In an Information Release, IRS has announced that it has created a special new page on its website (irs.gov) to help taxpayers determine if a person visiting their home or place of business claiming to be from the IRS is legitimate or an imposter. Most of this information is also contained in a contemporaneously released Fact Sheet.
The following is a summary of important tax developments that have occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize the impact of those that are unfavorable.
IRS has announced that beginning this month, it will start to send letters to notify “a relatively small group of individuals” with overdue federal tax that their accounts have been assigned to one of four private collection agencies (PCAs). The assignments were authorized by legislation enacted in 2014.
As the end of the year approaches, it is a good time to think of planning moves that will help lower your tax bill for this year and possibly the next. Factors that compound the planning challenge this year include political and economic uncertainty, and Congress’s all too familiar failure to act on a number of important tax breaks that will expire at the end of 2016.
An IRS levy permits the legal seizure of your property to satisfy an unpaid tax debt. The IRS can garnish wages, take money from your bank or other financial account, seize and sell your vehicle(s), real estate and other personal property.
If you receive an IRS notice titled Final Notice of Intent to Levy and Notice of Your Right to A Hearing, contact us right away at 1-877-788-2937 to resolve your back taxes and get the levy released.
Dealing with tax debt is stressful, especially because of the aggressive methods IRS tends to employ for collecting the taxes owed to the government.
These range from assessing multiple penalties on late payments, levying your bank accounts, garnishing your wages and sending an IRS Revenue Officer to padlock your business, to forcing your employer to sign into wage garnishments and deducting a sizable percentage of your pay the IRS.
Employment Taxes and the Trust Fund Recovery Penalty (TFRP).
Notice 784, Could You be Personally Liable for Certain Unpaid Federal Taxes?
IRS has updated its webpage guidance on the trust fund recovery penalty and who IRS can reach to pay it. The guidance is a reminder for all potential “responsible persons” to make sure that timely payment of employment taxes is given the highest priority at any profit or nonprofit enterprise.
IRS Small Business/Self-Employed Division memorandum, Calculation of Reasonable Collection Potential in Certain Offers in Compromise Cases (Apr. 28, 2016)
IRS’s Small Business/Self-Employed Division (SB/SE) has instructed its Collection employees not to reject offers in compromise (OICs) by persons in the Cannabis / marijuana business, in states where marijuana sales are legal, merely on public policy grounds.
Offer in Compromise— OICs. Code Sec. 7122(a) authorizes IRS to compromise a taxpayer’s income tax liability. Code Sec. 7122(d)(1) gives IRS wide discretion to accept compromise offers and to prescribe guidelines “to determine whether an offer-in-compromise is adequate and should be accepted.” IRS will consider an OIC where: (1) the taxpayer is unable to pay the tax; (2) there is doubt as to the taxpayer’s liability for the tax; or (3) a compromise would promote effective tax administration because collection of the full amount of tax would cause economic hardship for the taxpayer, or compelling public policy or equity considerations provide a sufficient basis for compromising the liability. (Reg. § 301.7122-1(b)) There is doubt as to collectibility “in any case where the taxpayer’s assets and income are less than the full amount of the liability.” (Reg. § 301.7122-1(b)(2))
Are you receiving calls, postcards and letters regarding your IRS tax lien? Are telemarketers bombarding you with telephone calls to settle your back tax debt?
Many of these solicitors you are not actually licensed to represent you before the IRS, they are not tax attorneys, nor CPAs, nor EAs.
See our popular “beware report” HERE.
The IRS is actively and aggressively pursuing individual and business taxpayers with aggressive collection actions. IRS enforcement could be in the form of a tax lien, where the IRS files a lien at your county recorder’s office as a public record so the taxpayer cannot sell assets or property without paying their taxes, penalties and interest.
The IRS also enforces collection actions through tax levy and tax garnishment actions against the taxpayer paycheck and bank accounts. Taxpayers should avoid these enforcement actions by resolving their back tax matter with the IRS.
Taxpayer Rights Power of Attorney – Representing individuals and businesses before the IRS
If you are facing an IRS tax levy to back tax help to unfiled tax returns and more, the Chicago tax attorney is here for your need. The qualified tax lawyer can handle all legal matters related to taxes as well as assist businesses when it comes to properly filling out their tax forms. Here is a sampling of the services provided by the Chicago tax lawyer.
- Back Tax Help
- Innocent Spouse Tax Relief
- IRS Help
- IRS Tax Audit Representation
- Tax Debt Settlement
- Tax Negotiations & Resolution
- IRS tax levy and lien release Help
- Penalty Abatement
- 941 Payroll Tax Problem Help & More