compromise in which the IRS agrees to settle for an amount less than what you owe. I handle those negotiations with the IRS for you. It is best for a tax professional to handle these situations because we know how to talk to the IRS. The taxpayer may say things that might not be in their best interest.

On occasion, the IRS will file a tax return on your behalf if you haven’t done so. This is not in your best interest either. They are trying to get you into compliance with the tax code, but usually you end up owing much more than if you filed on your own. The IRS doesn’t itemize any deductions and they use the highest possible tax rate. Letting the IRS file for you is not a good thing to do; you’re just hurting yourself.

The IRS might send a notice if you haven’t filed for some time. If you don’t respond to the first notice, the notices will start coming more often and they’ll start getting more aggressive. If you fail to respond to the notices, eventually you will get a notice that warns you that a levy will be placed on your bank account or your wages because you haven’t paid any attention to previous notices. If it gets to the point where the IRS is threatening to levy bank accounts and wages, they will be aggressive and fairly difficult to deal with. They have already decided you are not willing to cooperate.

If you are in good standing with the IRS or at least working towards getting into compliance, it is wise to begin preparing for 2013 tax time. Check your withholding. Adjust your withholding to have more taxes taken out of your paycheck if you are employed. If self-employed it is best to budget estimated tax payments. Set the money aside throughout the year. It is difficult to part with this money when you run a small business, but you will be much happier and more prepared come April 15th. Also it is helpful to keep detailed records, mileage logs, charity receipts, etc. If you get audited you will wish you had detailed records.

I am here to help you with your tax problems whether you are late in filing, late in paying, or receiving threats from the IRS. I can help you get into compliance and plan for a bright future that is free of IRS problems. Call today and let’s begin working toward resolution together. Call 312-664-6649 and visit https://chicagotaxteam.com/.

Filed Under: Uncategorized Tagged With: chicago il tax resolution, chicago tax resolution, steven leahy, tax resolution chicago, tax resolution chicago il

Chicago – IRS Currently Not Collectible

May 28, 2013 by admin

Steven A. Leahy

Chicago: IRS Currently Not Collectible

Chicago: IRS Currently Not Collectible
What does currently non-collectible by the IRS mean to Chicago taxpayers?

There are 6 ways to get out of debt with the IRS. One of them is to be declared “currently non-collectible”.

There is an important word in that definition. And it’s the word currently.

Currently Non-Collectible means that the IRS considers that your current financial situation makes it impossible for you to pay your taxes and they determine that they can’t collect the money from you…

… at least not for now.

Which means that currently non-collectible is usually just a short-term fix for an IRS problem.

In the end you may still have to pay the taxes you owe. Plus you still may have to pay penalties and interest once your financial situation improves….

You can stay non-collectible indefinitely…

As long as your income doesn’t rise more that 15 to 20%.

However, being non-collectible at the moment doesn’t mean you get out of paying taxes going forward.

The IRS still expects what’s owed them.

In fact, you must pay these future taxes in full and on time or you’ll blow it big time. If you neglect to pay your taxes for future years, or worse – you don’t file…the whole CNC deal is off.

If this happens, the IRS will come after all of the money you owe them, and they may use garnishments, levies, seizures, liens and all of the “nasty” tactics at their disposal to get their money. If you do go for non-collectible status the IRS will put you under close scrutiny.

Chicago IRS Currently Not Collectible. If you are searching for IRS Solutions to your tax problems, or if you have ANY questions about IRS problems, we can help. call Opem Tax Resolution – The Law Office of Steven A. Leahy, PC (312) 664-6649. Call Now to schedule your FREE 1 hour Consultation!

Filed Under: Uncategorized Tagged With: “Tax Relief Chicago”, back taxes, Chicago Tax Help, currently non collectible, Help With IRS, IRS Help, IRS Help Chicago, IRS Help IL, IRS Levy, IRS Lien, irs non-collectible status, irs options, IRS Options Help, IRS problem, IRS Tax Debt, irs tax penalty, IRS Tax Problem, Offer in Compromise IRS, Offer in compromise Settlement, Relief, steven a. leahy, tax attorney chicago, Tax Debt Help, tax debt relief, Tax Debts, Tax Help, Tax Help Chicago, Tax Levies, Tax Levy, tax options Chicago, tax resolution, tax resolution chicago il, Tax-Consultants, TaxHelp

  • 1
  • 2
  • Next Page »

Listen to the PodCast!

IRS Radio Hour

Sunday at 5:00 pm
AM 560 The Answer
LISTEN HERE

Our Resources

  • Learn about Chicago Tax Resolution Law Firm »
  • Learn About Bankruptcy Chapter 7 »
  • Look at our blog for more information »
  • Expert IRS Tax Problems - How to Solve »
  • Timeline on IRS Tax Resolutions »
  • 
  • 
  • 
  • 
  • 

Testimonials

Our Office

Our Office has represented Clients throughout Chicago & Northern Illinois. We represent many clients from Cook County; however, we have represented clients from:

DuPage County
Kane County
Kendall County
Grundy County

Lake County
McHenry County
Will County
LaSalle County

We have helped taxpayers in Wisconsin, California, Tennessee, and perhaps your state. No matter where you call home, we look forward to your telephone call for your FREE consultation.

2525 Waukegan Road * Suite 210 * Bannockburn, Illinois 60015
Telephone: (312) 664-6649

Opem Tax Advocates, The Law Office of Steven A. Leahy, PC, Attorneys & Lawyers  Bankruptcy, Chicago, IL

Disclaimer - Privacy Policy

All text and design is copyright © 2021 Opem Tax Advocates, LLC. All rights reserved