Why an Estate Planning Attorney should draft your will

Do you need to have an attorney draft your estate planning documents?

Estate planning attorneys often see people try to “save money” by purchasing software that allows them to create their own estate planning documents. These same people say that attorneys charge high fees for basic documents just to make money. Though some attorneys may charge high fees, the consumer holds the power to shop around for the best attorney for him or her. At The McGuire Law Firm an experienced Denver estate planning attorney will charge you a fair price for all estate planning services, including a basic will plan, which includes documents tailored to each client’s specific needs.

When you speak with an estate planning attorney, however, the communication allows the estate planning attorney to tailor the documents to your needs. Do you own rental property? Do you own a small business? Do you have minor children? Do you have specific family issues for which the documents must address? Moreover, the attorney, based on his or her experience, may bring up additional issues or questions that the individual may never have thought of on his or her own.

Most people, once they learn the cost associated with hiring an experienced estate planning attorney to draft their documents, find the fee more reasonable than they expected. Also, the companies that sell and promote their documents do not have an altruistic motive for doing so. They make money for pre-packaged documents. Their companies work from a profit motive despite statements to the contrary.

Contact The McGuire Law Firm to speak with an estate planning attorney and discuss your needs.  Free consultation.

Entity Options Video by Denver Business Attorney

At The McGuire Law Firm a Denver business attorney can discuss what entities are available for your business to operate and the implications of such entities.  The video below has been prepared by a business attorney to discuss your general options such as a sole proprietorship, a partnership or a corporation.  Please feel free to contact The McGuire Law Firm to speak with a business attorney regarding any questions or issues your business may have.

Contact The McGuire Law Firm to schedule your free consultation with a Denver business attorney!  720-833-7705

 

Article on Child and Dependent Care Credit by Denver Tax Attorney

Can I claim the Child and Dependent Care Credit?  This is a question many individuals may ask their CPA or their tax Denver Tax Attorney Denver Tax Lawyerattorney.  The article below has been drafted by a tax attorney at The McGuire Law Firm to outline a few issues regarding the Child and Dependent Care Credit.

If you paid for care to be given to your child, dependent or spouse last year you may be eligible for the Child and Dependent Care Credit.

The money you paid for the care received must have been necessary for you to work or look for work/employment.  This applies to your spouse if are married and filing your 1040 Individual Income tax return as married filing joint.

The care must have been provided to a qualifying person.  A qualifying person can be your child under the age of 13.  The qualifying person can also be a spouse or dependent who is physically or mentally incapable of taking care of themselves.  The qualifying person must also have lived with you for more than half of the year.

You and your spouse (if married filing jointly) must have earned income such as wages from a job.  There are also special rules that apply if a spouse is a student or is disable.

You cannot claim care payments that were made for the care of a qualified person but paid to your spouse, the parent of a qualifying person or to an individual that you can claim as a dependent on your 1040 tax return.

The credit can be up to 35% of the costs for qualifying care depending upon your income.  The limit is $3,000 of your total costs for the care of one qualifying person.  If you have paid for the care of two or more qualifying persons, you can claim up to $6,000 of your qualifying costs.

If your employer has provided dependent care benefits, special rules may apply.  Please see IRS Form 2441 regarding Child and Dependent Care Expenses.

On the tax return or forms you must state the social security number of each qualifying person to claim the credit.  Further, you must state the name, address and number of the care provide to claim the credit.  Generally, the number of the care provided will be their social security number or their Employer Identification Number (EIN).

When claiming the credit, attach Form 2441 to your 1040 Individual Income tax return when filed with the Internal Revenue Service.

You can discuss this credit and other tax credits with a Denver tax attorney at The McGuire Law Firm.  A tax attorney can assist you with your tax questions and issues.

Contact The McGuire Law Firm to schedule a free consultation with a Denver tax attorney!

LLC Operating Agreement Video by Denver Business Attorney

A multi-member LLC should have an operating agreement in place to outline the operations and rights of the LLC members.  A Denver business attorney at The McGuire Law Firm can assist you with the preparation of this document and other business documents and issues.

Contact The McGuire Law Firm to schedule a free consultation with a Denver business attorney.

Video on Form 433A by Denver Tax Attorney

A Denver tax attorney at The McGuire Law Firm can assist you with IRS issues from tax debts to tax audits.  If you owe a tax debt, you may have to complete Form 433A, which is a collection information statement for individuals, including sole proprietors.  The form is used in determining what options a taxpayer has to resolve their tax debts with the IRS.

Contact The McGuire Law Firm to schedule your free consultation with a tax attorney!

Pass Through Entity Discussed by Denver Tax Attorney

A tax attorney at The McGuire Law Firm can assist you with the tax implications of different business entities and certain business transactions.  You can schedule a free consultation with a Denver tax attorney by contacting The McGuire Law Firm!

 

Contact The McGuire Law Firm and schedule your free consultation with a tax attorney!  Offices in Denver and Golden Colorado.

Article by Denver Tax Attorney on IRS Equivalent Hearing

If you have ever received final notice of intent to levy from the Internal Revenue Service (also called Letter 1058) you may have notices that you haveDenver Tax Attorney Denver Tax Lawyer IRS Tax Attorney the right to a hearing.  Generally, there are two options regarding your request for a hearing.  If you make the request for a hearing within 30 days from the final notice of intent to levy, you can be afforded a collection due process hearing.  If you do not make the request within 30 days from the final notice of intent to levy, you lose your rights to a collection due process hearing, but may request an equivalent hearing.  The article below has been drafted by a Denver tax attorney to discuss what an equivalent hearing is and how this hearing can be beneficial to taxpayers that are attempting to resolve tax debts or other tax disputes with the Internal Revenue Service.

As an example, say you receive a final notice of intent to levy from the IRS on June 15th.  The 30 day time period to request a collection due process hearing would expire on July 15th.  Thus, lets assume you did not request a collection due process hearing by July 15th, but still need to resolve your IRS issues.  Your option is to contact the IRS agent you are working with, automated collections, request an equivalent hearing or do nothing.  You can request an equivalent hearing by completing Form 12153 and submitting the form to the IRS service center whereby you received the notice that allowed you to request the hearing.  Form 12153 will request your contact information, the periods at issues, the type of hearing you are requesting, why you are requesting the hearing and what collection alternative you feel could be used to resolve the IRS debt.  Requesting an equivalent hearing does not act as an automatic hold on IRS collection action like a collection due process hearing does.  Further, you are not always afforded judicial review rights after requesting an equivalent hearing.  However, the good news is, the collection statute continues to run once you have filed for an equivalent hearing, which it does not with a collection due process hearing, and although the IRS can enforce collection prior to the hearing, as a tax attorney, rarely have I seen the IRS enforce collection leading up to an equivalent hearing.

After filing the equivalent hearing requesting (Form 12153) you will receive a notice from the IRS appeals office that the request has been received.  Thereafter, generally 3-6 months in the future, a hearing date will be called with an IRS appeals officer.  Generally, the IRS appeals officer will request information and such information will be used in analyzing your collection alternative such as an installment agreement or offer in compromise.  For example, if you were an individual, you would likely submit Form 433A, the necessary attachments and your proposal to resolve the issues/debt.

During the hearing you will discuss the collection action taken by the IRS and your proposed resolution.  You may need to provide more documents or information depending upon the circumstances.  Eventually, the appeals officer will make a determination and issue the determination in writing to you.  Hopefully, the determination is the agreement or position you proposed!

You can discuss your tax matters with a Denver tax attorney by contacting The McGuire Law Firm.  The McGuire Law Firm can assist you in resolving IRS debts, audits and disputes as well as other tax questions and issues.  An experienced tax attorney can be very beneficial when dealing with the IRS.  Thus, if you have any question about your matter or issue before the IRS, it is recommended you speak with a tax attorney or tax professional.  Most will offer a free consultation, so what do you have to lose!

Schedule a free consultation with a Denver tax attorney at The McGuire Law Firm! 720-833-7705.

Denver Tax Attorney Video on IRS Offer in Compromise

An offer in compromise is an agreement with the IRS whereby a taxpayer is able to settle their tax debt for less than the full amount of the debt owed.

How is an offer in compromise calculated?  Your offer is calculated based upon your equity in assets and disposable income.

How long does the IRS to make a determination regarding my offer in compromise?  Generally, the IRS will take anywhere from 4-12 months to make the initial determination on your offer.  You also have appeal rights if the offer in compromise unit rejects your offer.

Where do I submit my offer in compromise?  You will initially submit your offer to one of two offer in compromise units, which are in Memphis, TN and Holtsville, NY.

A Denver tax attorney at The McGuire Law Firm can prepare, submit and negotiate an offer in compromise with the IRS if your financial circumstances allow.  All potential clients receive a free consultation!  Contact The McGuire Law Firm today!

 

Offices in Denver and Golden Colorado!  Speak with a Denver tax attorney to discuss your options and ability to settle your IRS tax debt with an offer in compromise.

Tax Scams by Tax Attorney

Many individuals and even businesses become victims of tax scams.  The article below has been drafted by a Denver tax attorney at The McGuire Law Firm to Denver Tax Attorney Denver Tax Lawyeridentify what some of these scams are.

Identity theft has been an increasing crime and has impacted individual’s from a tax perspective.  An individual may steal your identity when being hired and fail to have enough income tax withheld.  The income is reported to the Internal Revenue Service on a W-2 but when you do not report the income on your 1040 Individual Income Tax Return, your return will not add up to what the IRS has on record.  Thus, you are likely to receive a Notice of Deficiency from the Internal Revenue Service.

Telephone scams have been increasing recently.  Individuals will call taxpayers pretending to be the Internal Revenue Service in an attempt to obtain information such as social security numbers and then steal an individual’s identity.  If you receive a call from the Internal Revenue Service, you can always call the IRS back.  The IRS can be reached at 1-800-829-1040 or other numbers that will be on their website.

Phishing scams may include emails and fake websites that appear to be legitimate.  These scams are an attempt obtain personal and financial information such as social security numbers or bank information.  It is important to know that the Internal Revenue Service does not contact taxpayers by email, text messages or any social media channels.  Thus, any email from an agency purporting to be the IRS is a scam.

Promises of free money or a refund that appears high may be an indicator that your preparer is not being honest or accurate on your tax return.  You are still responsible for the tax return that is being filed.  Certain scams have also involved persons acting as tax return preparers, when in fact they are not.  Remember, if it seems too good to be true, it probably is.  You can always contact a tax attorney or CPA to discuss a tax return prepared by a third party.

Hiding income offshore has been under heavy investigation from the IRS recently.  As an American citizen you are responsible to report world –wide income and financial accounts and assets abroad under the new FATCA regulations.  Taxpayers who maintain financial accounts abroad and do not report these accounts and income from these accounts may face very high penalties and interest.  The IRS has established the offshore voluntary disclosure program which taxpayers can use to lessen the penalties and disclose their foreign financial assets.

Taxpayers have also been duped into donating money to what they believed were charitable organizations.  The taxpayers are contacted by people impersonating charities.

 

Claiming false income or expenses to receive certain tax credits or pay less tax is illegal and such actions could lead to fines, penalties and potentially criminal prosecution.

The use of abusive tax structures has increased in recent years.  The schemes often involve sham businesses and inaccurate financial arrangements for the sole purpose of evading taxes.  The scheme may have multiple layers in an attempt to conceal the reality of the situation and hide income and assets.  The schemes may involve LLCs, partnerships, foreign accounts and other offshore financial institutions.  Remember, if it seems too good to be true, it probably is.  Contact a CPA or tax attorney if you an individual or company has made a proposal to you that will save you money in taxes and does not sound right.

Certain trusts may be used through estate planning to improperly reduce tax income and or inflate deductions.  Again, it is best to contact a CPA, tax attorney or even an estate planning attorney if you are questioning a transaction that has been proposed to you.

You can contact a Denver tax attorney at The McGuire Law Firm if you have tax questions or issues.  A tax attorney will be happy to discuss your questions and our goal is to educate you!

Contact The McGuire Law Firm to schedule a free consultation with a tax attorney!  Offices in Denver and Golden Colorado.