Tax Issues & Problems

IRS Audit Representation, Problem Solving & Solutions

DO YOU HAVE IRS ISSUES?

Nothing strikes fear in the hearts of people more than receiving an IRS Audit letter in the mail. Audits take significant time away from your business and family, requiring you to gather mounds of records substantiating each and every item reported on your tax return and develop a comprehensive understanding of tax law.  The IRS leaves no stone un-turned in its mission to determine the accuracy of your tax return.  If you don’t comply with the Auditors’ wishes, the IRS will recalculate your tax and send you home with a hefty tax bill as your parting gift.

Many taxpayers decide to handle a tax audit themselves and discover they may have been “penny wise,” avoiding a representative’s fee, but “pound foolish,” because they received a substantial bill for a significant tax deficiency.  IRS Auditors are trained to extract more information from you than you have a legal obligation to provide. IRS Auditors know that most people fear them and are ignorant of their rights. As a result, they know they can use that fear and ignorance to their advantage.

Rarely do our clients even have to talk with the IRS. We handle it all for you so that you need not take time off of your business or job to handle the bureaucracy and paperwork of the IRS. No lost wages or business.  You simply forward notification of an audit to us and we handle it from A to Z.

Offer in Compromise

Did you know that you can settle your debt with the IRS for just pennies on the dollar with their Offer in Compromise program? The program allows taxpayers to settle with the IRS on tax debt that has been incorrectly assessed or for liabilities they cannot afford to pay.  The IRS Code states: “We will accept an Offer in Compromise when it is unlikely that we can collect the full amount owed and the amount you offer reasonably reflects the collection potential…” (IRS Code section 7122).  Often it is possible to fully and completely eliminate the taxes you owe – including all penalties and interest – at an enormous discount.  There is no preset bottom limit that the IRS will accept to settle your debt especially if your offer is done “right”.  If done correctly your debt may be settled for only pennies on the dollar of what you presently owe.  The key is to determine the least amount that the IRS will accept from you before you make the offer.

IRS Payment Plan

If you don’t qualify for the IRS Offer In Compromise program, a payment plan may be the way to resolve your problem.  Setting up a payment plan with the IRS gives you a little more time to pay off your tax debts. Unfortunately, penalties and interest will continue to be charged on your outstanding balance as you pay the debt off.  You are required by law to pay the interest on your tax debt.

Bankruptcy

Your back taxes, interest and penalties can be wiped out by filing bankruptcy. If you qualify, bankruptcy can be the best solution to resolve your crushing tax problems.  Unfortunately, not everyone qualifies to wipe out their tax debt in bankruptcy. Certain rules have to be met first.  If you file bankruptcy and don’t meet the rules, the IRS will still be in hot pursuit after your bankruptcy is over.  Proper pre-bankruptcy planning is key to determining if bankruptcy is or can be a viable solution.

Innocent Spouse Relief

Did you know that you can get out of the tax debt due to the misdeeds or fraud committed by your spouse? Innocent Spouse Relief was designed to alleviate unjust situations where one spouse was clearly the victim of fraud perpetrated by their spouse or ex-spouse.

Retrieve Your IRS File

Did you know that you can obtain a copy of your IRS file? Most people would be surprised to learn how much the IRS knows about them. Obtaining a copy of your IRS file is critical in analyzing the options available to resolve your tax problems.  Requesting copies of your IRS file is best done by a professional who understands how to obtain them without raising any red flags as well as how to interpret the information in your file.