What to do about accrued tax liabilities or refunds?

The typical marital balance sheet includes cash, investments, real estate, etc. Don’t overlook current year tax liabilities or overpayments, as of the valuation date. In my tax practice, seldom is there a tax return showing no payment due or overpaid. Many taxpayers find themselves with some amount to be paid or an amount due to them. There are many reasons that this happens. Some individuals, though advised not to do this, will purposely over-withhold as a forced-savings method. A taxpayer, who receives a bonus during the year, usually has a difficult time of getting to break-even.

Posted in: Tax Issues