Mean & Lien
(True or False) The NFTL arises 10 days after the 23c date.
False.
If the total tax on Form 1040 for 2015, is $16,000 and timely payments and credits totaled $7,500, on what amount will the FTP penalty be based?
$8,500
What is the timeframe in which to make first contact on a FTD Alert?
15 days
Interest that is computed on the combined sum of the original principal and the interest accrued at the end of each period is called what?
Compound Interest
How is the ASED calculated?
Three years from the later of the presumptive due date or the actual file date.
What does choate mean?
Complete
The Notice of Intent to Levy is issued on May 23, 2020. When does the FTP increase to one percent?
July 1, 2020
(True or False) In caseload management, maximizing contacts means to contact your taxpayer as frequently as possible.
False
How is the base interest rate on underpayments calculated?
The federal short-term rate as determined by the Secretary of the Treasury plus 3 percentage points.
(True or False) Corporate income tax must be paid through the electronic federal tax payment system.
True
If the taxpayer does not submit a timely request for a CDP hearing, the taxpayer is still entitled to what type of hearing?
Equivalent Hearing
First quarter 2019 Form 941 return is filed December 1, 2019. How many months will the FTF penalty be calculated for?
When a taxpayer misses a deadline, you are required to initial follow-up actions within how many days of the deadline?
15 days
Interest on the FTF penalty is calculated starting when?
The return due date
What is the presumptive due date for the second quarter 2018 Form 941?
April 15, 2019
How many days does a taxpayer have to submit a timely CDP hearing request?
30 days after the issuance of L3172
Endicott Corp is a monthly depositor that has a tax liability of $1,000 each month. He files timely but doesn't make any deposits. The notice and demand was issued 11 days ago. Calculate the FTD penalty.
$450
What type of cases have the highest priority?
Possible answers: ASED, CSED, Bankruptcy investigations with bar dates, redemption investigations
(True or False) When interest cannot be assessed or accrued using normal procedures, interest is restricted.
True
What is the trust fund portion of the Form 941 taxes comprised of?
Total of the withheld income tax and the employee's share of social security and Medicare taxes
Describe the "first in time, first in right" concept.
The lienor who perfects their claim first will usually have priority rights over other lienors.
Second Quarter 2015 Form 941 is filed June 30, 2016. The tax liability was $5,000. TP paid $1,000 timely and the remainder was paid when the return was filed. Calculate the total FTF and FTP.
$1200
What type of approach should you use to work cases?
Resolution-directed approach
How are payments applied?
First to tax, then to penalties and fees, and lastly to interest.
What is the minimum tax liability on Form 941 that requires FTDs to be made?
$2,500