2013 IRS or State Notice of Wage Levy / Garnishment - Taxable Income Earned on Foreign Soil

US-WIDE, US-wide - Aug. 5, 2013 - PRLog -- Leaving one's business, individual or family open to unfinished IRS or State Taxing Authority collection request is a risky proposition. No matter which way you spin the scenario, the predictable outcome cannot be favorable for the delinquent taxpayer. The complexities are endless and absolutely unique to each and every individual citizen earning income within the United States and or abroad.

Foreign Income

Whether the employment be international or domestic, W-2 or 1099 Independent Contractor income is expected to be reported regardless if you have received an information statement reporting the income. The minimum of income earned that requires reporting is $400.00 in 2013.

Specifically the IRS is motivated and determined to sniff out the US citizen or Resident alien and hold him or her accountable for the deviant behavior. The consequence of withholding information is punishable by additional taxes, penalties and interest. If the potential of such punishment still not motivate you to engage? Additional fines and imprisonment is the next stop for the defiant taxpayer.

Lets say your income stems from a foreign source, while residing in a foreign country the exemptions are as follows:

2010 - $91,500

2011 - $92,900

2012 - $95,100

2013 - $97,600

In order to claim the foreign income exclusion the US Citizen and or US non-resident must reside on foreign soil, deemed a bonafide resident for 365 days.

The amnesty period (Offshore Voluntary Disclosure Initiative (OVDI)) to disclose foreign bank account monies expired on August 8, 2011.

Yes, the Department of Treasury's intent is to ensure everyone is paying their fair share foreign or domestic of income taxes. Notices of collection efforts on behalf of the IRS received by a taxpayer is a fair assumption that your discovery of defiance is near, the key is engage today and leave tomorrow to DWK Tax Group to protect.

Dial 1 - 8 6 6 - 2 2 6 - 6 1 0 2 for an evaluation of long term tax stability, feasible and tangible solutions are a must before this thing gets out of control and to the point of incarceration possibilities.