Tax King

04/21/2026

When is the tax man not a revenooer? Can you ask yourself that question without playing that old Flatt & Scruggs song in your head? I can't. https://theincometax.substack.com/p/when-is-the-tax-man-not-a-revenooer

04/16/2026

They are not as scary as they will become if you do not read and act on them.

... or take them to someone who can interpret them for you.

04/05/2026

The IRS says that refunds based on no tax on overtime are larger and more numerous than expected, even before the end of the filing season. That could be "legit," or it could be a misunderstanding of how it works. Only the "and a half" part of time and a half is not taxable, but it will be on your W-2 and you have to then deduct it.

03/28/2026

Federal income tax assessments expire after ten years, with some exceptions. That is what we explained in a post in late December. https://www.facebook.com/share/p/1DFQVQ2zMK/
Here is an exception: Richard Hatch, the Survivor winner from 25 years ago. He won $1 million but paid no income tax; now, with penalties and interest, says a federal court, he owes more than $3 million. That is the biggest exception to the ten-year rule: Before the assessment expires the IRS can file a lawsuit seeking a judgment for the balance due. That judgment then has its own life cycle.
John C. King, IV, Enrolled Agent
Admitted to Practice before the IRS
Aubrey, Texas
https://taxking.tax

03/20/2026

The U.S. Tax Court came out with an interesting decision today, T.C. Memo. 2026-25. Social security disability benefits paid in 2022 in a lump sum, award reversed and had to be paid back in 2023 and 2024, which he did.
First, social security benefits, even disability benefits, can be gross income and subject to tax depending on the amount and your other income.
Second, an annual is the proper method of calculation. Because he paid it back in later years does not mean the disability payments were no income in the year received.
John C. King, IV, d/b/a Tax King
Aubrey, Texas
Enrolled Agent, Admitted to Practice before the IRS
(469) 325-4443

02/14/2026

I've heard every argument there is for not filing a tax return. Hear me out for why you should, even if you don't think you must.
First, if you don't think you make enough money to have to file, file a return and say that. Truthfully, of course.
Second, the statute of limitations on the IRS's filing a return for you starts to run when you file one, but not if you don't.
Third, the address you show on your return is where IRS will send notices if it thinks you should have filed a return, which allows it to file one for you if it is no longer correct. You lose rights to object if you do not respond immediately.
Fourth, there may be a refund and/or a refundable credit you can't claim if you don't file.
Finally, IRS will close your account if it receives a timely and truthful return if it shows you owe no tax.
John C. King, IV, d/b/a Tax King
Aubrey, Texas
Enrolled Agent
Admitted to practice before the IRS

01/26/2026

Individual income tax filing starts today. Get yourself a good tax preparer if you have anything that is in the least complicated.
John C. King, IV, d/b/a Tax King
Enrolled Agent
Admitted to Practice before the IRS

01/18/2026

The issue in Sirius Solutions, L.L.L.P. vs. Commissioner, decided in the Fifth Circuit on January 16, 2026, was: To avoid self-employment tax, must a limited partner be no more than a passive investor? Said another way, may a limited partner who is active in the business avoid self-employment tax? The Tax Court said passive investors only. The Fifth Circuit vacated and remanded that decision, holding that “the passive-investor interpretation is wrong” and contrary to the text of the statute. It relied on IRS guidance over the past forty years, all but saying the government was ginning up a new issue out of the air.

John C. King, IV
d/b/a Tax King
Enrolled Agent
Admitted to Practice before the IRS

01/12/2026

A married couple’s “election” to file a joint tax return, for wage earners in solid marriages with all children of that marriage, there may be no benefit to filing separately. For taxpayers, wage earners or self-employed, who have prior spouses with whom they filed a joint tax return, who still have balances due from those prior joint returns, the analysis gets a little dicey.

If one or both spouses are self-employed, does the other spouse have confidence in the income shown on the joint return? If not, best to get separate tax advice.

Joint filers are generally, but not always, liable for the tax of both spouses whether it is the tax you report or the tax assessed after an audit.

We represent taxpayers whose spouses were less than honest who are now facing liability for a greater balance than shown on the return.

John C. King, IV
d/b/a Tax King
Enrolled Agent
Admitted to Practice before the IRS

01/07/2026

No news is good news only if the bad news knows where to find you.

It sometimes happens. One day you are up to date with your income tax, then you get an IRS bill in the mail out of the blue. The income tax if chock full of notice requirements before the IRS can assess or collect a dime. What happened?

The general rule is that IRS notices of proposed changes to your tax return go to your last-known street address. If you have moved since you filed your last tax return, the IRS will still address the notice to your old address unless you provide your new address in the right way. When you do not respond to the proposed change to your tax return, IRS may assess the additional tax.

Later, when you file your next tax return, it will have your new address to send you a bill. But the time to easily challenge the increase will have passed.

We can help you challenge surprise assessments however they arose.

John C. King, IV
d/b/a Tax King
Enrolled Agent
Admitted to Practice before the IRS

01/06/2026

It’s 2026 and your 2025 tax return is due soon. But what if you haven’t filed your 2024 return, or 2023, or 2022? Which do you do first?

Many people believe that you cannot file your current return until you file past-due returns. Earlier calculations that carry over from year-to-year affect some taxpayers, but other taxpayers may file the current return now while preparing past-due returns to file soon after that.

We can help you get your tax returns filed, correctly, even if it has been several years since you filed one.

John C. King, IV
d/b/a Tax King
Enrolled Agent
Admitted to Practice before the IRS