Latest news with #FreshStartProgram
USA Today
13 hours ago
- Business
- USA Today
IRS Targeting E-Commerce Sellers in 2025: Clear Start Tax Warns Shopify, Etsy, and Amazon Vendors to Prepare
New IRS enforcement efforts zero in on digital storefronts amid growing concerns about underreported income IRVINE, CA / ACCESS Newswire / August 6, 2025 / As the IRS ramps up enforcement in 2025, online sellers on platforms like Shopify, Etsy, and Amazon may find themselves under increased scrutiny. According to tax resolution firm Clear Start Tax, self-employed e-commerce vendors could be especially vulnerable to audits and unexpected tax bills if they haven't been keeping accurate records or reporting all income. The IRS has made it clear that digital sales will be a priority this year, with expanded use of 1099-K forms and data analytics to identify underreporting. Sellers who rely on multiple payment platforms or who haven't consistently filed returns may be particularly at risk. 'We're seeing a major shift in how the IRS approaches online income,' said a spokesperson for Clear Start Tax. 'What used to be considered low-risk side income is now front and center. If you're an e-commerce seller and haven't taken tax compliance seriously, this is the year to change that.' The tax agency is also working closely with third-party payment processors to match transaction data with reported income. Sellers who receive payments through PayPal, Stripe, or Venmo for business purposes may also be flagged if their tax filings don't align with reported figures. 'Even small vendors are being caught off guard by 1099-Ks showing up with higher-than-expected amounts,' the Clear Start Tax spokesperson added. 'Many don't realize that refunds, shipping fees, or canceled orders can be lumped in – and the IRS may still treat it all as income until you prove otherwise.' Clear Start Tax encourages e-commerce sellers to review their bookkeeping practices, ensure they are filing returns on time, and seek professional guidance if they have unfiled years or back taxes. Waiting until the IRS contacts you, they warn, can limit your options. By answering a few simple questions , taxpayers can find out if they're eligible for the IRS Fresh Start Program and take the first step toward resolving their tax debt. 'The worst thing you can do is ignore this. If you've fallen behind, there are ways to get back on track without penalties spiraling out of control – but the window to act before enforcement tightens is closing quickly.' About Clear Start Tax Clear Start Tax is a national tax resolution firm that helps individuals and small business owners resolve back taxes, unfiled returns, and IRS collections. With a team of licensed professionals, the company specializes in navigating complex IRS programs and helping taxpayers find long-term solutions to their tax challenges. Need Help With Back Taxes? Click the link below: (888) 710-3533 Contact Information Clear Start Tax Corporate Communications Department tech@ (949) 800-4011 SOURCE: Clear Start Tax View the original press release on ACCESS Newswire
Miami Herald
3 days ago
- Business
- Miami Herald
IRS Begins Scrutinizing "Cash-Only" Businesses in 2025 - Clear Start Tax Shares What to Expect
New IRS enforcement initiative targets restaurants, salons, and other cash-heavy operations as audit risk rises in 2025 IRVINE, CA / ACCESS Newswire / August 4, 2025 / The IRS is ramping up its scrutiny of "cash-only" businesses in 2025, renewing enforcement efforts aimed at industries known for limited electronic records and underreported income. Restaurants, barbershops, nail salons, convenience stores, and similar businesses could face increased audit activity, according to tax professionals closely following the agency's shift. Clear Start Tax, a national tax resolution firm, is advising small business owners who rely on cash transactions to take proactive steps to ensure their books are in order and avoid unnecessary penalties. "The IRS is targeting businesses with high cash volume because they often lack digital documentation, which makes them easier to flag for underreporting," said a spokesperson for Clear Start Tax. "This year, the agency has new tools and data analytics that make it much easier to spot discrepancies in cash-heavy operations." The enforcement push comes as part of a broader IRS strategy to close the "tax gap" - the difference between taxes owed and taxes actually collected - with the help of increased funding and advanced AI audit filters. Officials have stated they will focus on industries with historical patterns of noncompliance, particularly where income may be hidden or underreported. "We're seeing a clear pattern: if your business isn't using point-of-sale systems or bank deposits to track revenue, you're at greater risk," the Clear Start Tax spokesperson added. "Even businesses that aren't intentionally evading taxes could get caught up in this if their recordkeeping is sloppy or inconsistent." Clear Start Tax recommends that cash-based businesses conduct internal reviews, reconcile deposits with reported income, and consider working with professionals to prepare for potential audits. The firm has already seen a rise in inquiries from business owners seeking advice on how to respond to IRS notices or suspected underreporting claims. "Our message is simple - don't wait for a letter from the IRS. Get ahead of it," said the spokesperson. "A few small adjustments in how you document income today could save you thousands down the line." By answering a few simple questions, taxpayers can find out if they're eligible for the IRS Fresh Start Program and take the first step toward resolving their tax debt. The IRS has not announced specific audit targets, but experts say businesses operating with limited digital financial trails are already on the radar. About Clear Start Tax Clear Start Tax is a trusted tax resolution firm helping individuals and businesses nationwide resolve IRS debt, navigate audits, and find relief through established IRS programs. With a focus on transparency, compliance, and results, the firm has assisted thousands of taxpayers in regaining control of their financial futures. Need Help With Back Taxes? Click the link below: 710-3533 Contact Information Clear Start TaxCorporate Communications Departmenttech@ 800-4011 SOURCE: Clear Start Tax
Miami Herald
14-07-2025
- Business
- Miami Herald
Job Loss Can Trigger IRS Debt - Clear Start Tax Explains How Unemployment, 401(k) Withdrawals, and Gig Work Increase Your Tax Liability
Clear Start Tax breaks down the hidden tax risks of sudden income changes - and how to recover before penalties build up. IRVINE, CA / ACCESS Newswire / July 14, 2025 / In a time of ongoing layoffs, side gigs, and economic uncertainty, many Americans are finding themselves hit with unexpected tax bills, often months after their financial crisis. According to Clear Start Tax, job loss doesn't just strain household income - it can create IRS debt from unreported unemployment income, early 401(k) withdrawals, and untracked freelance or gig earnings. "People are shocked when they owe the IRS after a year of financial hardship," said the Head of Client Solutions at Clear Start Tax. "But job loss often leads to survival-based choices that trigger tax issues down the line. We help people correct those filings and get back on track." How Job Loss Can Lead to IRS Debt Many Americans assume that because they weren't working full-time, they won't owe much - or anything - in taxes. But the reality is that many forms of income during unemployment are taxable, and without proper withholding or planning, a bill can build up quickly. Clear Start Tax identifies the most common sources of unexpected IRS debt after job loss: Unemployment Benefits - These are fully taxable at the federal level, yet often under-withheld.401(k) or IRA Withdrawals - Early withdrawals (before age 59½) typically carry a 10% penalty plus regular income Gig, or Contract Work - Without employer withholding, taxpayers are responsible for their own income and self-employment Quarterly Payments - Independent workers or those with side gigs must estimate and pay taxes every quarter, or face penalties. "In tough times, people do what they must to stay afloat - whether that's taking from retirement or picking up gig work," said the Head of Client Solutions at Clear Start Tax. "But without the right tax planning, those decisions can come back as unexpected IRS debt." IRS Notices Are Increasing - Take Action Before It's Too Late When taxes go unpaid or underreported, the IRS often responds with letters like CP14 (balance due), CP2000 (underreported income), or Intent to Levy notices. These letters can look intimidating, but they're also an opportunity to fix the issue before it escalates. According to the IRS, more than 10 million taxpayers received CP14 notices in 2024 alone, many tied to misreported unemployment and self-employment income. Tax experts at Clear Start Tax recommend: Reviewing all income sources - including unemployment, withdrawals, and side gigsGathering records from payment apps, gig platforms, and retirement account statementsAmending prior-year returns if income was missed or misclassifiedResponding promptly to IRS notices, especially if you can't pay the full amountExploring relief options to reduce penalties or negotiate a settlement The IRS Fresh Start Program Can Offer a Path Forward Taxpayers who are struggling financially may qualify for IRS Fresh Start relief, which can help reduce or settle their tax debt. Clear Start Tax works with clients to evaluate eligibility and build a customized case based on income, expenses, and current hardship. The program is designed to help taxpayers in hardship situations. Depending on eligibility, it may provide: Payment plans based on current ability to payReduction or removal of penalties and interestSettlement for less than the full amount owed through an Offer in Compromise By answering a few simple questions, taxpayers can find out if they're eligible for the IRS Fresh Start Program and take the first step toward resolving their tax debt. Don't Let a Difficult Year Turn Into Long-Term IRS Trouble Clear Start Tax emphasizes that it's never too late to take action. Whether the debt came from job loss, side income, or early retirement withdrawals, there are programs available to help people rebuild financially and avoid further IRS consequences. "We've helped people who thought they were ruined financially after losing a job or draining a retirement account," said the Head of Client Solutions. "With the right plan, it's possible to reduce what you owe and rebuild financially." About Clear Start Tax Clear Start Tax is a full-service tax liability resolution firm that serves taxpayers throughout the United States. The company specializes in assisting individuals and businesses with a wide range of IRS and state tax issues, including back taxes, wage garnishment relief, IRS appeals, and offers in compromise. Clear Start Tax helps taxpayers apply for the IRS Fresh Start Program, providing expert guidance in tax resolution. Fully accredited and A+ rated by the Better Business Bureau, the firm's unique approach and commitment to long-term client success distinguish it as a leader in the tax resolution industry. Need Help With Back Taxes? Click the link below: 710-3533 Contact Information Clear Start TaxCorporate Communications Departmentseo@ 535-1627 SOURCE: Clear Start Tax
USA Today
14-07-2025
- Business
- USA Today
Job Loss Can Trigger IRS Debt - Clear Start Tax Explains How Unemployment, 401(k) Withdrawals, and Gig Work Increase Your Tax Liability
Clear Start Tax breaks down the hidden tax risks of sudden income changes – and how to recover before penalties build up. In a time of ongoing layoffs, side gigs, and economic uncertainty, many Americans are finding themselves hit with unexpected tax bills, often months after their financial crisis. According to Clear Start Tax, job loss doesn't just strain household income – it can create IRS debt from unreported unemployment income, early 401(k) withdrawals, and untracked freelance or gig earnings. 'People are shocked when they owe the IRS after a year of financial hardship,' said the Head of Client Solutions at Clear Start Tax. 'But job loss often leads to survival-based choices that trigger tax issues down the line. We help people correct those filings and get back on track.' How Job Loss Can Lead to IRS Debt Many Americans assume that because they weren't working full-time, they won't owe much – or anything – in taxes. But the reality is that many forms of income during unemployment are taxable, and without proper withholding or planning, a bill can build up quickly. Clear Start Tax identifies the most common sources of unexpected IRS debt after job loss: Unemployment Benefits – These are fully taxable at the federal level, yet often under-withheld. 401(k) or IRA Withdrawals – Early withdrawals (before age 59½) typically carry a 10% penalty plus regular income tax. Freelance, Gig, or Contract Work – Without employer withholding, taxpayers are responsible for their own income and self-employment taxes. Missed Quarterly Payments – Independent workers or those with side gigs must estimate and pay taxes every quarter, or face penalties. 'In tough times, people do what they must to stay afloat – whether that's taking from retirement or picking up gig work,' said the Head of Client Solutions at Clear Start Tax. 'But without the right tax planning, those decisions can come back as unexpected IRS debt.' IRS Notices Are Increasing – Take Action Before It's Too Late When taxes go unpaid or underreported, the IRS often responds with letters like CP14 (balance due), CP2000 (underreported income), or Intent to Levy notices. These letters can look intimidating, but they're also an opportunity to fix the issue before it escalates. According to the IRS, more than 10 million taxpayers received CP14 notices in 2024 alone, many tied to misreported unemployment and self-employment income. Tax experts at Clear Start Tax recommend: Reviewing all income sources – including unemployment, withdrawals, and side gigs Gathering records from payment apps, gig platforms, and retirement account statements Amending prior-year returns if income was missed or misclassified Responding promptly to IRS notices, especially if you can't pay the full amount Exploring relief options to reduce penalties or negotiate a settlement The IRS Fresh Start Program Can Offer a Path Forward Taxpayers who are struggling financially may qualify for IRS Fresh Start relief, which can help reduce or settle their tax debt. Clear Start Tax works with clients to evaluate eligibility and build a customized case based on income, expenses, and current hardship. The program is designed to help taxpayers in hardship situations. Depending on eligibility, it may provide: Payment plans based on current ability to pay Reduction or removal of penalties and interest Settlement for less than the full amount owed through an Offer in Compromise By answering a few simple questions , taxpayers can find out if they're eligible for the IRS Fresh Start Program and take the first step toward resolving their tax debt. Don't Let a Difficult Year Turn Into Long-Term IRS Trouble Clear Start Tax emphasizes that it's never too late to take action. Whether the debt came from job loss, side income, or early retirement withdrawals, there are programs available to help people rebuild financially and avoid further IRS consequences. 'We've helped people who thought they were ruined financially after losing a job or draining a retirement account,' said the Head of Client Solutions. 'With the right plan, it's possible to reduce what you owe and rebuild financially.' About Clear Start Tax Clear Start Tax is a full-service tax liability resolution firm that serves taxpayers throughout the United States. The company specializes in assisting individuals and businesses with a wide range of IRS and state tax issues, including back taxes, wage garnishment relief, IRS appeals, and offers in compromise. Clear Start Tax helps taxpayers apply for the IRS Fresh Start Program, providing expert guidance in tax resolution. Fully accredited and A+ rated by the Better Business Bureau, the firm's unique approach and commitment to long-term client success distinguish it as a leader in the tax resolution industry. Need Help With Back Taxes? Click the link below: (888) 710-3533 Contact Information Clear Start Tax Corporate Communications Department seo@ (949) 535-1627 SOURCE: Clear Start Tax View the original press release on ACCESS Newswire
Indianapolis Star
11-07-2025
- Business
- Indianapolis Star
Filing Separately Could Cost You More on Back Taxes - Clear Start Tax Explains Smarter Options for Married Couples
Clear Start Tax shows married couples how to avoid costly filing mistakes and save more when back taxes are involved. IRVINE, CA / ACCESS Newswire / July 11, 2025 / Married taxpayers dealing with back taxes are often surprised to learn that filing separately to 'protect' one spouse from IRS collections can actually lead to higher tax bills, lost credits, and fewer resolution options. According to Clear Start Tax, understanding the pros and cons of married filing jointly vs. separately is critical for couples hoping to resolve tax debt while preserving as much income as possible. 'Filing separately might feel safer when one spouse has IRS issues – but it usually ends up being more expensive,' said the Head of Client Solutions at Clear Start Tax. 'In many cases, joint filing opens the door to relief programs, better deductions, and faster resolution.' Why Filing Separately Can Backfire for Couples With Tax Debt Some couples assume that filing separately shields one spouse's income or refunds from being seized. While separate filing may delay IRS collection on a refund, it doesn't always protect shared income or assets, especially in community property states. And in many cases, filing separately ultimately results in: Higher overall tax liability Loss of key deductions and credits (like the Earned Income Credit or Child Tax Credit) Reduced access to Fresh Start benefits or less favorable Offer in Compromise terms Longer resolution timelines and more paperwork How Filing Together Could Be the Smartest Move for Tax Relief Even when one spouse owes back taxes, joint filing can result in lower taxes and greater access to IRS relief programs. Clear Start Tax helps couples explore the advantages of working together, not separately. For situations where only one spouse is responsible for the debt, programs like Innocent Spouse Relief or Injured Spouse Allocation may protect the non-liable spouse, without sacrificing the benefits of joint filing. 'The IRS gives couples a way to protect the innocent spouse while still getting the best outcome,' said the Head of Client Solutions. 'We help clients understand their rights and design a strategy that keeps more money in their household.' The Fresh Start Program Can Help Couples Settle Tax Debt Together This IRS initiative allows struggling taxpayers – including married couples – to settle or restructure their tax debt based on what they can reasonably afford. Clear Start Tax walks couples through every step of the process. Settlements for less than the full amount owed Reduced penalties and halted interest Affordable payment plans based on household income By answering a few simple questions, taxpayers can find out if they're eligible for the IRS Fresh Start Program and take the first step toward resolving their tax debt. Joint Returns Come With Risk – But Also With Options While joint returns mean both spouses are legally responsible for the full tax bill, Clear Start Tax helps clients explore: Partial-pay agreements Spousal relief requests Asset protection strategies Custom IRS settlement negotiations These strategies can balance legal responsibility while still maximizing the couple's chances of saving money and moving forward. About Clear Start Tax Clear Start Tax is a full-service tax liability resolution firm that serves taxpayers throughout the United States. The company specializes in assisting individuals and businesses with a wide range of IRS and state tax issues, including back taxes, wage garnishment relief, IRS appeals, and offers in compromise. Clear Start Tax helps taxpayers apply for the IRS Fresh Start Program, providing expert guidance in tax resolution. Fully accredited and A+ rated by the Better Business Bureau, the firm's unique approach and commitment to long-term client success distinguish it as a leader in the tax resolution industry. Need Help With Back Taxes? Click the link below: (888) 710-3533 Contact Information Clear Start Tax Corporate Communications Department seo@ (949) 535-1627 SOURCE: Clear Start Tax View the original press release on ACCESS Newswire
