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Sales tax exemptions: states take different approaches

Tax exemptions, like so many other things in life, come in sizes large and small. For large corporations and wealth individual taxpayers, the tax savings involved in properly claiming exemptions amount to some serious money. That is why tax litigation in Texas and across the country sometimes focuses on issues […]

Legislation

What Are the Odds of a Tax audit?

So what are the odds, overall, of the IRS targeting your return for a tax audit? The answer varies, of course, depending on certain factors. It’s important to minimize your risks of an audit by taking common sense steps to protect yourself. As we discussed in our January 29 post, […]

Audits

Household employers and the ‘nanny tax’

It’s been 20 years now since two successive nominees for the prestigious position of U.S. attorney general had to withdraw due to “nanny tax” problems. Two decades is of course a considerable chunk of time. And yet the complexities of tax law for household employers continue to remain a challenge. […]

Tax Evasion

Audit Avoidance: Compliance and Common Sense

An IRS audit: To taxpayers, the words are usually about as welcome as the words “root canal” are to dental patients. They are not to be sought out, and so serve as a caution against an overly aggressive tax strategy. Keep in mind, however, that failing to take all of […]

Audits

Tax Deductions: Home Office Rules to be Simplified

Many people work out of their homes. Nationally, the number is quite high. The number of taxpayers who took the home-office deduction was over 3 million in 2010, according to the Internal Revenue Service. The IRS is aware, however, that in the past the calculations required to claim the deduction […]

Audits