Tax Help

Tax help provides information concerning some of the new IRS tax changes and what to do if contacted by the IRS.

First Time Home Buyer Tax Credit

President Obama extended this $8000 credit from November 30, 2009 to April 30, 2010. There are some earnings restrictions, but most first time buyers will qualify. Some people do not realize that a first time buyer is defined as some who has not owned a home in the last three years. So people who had to sell their homes may now be able to qualify. Before making a purchase be sure to consult with your tax adviser.

Home Upgrade Credit

There is also a $6500 credit for those who are upgrading and have owned their home for 5 out of the last 8 years. Again there are some restrictions so you should consult with your tax adviser.

Tax Audits

When contacted by the IRS, don’t panic, just make sure you respond by the time allowed. Things can escalate if you are not responsive to their requests. Generally they only need additional information to help verify earnings or deductions. Most requests can be handled through the mail. If they do ask for you to come to their offices you need to be prepared to provide documentation for things they are interested in. If you need assistance I would suggest contacting a tax professional problem solver. There are a few super star tax professionals that are well worth their professional fees when you need help. Ask for references and call the references they provide. Good professional are always willing to provide references and the references are always willing to provide information about their experiences with good professionals. They can often help save you considerable time and money that will go along way to more than offset any fees they charge. Just the peace of mind that you receive from these professionals is well worth it.

The Need Tax Help website has some additional information that you might find helpful.