I am considering filing an offer in compromise with the IRS. My question is in reference to how they accept the housing and utilities expense.
From the IRS website:
Housing and utilities standards include mortgage or rent, property taxes, interest, insurance
, maintenance, repairs, gas, electric, water, heating oil, garbage collection, residential telephone service, cell phone service, cable television, and Internet service.
The taxpayer is allowed the standard amount, or the amount actually spent on housing and utilities, whichever is less. If the amount claimed is more than the total allowed by the housing and utilities standards, the taxpayer must provide documentation to substantiate those expenses are necessary living expenses.
I have 2 questions:
1. Does the IRS in fact let you deduct cable tv, internet, and cell phone expenses?
2. It states that if your claiming more than the standard amount you have to supply documentation (bills, rent receipts, etc.) If you are claiming less than the standard amount do you still have to show the documentation?