Were Comey & McCabe IRS Audits Politically-Motivated? Unlikely

Audits, In the News, Taxes, Taxes in the News

I was a tax attorney at the IRS for a decade. So you know I’ve been all over the fascinating story that the IRS recently subjected  former FBI Directors James Comey and Andrew McCabe to its most invasive NRP audit. Comey and McCabe were famously fired and publicly abused by former President Trump. Suspicious minds now wonder whether IRS Commissioner Charles Rettig, a Trump appointee, ordered the audits on these two men as a form of political retribution. Very unlikely. Here’s why.Read more>>

How Can Interest Accrue on Closed Credit Cards?

Bankruptcy, Debt

I have many bankruptcy/debt management clients whose credit cards have been closed, and they’re listed as closed on their credit report, but interest and late penalties keep getting tacked onto the balances due month after month. Huh? How is that even possible? I know it seems counterintuitive – that the credit card account is listed as “closed” but its outstanding balance keeps increasing. But it’s not. Read more>>

The Turnip Defense As A Substitute for Bankruptcy

Bankruptcy

A common strategy for dealing with unmanageable debt is to file bankruptcy. Yet some people don’t have enough money to file bankruptcy. I don’t mean that they can’t afford to pay me (although that happens too), but that their life and financial situations combine in a way that bankruptcy makes no sense. But the turnip defense does. Read more>>

IRS “Uncollectible” Status

IRS, Tax Collection Issues

For anyone who owes back taxes to the IRS, obtaining Uncollectible Status is like reaching a Promised Land for Tax Debtors. It means the IRS has decided to temporarily halt any collection actions against the “uncollectible” tax payer because it’s just not worth it. Read more>>