Missouri Tax Legal Questions

Get an authenticated copy of the order changing your name from the county courthouse where it was done. Also call a govt bond broker or the government agency that redeems the particular bonds you have and ask them what they need. Confidentiality Notice: The information contained in this email and any accompanying attachment(s) is intended only for the intended recipient and may be confidential and/or privileged. If any reader of this communication is not the intended recipient, then any unauthorized use, disclosure or copying is strictly prohibited, and may be unlawful. If you have received this communication in error, please immediately contact the sender, and delete the original message and any and all copies from your system. IRS Circular 230 Disclosure: To ensure compliance with requirements imposed by the IRS, please be advised that any tax advice contained in this communication (including any/all attachments) is not intended to be used or relied upon, and cannot be used or relied upon, for the purpose of (a) avoiding penalties under the Internal Revenue Code, or (b) promoting, marketing or recommending to another party any transaction or matter addressed herein.... Read More

Who was paying the maid? I'm guessing she was paid in cash and that the person paying her was not deducting the payments on any schedule of his or her tax return. If the IRS were to discover this it would assess estimated taxes, penalties and interest and then begin collection efforts. I'm guessing the IRS would not be particularly interested in pursuing criminal charges against her. It could also cause some problems for whomever she was doing maid services for - they should have been withholding income taxes as well as FICA taxes.... Read More

If it was your 401(k) plan they are going to look to you for payment of the tax. There may be "transferree liability," but the IRS will try to collect the tax in the easiest way possible for them. If there was no QDRO you are going to have problems making the IRS go along with whatever it is you are claiming.... Read More

I'm not totally clear on exactly what your are asking, but what I'm understanding is that the individual that "won a law settlement" owes the IRS money for back taxes and he is afraid to put the money in his own account for fear the IRS will levy on this. There is a possibility that you could be responsible for taxes on the amount transferred to the account you set up for your friend (transferee liability). There is also the possibility that each of you could be prosecuted for tax evasion. I say these things because you did not exactly make it clear what the situation was. I might also add that if the "law settlement" was damages for personal injuries this money would not be taxable as income to your friend. That does not, however, absolve him of the liability for past due taxes including interest and penalties.... Read More

Is this levy from the IRS? If it's an IRS levy for taxes the levy can only take what is in the account on the particular day that the levy "hits" your account. It will not apply to deposits made after the levy is posted on the account. The IRS can issue another levy later. Also, the bank is not supposed to charge an overdraft charge for the first levy.... Read More

First report the entire amount from the 1099 on your 1040.  Then subtract the amounts paid to the other parties including their tax identification numbers and addresses.  Include a notation describing why you subtracted out the amounts.  This way you will only pay taxes on the money you collected but you will properly report what was included on the 1099.... Read More

If you are selling something that you purchased for more than you paid, the difference could be taxable income (either ordinary or capital gains); if you are selling something that you made whatever you received over and above the cost of the materials used to make it is income. I don't believe this would affect disability income since it's not earned income from gainful employment but one way to allay your fears is to see an attorney in your local.... Read More

Your former wife must report the difference between the price she sells the inherited property for and the value of that property when she inherited it. Your tax status is determined by your marital status at the end of the tax year (December 31). If you filed a joint return with your former wife for the year in which the property was sold, you may have had some tax liability.... Read More

You can do business as a sole proprietor. You will need to file a Schedule C with your Federal form 1040 - this is a fairly simple schedule on which you list your gross income and then all of your expenses. The training expenses may not be deductible since it seems they were to help you go into another line of work. The equipment is either deductible or depreciable (meaning you may have to recover its cost over several years). You could, however, check out Section 179 of the Internal Revenue Code which might allow for all of those expenses to be deducted at once. Be aware, however, that if you have net profit in any year over $400 you will have to pay self-employment tax which would be the equivalent of the social security that is withheld from your paycheck by an employer PLUS what the employer would contribute on your behalf. This translates into about 15.3%... Read More