IRS & California Tax Blog

As cryptocurrency continues to integrate into our financial lives, understanding the tax implications is more critical than ever, especially for investors in a high-scrutiny state like California. The IRS and the California Franchise Tax Board (FTB) are clear: profits from cryptocurrency are taxable. Whether you’re a seasoned trader in San Francisco or just starting with…

As the end of the year approaches, the December 31st deadline looms large for savvy crypto investors in California. The final quarter is a critical window to make strategic decisions that can significantly reduce your tax liability for the year. With the IRS increasing its focus on digital assets and new reporting rules on the…

When you receive a letter from the IRS, it’s tempting to ignore it, especially if you already know you owe back taxes. But inaction can lead to escalating consequences: wage garnishments, bank levies, liens, and substitute returns that inflate what you owe. A tax debt attorney can help you stop collections before they begin and…

Cryptocurrency fraud is rising at an alarming pace, leaving thousands of investors unsure of their next move. With the anonymity of blockchain transactions and the speed at which scammers operate, victims often feel helpless. This is where a crypto recovery lawyer plays a critical role. While no recovery process is guaranteed, working with an attorney…

Finding a CP14 Notice from the IRS in your mailbox can be unsettling. You may wonder whether the balance due is accurate, if the IRS made a mistake, or what consequences you’ll face if you don’t respond. This notice is the IRS’s formal communication informing you of an unpaid tax balance, and it’s critical to…

Receiving an IRS notice or discovering unresolved tax liabilities can be a serious and stressful experience. Mishandling these issues can result in significant penalties, enforcement actions, or further legal exposure. Timely, strategic legal guidance is critical to protecting your interests. At Kugelman Law, we assist individuals and businesses to navigate IRS audits, tax disputes, and…

Key Takeaways for Digital Asset Holders New Guidance: IRS Revenue Procedure 2024-28 allows taxpayers to allocate basis in digital assets to wallets or accounts for tax purposes as of January 1, 2025. The allocation must be reasonable and can be either specific or global. This is crucial for accurate tax reporting. Transition Period: The guidance…

Is Your Business Eligible for the ERC Voluntary Disclosure Program? If your business claimed the Employee Retention Credit (ERC) during the COVID-19 pandemic, recent IRS actions may affect you. The IRS has introduced a voluntary disclosure program that allows businesses to correct erroneous ERC claims without facing severe penalties. If your business is uncertain about…

You Have a Right To Appeal in U.S. Tax Court The IRS has recently resumed the issuance of LT 11 notices, which is a notice of intent to levy because of unpaid taxes, after a pause during the COVID pandemic. An LT 11 notice is the IRS signaling to the taxpayer that it intends to…

Expert Advice from Kugelman Law Tax season can often be a daunting time for many individuals and businesses. The complexities of tax laws combined with the pressure of meeting deadlines can lead to heightened stress levels. However, with proper preparation and guidance, navigating tax season can be a breeze. As experts in tax and crypto…