- Days left
While our system of federal taxation may seem burdensome, taxpayers do have many rights when it comes to the process. The IRS does want taxpayers to be informed about their rights so that they can protect themselves.

There are many rights for taxpayers at all steps of the tax process, but here are some of the most common rights that you should be aware of:
  • Your civil rights are protected, and that means that no employee of the IRS can discriminate against you based upon your race, sex, age or disability.
  • You have a right to receive notices related to your tax matters. The IRS must notify you if they claim you owe more or less taxes, and they must give you the reason why you owe more or less. They also must provide you details of interest and penalties that are assessed.
  • You have a right to be represented in your tax matters. You can be represented by an attorney, an accountant, a family member, or other person of your choosing.
  • You have a right of confidentiality, both within the IRS and outside of the IRS. No IRS employee can release information about your tax situation to anyone but you, unless you have signed a power-of-attorney form. Also, employees of the IRS are not allowed to arbitrarily access your tax records. They must only access them for official business.
  • You have certain procedural rights when it comes to collecting your taxes. These rights include a timetable for collecting taxes, as well as certain methods for collecting taxes, which might include garnishing wages or levying bank accounts.
Along with rights come responsibilities, however. Taxpayers are responsible for filing accurate taxes on time, and for paying the taxes, interest, and penalties due. The IRS provides a Taxpayer Advocate Service which is there to take your complaints and help you resolve your problems with the IRS.

Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.

Increase your money and finance knowledge from home

How to Avoid Financial Scams

Avoid getting duped by financial scams.

View Course »

Banking Services 101

Understand your bank's services, and how to get the most from them

View Course »

TurboTax Articles

Cities with the Lowest Tax Rates

The total amount of tax you pay reaches far beyond what you owe the federal government. Depending on where you live, most likely you're required to pay additional taxes, including property and sales tax. The disparity between the amount of tax you pay in a low-tax city and that in a high-tax city can be dramatic. Living in any of these 10 cities could save you a bundle, although the exact amount may fluctuate based on your income and lifestyle choices.

Cities with the Highest Tax Rates

Much ado is made in the press about federal tax brackets, but cities can carry a tax bite of their own. Even if you live in a state that has no income tax, your city may levy a variety of taxes that could eat away the entire benefit of living in an income tax-free state, including property taxes, sales taxes and auto taxes. Consider all the costs before you move to one of these cities, and understand that rates may change based on your family's income level.

Great Ways to Get Charitable Tax Deductions

Generally, when you give money to a charity, you can use the amount of that donation as a deduction on your tax return. However, not all charities qualify as tax-deductible organizations. While there are many types of charities, they must all meet certain criteria to be classified by the IRS as tax-deductible organizations. There are legitimate tax-deductible organizations in many popular categories, such as those listed below.

A Freelancer's Guide to Taxes

Freelancing certainly has its benefits, but it can result in a few complications come tax time. The Internal Revenue Service considers freelancers to be self-employed, so if you earn income as a freelancer you must file your taxes as a business owner. While you can take additional deductions if you are self-employed, you'll also face additional taxes in the form of the self-employment tax. Here are things to consider as a freelancer when filing your taxes.

Tax Deductions for Voluntary Interest Payments on Student Loans

Most taxpayers who pay interest on student loans can take a tax deduction for the expense ? and you can do this regardless of whether you itemize tax deductions on your return. The rules for claiming the deduction are the same whether the interest payments were required or voluntary.

Add a Comment

*0 / 3000 Character Maximum