Take a look at our August newsletter!
CLIMBING A MOUNTAIN OF TAX PROBLEMS? Don’t Try It Without a Rope
“When someone comes to me with a situation that feels impossible, I become two things: the safety net and, more
I’ll be honest: I’ve never climbed a mountain. Not a real one, anyway.
of their next move. Then someone reaches down and helps them take that next step. That’s what I do when someone’s facing the IRS. I’ve seen too many people try to tackle these problems alone, and they think they can “free solo” it. But just like with a mountain, solo climbing is only for professionals. Most folks don’t know the ropes, and when you don’t know the ropes, you’re way more likely to get hurt. If you’ve ever tried to deal with the IRS, you know exactly what I mean. It’s a massive organization, with layers of rules, procedures, and red tape. You look up at it, and it feels endless, just like the side of a mountain with no obvious trail or path. You don’t know what gear to use, which knots to tie, or which direction is even safe. That’s where I come in. I know the ropes. I know how to help people tie off safely, how to keep them from falling further, and how to guide them up, one step at a time. Sometimes that means stepping in to stop a free fall. Other times, it means being the ladder someone climbs when they don’t have the strength or knowledge to go alone. National Mountain Climbing Day might seem like it’s for elite athletes and outdoor adventurers, but I think it’s for anyone who’s ever faced something that felt bigger than them. Whether it’s a tax issue, a legal mess, or just one of life’s heavier burdens, we all have mountains. The question is: Are we climbing smart? Are we climbing safely? And most importantly, do we have someone helping us up? Remember, at IRS Trouble Solvers, we are always here to help you up! -Ben Golden
I grew up in Alabama, and where I live, mountains just aren’t part of the landscape. Now, if you head up to North Alabama, you start to see the foothills of the Appalachians, but that wasn’t my world growing up. So, mountain climbing was never really on my radar. Even though I’ve never strapped on a harness or stuck a pick into a rock face, I understand the basics. Mountain climbing is all about having the right safety system. You need the right gear, ropes, and anchors to make sure you don’t slip and fall … all the way down. You might fall a little, sure, but you’re not plummeting to the bottom. Your gear keeps you safe. And that’s where National Mountain Climbing Day, which is celebrated every Aug. 1, starts to feel personal for me, even though I’ve never set foot on a mountain. What I’ve realized is that in my line of work, I actually help people climb their own mountains. They’re not made of granite or snow; they’re made of tax problems, and they can be just as intimidating. When someone comes to me with a situation that feels impossible, I become two things: the safety net and, more importantly, the ladder. When climbers get stuck, they don’t always need someone to just catch them. Sometimes, they need help to get moving again. In the movies, you’ll see a guy hanging on the edge, frozen, scared, unsure
importantly, the ladder.”
AUG 2025
1
WWW.IRSTROUBLESOLVERS.COM
If your retirement savings aren’t quite where you hoped they would be, you’re not out of time yet. Between raising children, unexpected expenses, and seemingly never-ending bills, it’s easy to fall behind on your retirement savings. But with smart budget moves and wise planning, you can start building the nest egg you work so hard for. Spend Less, Save More Start by examining your spending habits, looking for any areas to cut back on and put into your savings account. A good place to start is subscriptions you may no longer need or costs you could reduce, such as eating out. Once you understand your buying habits, create a budget to compare your income and expenses. A budget can be a road map for achieving your retirement goals, allowing you to adjust and earmark funds for specific dreams. Focus on reducing what you owe by paying off high-interest debts. Max Out Retirement Accounts Take full advantage of your retirement accounts, like your employer’s 401(k) contributions and your Roth IRA. Most companies that offer 401(k)s will match your contributions, so go above the minimum contribution to get the most out of this benefit. Maximizing your 401(k) is an excellent way to grow your nest egg while working toward retirement. You can also max out your contributions to a Roth IRA, which allows you to withdraw funds tax-free as long as the account has been open for at least five years and you are 59 or older. Make More, Save More Suppose your budget is tight every month, or you find saving up for your goals challenging. In that case, it may mean you need to find new opportunities to earn extra income. If you are nearing retirement but don’t have the savings you feel comfortable with, consider working a few additional years to build up your funds. Any time you receive extra money, use Catch Up on Your Retirement Savings MAX OUT YOUR FUTURE
SCHOOL SUPPLIES Make the Most of Bac
As summer winds down and school supplies start flying off the shelves, it’s time to sharpen your pencils and your tax strategies. This back-to-school season, parents and guardians can take advantage of smart tax deductions that help offset the often- overwhelming costs of education. Whether you’re buying backpacks for elementary kids or shelling out tuition for a college-bound teen, the IRS might just reward you with a bit of relief. The Back-to-School Basics Let’s start with the everyday stuff. While school supplies like crayons and notebooks aren’t directly deductible for most taxpayers, there are a few ways to ease the burden. If you’re a teacher or school staff member, the Educator Expense Deduction allows you to write off up to $300 of unreimbursed classroom materials each year (up to $600 if both spouses are eligible educators and file jointly).
For parents, the real savings kick in when your student heads to college.
Writing Off College Expenses College tuition and fees can leave a hole in your bank account, but Uncle Sam offers a few lifelines.
The American Opportunity Tax Credit (AOTC): This allows you to claim up to $2,500 per eligible student for the first four years of higher education. That
Spinach, Feta, and Egg Stuffed Peppers Inspired by EatingWell.com
it to build up even more savings. You can invest money from bonuses, gifts, or pay raises into an investment account, so it continues to grow. If you have any hobbies or passions, consider turning them into a side hustle.
INGREDIENTS
•
2 large bell peppers, any color
• • • •
1 tbsp extra-virgin olive oil 1/2 cup chopped onion 2 cups chopped spinach 1/3 cup crumbled feta cheese
• • • •
1/2 tsp salt 4 large eggs
2 tbsp reduced-fat milk
1/4 tsp ground black pepper
2
630-832-6500 | 877-4-IRSLAW
Published by Newsletter Pro •
CASE SNAPSHOT Client: A Worried Couple Type of IRS Issue: Personal Income Taxes Tax Years in Question: 2021 IRS Claimed Liability: $379,346.00 Savings: $378,014 or 99.6% One CP2000 Notice, One Big Triumph! WIN OF THE MONTH
includes tuition, course materials, and even required books, and if the credit brings your tax bill to zero, up to $1,000 is refundable! S AND TAX BREAKS ck-to-School Season The Lifetime Learning Credit (LLC): If you have a student who’s past year four, going part-time, or taking graduate courses, the LLC offers up to $2,000 per tax return for qualified education expenses. It’s not refundable, but every bit helps. 529 Plans: While it’s not exactly a deduction, contributing to a 529 college savings plan grows your investment tax-free. Withdrawals used for qualified education expenses are also tax-free. Some states even offer tax deductions for contributions.
Pro Tips • Always save your receipts and Form 1098-T (the tuition statement from the college). • Expenses paid with tax-free funds (like scholarships) usually can’t be double-counted. • If your student is working part-time, consider whose return to claim them on; you might get a better deal keeping them as a dependent. So, as you stock up on binders and send your kid off to campus, take a moment to sharpen your tax toolkit. With the proper planning, education can enrich your child’s future and put some extra cash back in your pocket.
At IRS Trouble Solvers, we love turning tax nightmares into success stories — and this one is a showstopper!
DIRECTIONS
A couple in their early 50s came to us after receiving an IRS CP2000 notice proposing a staggering $379,346 in additional taxes, penalties, and interest for 2021. After a deep dive into their return and transcripts, our team discovered that the sale of their primary residence and several smaller 1099s were omitted from the original filing. The good news is that the homeowners qualified for the Section 121 exclusion, which meant the gain on their home sale was not taxable. We reconstructed the return, submitted the proper documentation, and the IRS agreed.
1. Preheat oven to 375 F. 2. Halve peppers lengthwise; remove and discard seeds.
3. Place peppers cut-side up in an 8-inch-square microwave-safe dish. Microwave on high 2 1/2–3 minutes until tender; pat dry and sprinkle with salt. 4. In a medium bowl, whisk together eggs, milk, and black pepper. 5. To a medium skillet over medium-high heat, heat oil, then add onion and cook, stirring, for about 2 minutes until softened and beginning to brown. 6. Add spinach and cook, stirring 1–2 minutes more until spinach is wilted. 7. Divide spinach mixture evenly among pepper halves. Sprinkle with feta, and top with egg mixture. 8. Bake 30–35 minutes until filling is set.
The final liability was just $1,332, and the savings were $378,014 or 99.6%!
This case is a reminder that the right tax team can make all the difference. Congratulations to our team and our relieved clients on this incredible resolution!
3
WWW.IRSTROUBLESOLVERS.COM
• www.newsletterpro.com
PRST STD US POSTAGE PAID BOISE, ID PERMIT 411
100 S. York Road, Suite 214 Elmhurst, IL 60126 www.IRSTroubleSolvers.com 630-832-6500 | 877-4-IRSLAW
1 You Don’t Need to Scale a Peak to Understand the Power of a Safety Net 2 Boost Your Nest Egg Now INSIDE THIS ISSUE
Turn School Expenses Into Tax Breaks
3 Spinach, Feta, and Egg Stuffed Peppers
Win of the Month
4 Nantucket’s Timeless Allure
WHALES, WINE, AND WHIMSY
Why Nantucket Should Be Your Next Getaway
When many Americans think of vacation destinations, they envision beautiful state parks, sunny beaches in Florida or California, and the mountains of Appalachia and the Rockies. However, many states across the country offer exciting events and beautiful scenery. If Massachusetts isn’t already on your radar, consider giving it a closer look the next time you plan a vacation. Cape Cod has beautiful beaches and a rich history that many don’t know about, and something exciting is always happening in Boston. But if you want to experience the true essence of Massachusetts, take a trip to Nantucket. Nantucket is a small island, only 14 miles long and about 3.5 miles wide. Its history with European settlers goes back over 500 years. First sighted by an Englishman named Bartholomew Gosnold in 1602, the island was settled by colonists 50 years later in 1659. Not long after, they spotted whales offshore, which put Nantucket on the map. Whaling became the ultimate trade for
people living in the area, and the island even became the world’s whaling capital until the 1850s. You can still view whales from the island today, and if you want to get the full story, check out the Nantucket Whaling Museum. If whale watching and museum touring aren’t your thing, you can pursue other exciting activities around Nantucket. The island is bike-friendly, and many trails will take you by all the best sights. Many one-of-a-kind boutiques occupy beautiful historic buildings, and there’s even a public golf course that will leave all your golfing buddies jealous. If you go in May, you may even experience the renowned Wine & Food Festival. Nantucket is full of historic architecture, beautiful scenery, and friendly people. You might even see a famous face during your visit! This is a vacation you’ll be talking about for years to come!
4
630-832-6500 | 877-4-IRSLAW
Published by Newsletter Pro • www.newsletterpro.com
Page 1 Page 2 Page 3 Page 4Made with FlippingBook Ebook Creator