Clue Me In On Tax Resolution. What Can I expect From The IRS?

Here is a summary answer to many of the important questions that I receive at some point during the engagement New Life Tax Resoluton (NLTR) has with our clients or future clients.

First of all the IRS collection tactics can be intimidating and intrusive. The Internal Revenue Service issued over 9 million levies in 2010. Don’t let the IRS take advantage of your lack of knowledge!

The penalties and interest that the IRS is charging you can be upwards of 65%. We are experts with a proven rack record of reducing the total amount of debt.

We are dedicated to providing our clientele with the most cost effective and ethical representation in our industry. Ultimately, we want to accomplish four goals for each of our clients:

  1. Remove the threat and worry of the taxing authorities taking aggressive collection action against your income and assets.
  2. Seek a reduction in the total amount of debt.
  3. Propose and negotiate a formal resolution to your tax debt, which will be the most affordable arrangement given your financial situation.
  4. Ensure the appropriate steps are taken to permanently eliminate any possibility of a future tax burden.

What is the secret to avoiding the IRS nightmare?

The answer is professional representation. There is an old saying: “Do what you do best, hire out the rest.” Would you file bankruptcy without a lawyer? Would you try flying cross country without a professional pilot? Would you try to skydive without an experienced instructor?

This is what we do, full time, all the time. We are professional tax debt resolution experts.  When you retain our firm, we will make it our number one priority to ensure that all enforced collection action ceases on your IRS accounts. Our goal is to facilitate a resolution that you can live with without the fear of government aggression in the form of levies.

What happens after hiring professional tax representation?

After hiring [FIRM], we will file a Power of Attorney whereby the IRS and your Revenue Officer will be forced to work directly with us.  We will research your tax debt to obtain a total balance owed and to ensure that all of your returns have been filed.  We will order and review a record of your tax account, which will illustrate among other things, when you made your deposits and what types of penalties you were assessed.  We will assist in the completion of IRS Form 433, Collection Information Statement.  This form will be the basis for any Installment Agreement request.  We will request a resolution that is affordable to you. While we are in the process of finalizing your resolution, we will work diligently to prevent any enforced collection action such as bank account and accounts receivable levies, as long as full compliance is maintained.  Lastly, we will prepare a Penalty Abatement request in an attempt to reduce the size of your debt.

In the meantime, the most important thing for you to be doing is making your Federal Tax Deposits on time and in full.  If you have a Revenue Officer, you can expect that they will want verification that you have made your tax deposits on time and in full.  Also, please realize that the IRS has to follow certain procedures before they can proceed with any enforced collection action such as bank levies.  Some of the notices that you may receive can be appealed, however they are time sensitive.  Understanding all of your rights as a taxpayer is another benefit that New Life Tax Resolution can provide to you.

What are my resolution options?

There are a number of possible options for resolving your IRS liabilities. Your financal situation will largely dictate the available options. Your professional tax representative will thoroughly review your tax and financial situation and suggest the best alternative for you.

  • Installment Agreement: The most common resolution option, this allows you to make affordable monthly payments to the IRS to pay back taxes. These payment plans can have variable payments based on seasonal income if necessary. In some cases, you may not even have to pay back the entire amount you owe, but simply make payments until the statute of limitations expires on the debt (called a Partial Payment Installment Agreement).
  • Offer in Compromise: This is the infamous “pennies on the dollar” program you may have heard about. Under this program, the IRS may accept less than what you owe as payment in full. This program has rigid qualification criteria, and most taxpayers simply do not qualify – do not be fooled by a salesman with another firm making promises that you will qualify for this option.
  • Currently Not Collectible: If you lack the financial resources to repay your tax debt, we may be able to get your tax accounts placed into an uncollectible status. This status can last for one or more years, and the IRS will not come after you when you are in this status.
  • New Company Formation: If you owe business taxes, you may be a candidate for a complex strategy in which your old company is closed and a new business formed. It is possible for a majority of the penalties and interest on your business accounts to simply go away.
  • Penalty Abatements: You may be eligible for a reduction in your penalties. We can prepare and negotiate an application for penalty relief on your behalf, and seek to get the overall amount of your debt reduced.

Lien Negotiation: We can negotiate with the IRS to have assets you own released from under the Federal Tax Lien, which may enable you to either sell or borrow against the asset in order to pay the tax debt.

 

What do we need to know in order to move forward?

With a 15 minute conversation regarding your IRS situation, I will be able to pinpoint the best direction for the resolution of your case. We will discuss things such as:

Do you have any verbal or written agreements with the IRS?

Do you have a Revenue Officer? If yes, are they aggressive or unusually demanding?

Are there any current deadlines for information or money due?

Have there been any IRS threats of levies, wage garnishments, or seizures?

What was the date and title of your last letter received from the IRS?

Have you paid your current quarter Federal Tax Deposits on time and in full?

Do you have any unfiled tax returns?

 

How much is all this going to cost me?

Most firms you speak to will quote you a service fee based on how much you owe, rather than how much work is actually involved in resolving your tax case. Our service fees are based on what work is involved, now how much you owe. Full service representation from New Life Tax Resolution is affordable.

Our service fees for full service representation start as low as $1,500 – including all appeals, payment plan negotiation, and financial analysis. We guarantee that our service fees are the most competitive in the industry. Send us your quote from another firm, and I guarantee we can meet or beat it – all with zero sales pressure.

For Additional Information Or Your Free Case Discussion, Please Contact:

Patrick LeClaire Enrolled Agent

407-287-6638

 

 

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About Patrick LeClaire

After 15 years in corporate finance and Tax Preparation, I formed a company as an Enrolled Agent. I insist on superior customer service and the highest standards available as I embark on a journey to resolve one case at a time at New Life Tax Resolution.