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Income tax debt relief: Introduction

As 2018 draws to a close, I want to wish all of our readers a very happy, healthy and prosperous New Year. I hope that 2019 will be a great year for all of us. You have no doubt been bombarded so far with emails, articles, and programs on getting income tax debt relief for 2018 by making sure that you have taken advantage of all possible deductions before the year ends tonight. I thought I would take a slightly different approach to talk about another rich and famous person who is in hot water with the IRS.

Income tax debt relief: Even the rich and famous have income tax debt problems

We have previously written about rich and famous people who have debt problems and who have filed for bankruptcy. Their debt problems arose mainly out of irresponsible spending, financial mismanagement and income tax problems. These blogs were written to show you that it is not only ordinary people who run into trouble. People who many would think to have “all the money in the world” can also have financial problems. Financial mismanagement is not only an illness of the poor or middle class. It can strike anywhere or anyone.

Income tax debt relief: Some of our past rich and famous financial disaster blogs

Our previous financial mismanagement of the rich and famous includes:

FAMOUS CELEBRITY BANKRUPTCIES HAPPEN TOO

In this blog, I pointed out that many rich and famous people have gone bankrupt, including:

Samuel Clemens (Mark Twain)
Michael Jackson
Abraham Lincoln
Dorothy Hamill – Gold Medal Skater
Johnny Unitas – Football Hall of Fame
Milton Hershey – Founder Hershey’s
H.J. Heinz – Founder Heinz
Marvin Gaye
Mick Fleetwood – Fleetwood Mac
Walt Disney
Larry King
Burt Reynolds
PT Barnum
Tom Petty
David Cassidy
David Crosby
Ed McMahon
Henry Ford
M.C. Hammer
Toni Braxton
Natalie Cole
Robin Williams
78% of former NFL players have gone bankrupt or are under financial stress because of joblessness or divorce within two years of retirement.
The National Endowment for Financial Education says that 70% of all people who suddenly receive large amounts of money will lose it within a few years.

FORMER PRO ATHLETES WHO ARE BROKE: EARN OVER $400 MILLION & GO BANKRUPT?

In this blog, I talked about former pro athletes who are broke. Former NBA star and broadcaster Charles Barkley estimates that 60% – 70% of professional athletes go broke for all or any of the following reasons:

Buying lavish gifts and giving money to family and friends
Unsupportable lifestyles
Mansions around the world
Yachts
Exotic cars
Bad business ventures
Bad money managers
Not understanding financial matters
Zero savings
No rainy day fund
No retirement plan

DEBT FORGIVENESS CRA: CANADA REVENUE AGENCY BEATS DONOVAN BAILEY

In this blog, I wrote about Canadian Olympian. Donovan Bailey and his income tax debt problems with Canada Revenue Agency (CRA). We also described his income tax debt relief settlement plan to cut his income tax debt.. It seems that Mr. Bailey was not able to outrun CRA. Therefore he needed a formal debt settlement plan.

DEBT SETTLEMENT VS CONSUMER PROPOSAL CANADA: ENGLISH REALITY TV STAR KATIE PRICE NEEDS

This blog was about UK celebrity Katie Price who had many financial problems. I spoke about her financial issues and her UK bankruptcy proceedings.

Income tax debt relief: Dionne Warwick

Grammy Award-winning vocalist Dionne Warwick has filed for bankruptcy because she was in need of income tax debt relief. The 72-year-old vocalist, well-known for hits such as “Do You Know the Way to San Jose” and “That’s What Friends Are For” submitted the bankruptcy documents in New Jersey, where she lives.

She listed assets of $25,500 and liabilities of greater than $10.7 million in her bankruptcy filing. Her largest debt is income tax debt of near $7 million owed in back tax obligations to the Internal Revenue Service (IRS) as well as greater than $3 million in tax obligations to the state of California. This includes interest and penalties.

She declared her present income as $20,950 a month, with monthly expenditures just $10 less than that. Dionne Warwick’s press agent, Kevin Sasaki, claimed that the vocalist’s personal bankruptcy was primarily the outcome of “irresponsible and gross financial mismanagement” in the late 1980s to the mid-1990s.

Income tax debt relief: Start 2019 off the right way

No one likes to pay taxes, but everyone hates having CRA tax debt problems. Do you require CRA debt forgiveness? If you’re considering bankruptcy because of income tax debt, or for any reason. We can show you bankruptcy alternatives to get CRA debt forgiveness. We can end your debt pain through a consumer proposal, debt consolidation, and credit counselling. Contact a professional that you can trust – Ira Smith Trustee & Receiver Inc.

The Ira Smith Team has decades and generations of experience dealing with diverse issues and complex files, including negotiating with CRA. We deliver the highest quality of professional service. Don’t settle for less. Give us a call today and Starting Over, Starting Now you can overcome your financial difficulties.

Again I wish all of you a healthy, happy and prosperous New Year.

Top Consumer Scams To Watch For In 2017: The IRS/CRA Scam

Polk county resident Sherry Gordy fell for the number one rip off in the United States. They said they were with the IRS and that I owed $2,773.00 dollars in back taxes. So far the IRS scheme cost Sherry and thousands of other Americans more than $30 million dollars.

Most now know that the IRS and Canada Revenue Agency (CRA) will issue a statement showing the amount of tax owing, by year, but will never first contact a taxpayer by calling on the telephone. So this year, look for phony letters notifying people they owe taxes. I just can’t believe people still fall for this scam. It may be the biggest scams to watch for in 2017.

Top Consumer Scams To Watch For In 2017: The Computer Virus and Jury Duty Scams

Consumer experts predict that bogus notices involving a virus on your computer and missing jury duty will make the rounds this year.

The computer virus scam is not a new one, but people fall for it. This is how it works. You receive a phone call from someone pretending to be from your internet service provider, advising you that they have noticed irregular traffic, irregular internet connectivity and a potential virus from your computer. They ask you to go to your computer, put in certain keystrokes, and “test” your internet service by providing key details of your computer and its passwords. People who fall for this don’t realize that the scammers are asking you for your IP address, and then passwords, so that they can after the call hack your system and use your passwords for their criminal activities such as hacking bank accounts or stealing your identity.

The jury duty notice trick, sent mainly to business owners, will make the rounds in 2017. This is how this scam works. The business owner receives an official looking notice using a lot of legal terms. The warrant advises that you failed to show up for the jury duty selection. The scammers hope that the business owner thinks that they must have misplaced the original jury duty notice, which of course, was never sent.

The warrant goes on to say that the person can avoid further fines and prosecution, by paying a certain amount of money now. People are paying and of course it’s a scam.

Top Consumer Scams To Watch For In 2017: What Do Consumer Protection Experts Advise?

Consumer protection experts recommend that anytime you’re hit with an unsolicited call, email or letter, look up the real number for the agency they claim to be with. Then call the real agency to find if what you received was a real communication or a bogus one.

Consumer protection experts also recommend that if you are online checking your bank accounts, or other sites that contain your personal information or money, make sure you have plugged in the right web address. The bad guys have purchased domain names with common typos and have made them look like the real websites they are impersonating. They have done so with the hopes that you’ll accidentally put in your login information and they’ll gain access to your account.

Also be on the lookout for smarter phishing scams. The bogus emails that look like</font> they’re coming from your bank credit card or utility company. Instead of clicking on the link, open a new browser and go directly to the real website.

Top Consumer Scams To Watch For In 2017: Been Scammed and Now Can’t Pay Your Bills?

There are many scammers who think nothing of bilking innocent people out of their money. In extreme cases, you might be left without enough money to pay your bills. Your debts are now too much for you to handle, and you will never be able to recoup the money you have lost.

If you have too much debt, for whatever reason, contact the Ira Smith Team. We will give you a free consultation, where we will discuss your problems, treat you with the respect that you deserve, and create a plan for you, often to avoid bankruptcy, and regain a stress free life, Starting Over, Staring Now.