4303 Portsmouth Blvd.
Portsmouth, VA 23701
(757) 488-7232 | Fax: (877) 488-7232
Get Directions

IRS Reports ‘Steep Upswing’ In Taxpayer Data Thefts From Tax Preparer Offices

IRS Reports ‘Steep Upswing’ In Taxpayer Data Thefts From Tax Preparer Offices

We’d appreciate your vote!

We would greatly appreciate it if you would consider voting for us for Best of Portsmouth.  There are two ways to vote:

1.  Text CTKK to 21333, OR

2.  Vote online at http://bestof.hamptonroads.com/

Better yet, do both!


We would greatly appreciate it if you would consider voting for us for Best of Portsmouth.

We would greatly appreciate it if you would consider voting for us for Best of Portsmouth.  There are two ways to vote:

  1. Text CNRZ TO 21333, OR
  2. Vote online at http://bestof.hamptonroads.com/

Better yet, do both!





(757) 488-7232

IRS Can Audit 6 Tax Years Not 3, So Be Careful

IRS Can Audit 6 Tax Years Not 3, So Be Careful

See this article from Forbes magazine – https://www.forbes.com/sites/robertwood/2017/02/09/irs-can-audit-6-tax-years-not-3-so-be-careful/#2e6101695994


Scammers are now sending out bills that look EXACTLY like an IRS bill in almost every respect.

NEVER pay any bill that you are not expecting or that you have not verified with us first.

Please call us if you have any questions whatsoever about the legitimacy of any bill from the IRS!  There is NO charge for this call.

I will also remind you that the IRS will NEVER call you unless it is prearranged.  So if someone calls you claiming to be from the IRS, it also is a scam.



I would greatly appreciate it if you would vote for us for BEST OF PORTSMOUTH this year.  There are 2 ways to vote.  You can either:

  1. Vote online at http://www.hamptonroads.com/bestof or
  2. Text the code “CCXZ” to 21333

Better yet, please do both!

You can vote between March 8th and March 22nd

We will greatly appreciate your vote!


Lennox C. (Len) Boush, EA

Heritage Income Tax Service, Inc.

IRS Warns Of Delayed Refunds, Long Waits For Taxpayers & Possible Shutdown

IRS Warns Of Delayed Refunds, Long Waits For Taxpayers & Possible Shutdown


Kelly Phillips Erb, Contributor, Forbes.com


With a week to go before tax season opens, taxpayers were already bracing for a potentially “miserable” filing season. It turns out that it could live up to the hype.

Internal Revenue Service (IRS) Commissioner Koskinen has advised employees that the budget cuts will result in reduced services to taxpayers. In an email to employees sent earlier today, Commissioner Koskinen advised that “realistically we have no choice but to do less with less.”

What does that mean for taxpayers?

  • Identity theft could increase. Despite the need for increased taxpayer protections against identity theft, the implementation of additional measures will be delayed. That’s bad news for taxpayers since, despite the efforts of IRS and other agencies to stem the tide of identity theft, scammers have grown more bold. TIGTA reported that
  • telephone scammers, posing as IRS representatives, managed to steal more than $5 million from taxpayers last year. And as quickly as the scams are picked up, theychange. IRS-Criminal Investigation has responded to what has been termed an “epidemic” of identity theft by ramping up investigations – but with wholesale cuts to IRS, expect those investigations to dip, too.
  • Refund delays. It turns out that satirical piece on tax refunds making the rounds might have had some merit after all. According to the Commissioner, taxpayers who file paper tax returns may have to wait an extra week or longer to see their refund. In the email, the Commissioner didn’t specifically address whether delays would affect refunds for taxpayers who e-file, though a few weeks again he refused to say that refunds would not be delayed.
  • Lags in correspondence. Those of us in the field have already become familiar with those letters from IRS that begin “We need more time…” It looks like those are about to kick up even more. With fewer employees on staff, IRS expects “lengthy delays” to answer correspondence.
  • Fewer resolutions. Those taxpayers who have legitimate gripes but can’t find a resolution will be out of luck. The Commissioner says that the Taxpayer Advocate Service, normally the next step when cases aren’t resolved through normal channels, won’t be able to obtain a new case management system to oversee taxpayer hardship cases.
  • Unanswered calls. Predictions weren’t terrific for answered call rates before. Now, the Commissioner is warning of “an even lower level of telephone service.” Specifically, he notes the “real possibility that fewer than half of taxpayers trying to call us will actually reach us.” Those calls that are answered, he says, “will face extended wait times that are unacceptable to all of us.”
  • Shutdowns. Although the Commissioner wavered on saying yes to furloughs last month, temporary shutdowns look to be the case after all. The Commissioner indicated that the agency is planning for at least one shutdown this fiscal year; he suggested there might be two furlough days. There was no word on when those dates might be other than later in the fiscal year (read: not during tax season).
  • Fewer Audit Closures. The silver lining – if you can call it that – is that the reduction in staffing means
  • fewer taxpayer audits will be closed in 2015 (no word on how that will affect selection of new matters). Collections case closures will also be reduced. That might be good news for those under the audit gun but not so great for the Treasury. Commissioner Koskinen estimates that the government will, as a result, lose at least $2 billion in revenue.

Quite frankly, none of this information is earth-shattering. I think many of us – tax professionals and taxpayers alike – have been hoping for the best but bracing for the worst this tax season. It looks like we’re getting the latter.

Tax season is still slated to open on January 20, 2015 (those pesky rumors suggesting the date has been pushed out further are just that: rumors). For the latest word on the 2015 tax season, keep checking back.



We wanted to express our thanks to the many of you who voted for us for Best of Portsmouth 2014.

For the last thirteen (13) consecutive years, our clients have voted Heritage Income Tax Service, Inc. as either the Gold winner or the Silver Winner in the “tax service” category for “Best of Portsmouth”.  For the last seven (7) consecutive years, they voted us the Gold Winner, #1 in Portsmouth!

Thanks to all our wonderful clients! We owe it all to you!

Len Boush, Debbie Boush, Michelle Dail, Joan Hughes

Top 10 Tax Mistakes To Avoid At All Costs

Top 10 Tax Mistakes To Avoid At All Costs

A tax audit involves the time and expense of being examined and often a tax dispute. Avoid these common mistakes and you’ll reduce your chances of grief from the IRS.

Click on this line to read the full article.

Depreciation, Expensing and Taxes

September 11, 2013

Bruce Bartlett wrote an article with a nice breakdown of the history of depreciation in the United States. An interesting point he makes is that depreciation was initially an accounting gimmick:

If the railroads treated capital expenditures the same way that operating expenses were treated, they would have huge losses for many years that would discourage investors. So the idea of depreciation was born – writing off capital investments over time.

Maybe that helped businesses sell projects to investors, but the addition of the corporate income tax in 1909 made depreciation rules important for taxes, too.

In the article, Bartlett lays out two common economic arguments why depreciation rules can be bad for tax purposes.

The first argument is that under current depreciation rules, inflation erodes the value of the tax right off. These types of depreciation rules understate the cost of the equipment to business, overstate the profit, and lead to higher taxes for the business.

The second argument is that as technology changes more rapidly, high-tech equipment becomes irrelevant sooner than it physically wears out.

Expensing solves both these issues and offers other benefits of its own – namely, increased investment and economic growth.

Expensing is effective in increasing investment, because it lowers the cost of capital. As the Tax Foundation’s Steve Entin wrote in a recent report:

The rules for how quickly a company can write off investments in plants, equipment, and buildings directly impact the cost of doing business. The higher those costs are, the slower the economy will grow. The lower the cost, the bigger the economy will be, and with it the number of jobs and the level of wages.

But it’s important for long-term economic growth that expensing not just be used as a short-term solution to stimulate investment, as it has been used in the past.


2002-2017 Best of Portsmouth

Heritage Income Tax Service, Inc. | 4303 Portsmouth Blvd., Portsmouth, VA 23701
(757) 488-7232 | Fax (877) 488-7232

Heritage Income Tax offers a full range of tax preparation services. Located in Portsmouth, Virginia, we serve the entire Hampton Roads area including the cities of Chesapeake, Virginia Beach, Norfolk, Suffolk, Newport News and Hampton.