Stopping a wage garnishment in the state of Michigan for taxes owed is a common issue for many Michigan residents. When a tax bill from the IRS or State of Michigan is unpaid or ignored, the IRS or State of Michigan Taxation agency can file a Wage Garnishment order, which requires a third-party wage provider to withhold some amount of wages as a means to repay a debt. The wage garnishment will stay in effect until the entirety of the tax debt is paid off, or the State of Michigan taxation agency or IRS agrees to a levy release. Continue reading →

Man Claims He Didn’t File Tax Returns Because of the Bible

James Schlosser of PA was convicted of failing to file tax returns for 21 years because he considered using a Social Security number akin to using the “mark of the beast” spelled out in the Bible. Schlosser failed to file returns from 1994 to 2014 on his earnings of approximately $2.3 million as a medical equipment salesman. The prosecution showed he funneled the income through foreign business trusts and corporations registered in Nevada. Schlosser could face 5 years in prison and $450,000 in fines. Continue reading →

Interesting Facts About the IRS

-When the IRS tax form 1040 was first introduced in 1914, it had only 3 pages including instructions. Today, it has 101 pages of instructions.

-The IRS requires you to declare all sources of illegal income (i.e. embezzlement)—they can’t prosecute you for the activity, but they can prosecute you if you don’t report the income. Continue reading →