IRS Process and Options

IRS Process and Options

If you or your business owes money to the IRS, a Columbus tax attorney at The McGuire Law Firm, can assist you and/or your business to resolve these tax debts with specifically tailored solutions.  The end all resolution to your tax matters may include a variety of proceedings and alternatives, including: filing tax returns, petitioning the United States Tax Court, proposing and formalizing an installment agreement, preparing and submitting an offer and compromise, requesting a collection due process hearing, requesting your tax liabilities be placed in a currently not collectable status, and filing for bankruptcy.  A tax attorney at The McGuire Law Firm can represent you before the IRS, protect your individual and business assets and determine the best resolution options based upon your circumstances.
 
What is the United States Tax Court?
 
The United States Tax Court is federal court with limited jurisdiction.  The limitation is that a taxpayer can only petition the United States Tax Court under certain and specific occurrences, which Congress  has granted statutorily.  Timing remains extremely important for any taxpayer to present their case before the United States Tax Court.  Most cases before the US Tax Court are in response to a Notice of Deficiency issued by the IRS.  A taxpayer has 90 days from the date the IRS issues the Notice of Deficiency proposing an additional assessment of tax to the taxpayer. 
 
What is an Installment Agreement?
 

Individuals or businesses may request an installment agreement, whereby the tax debt is paid via monthly installments over a period of time.  Various options are available by the IRS whereby an individual may not need to provide financial information to the IRS depending upon the amount of tax due and the taxpayer’s willingness to enter into an agreement.  A tax lawyer at The McGuire Law Firm can help you determine if the IRS would agree to such a payment agreement with the IRS and what other resolutions may be available.  If the tax debt is in excess of certain thresholds or you are unable to pay what the IRS would accept, financial disclosure is likely to be required to establish an installment agreement with the IRS.  A major benefit of establishing an agreement with the IRS is that once an individual or business has entered into an installment agreement, the agreement acts as an automatic hold on enforcement and the IRS cannot levy bank account, seize assets or garnish wages given the individual or business makes all payments, files all tax returns, and pays all taxes on a timely basis moving forward. 
 
What is an Offer in Compromise?
 
Individuals and businesses may submit an Offer in Compromise to the IRS to settle the tax debt.  An offer in compromise requires the submittal of financial information and specific forms an attachments.  An experienced tax attorney at The McGuire Law Firm has presented many successful offer in compromises to the IRS.
 
What is a Collection Due Process Hearing?
 
To protect individuals and businesses prior to IRS enforcement and collection action (such as bank levies and seizures) taxpayers are afforded to the due process of being able to request a Collection Due Process Hearing. The IRS is required to issue a taxpayer a series of notices prior to and before enforcing collection of tax through the seizure of taxpayer assets and property, one of these being a final notice of intent to levy.  Once a final notice of intent to levy is issues, the taxpayer then has 30 days to request the hearing and prevent IRS enforcement.  
 
Currently Non Collectable Status
 
A Currently not collectible status is offered by the IRS and based on public policy.  When an individual must choose between paying for food and a roof over their head versus paying the IRS, the government prefers that the individual provide their necessary living expenses.  To qualify for this hardship, an individual must submit a financial statement and other documents to the IRS to verify their financial situation.
 
To speak with a Columbus tax attorney, contact The McGuire Law Firm.