Lunes, Hunyo 25, 2012

IRS Collections Appeal Program

Knowing your rights as a taxpayer is extremely valuable, especially when you need to protest against collection procedures started by the Internal Revenue Service.  Generally via Collection Due Process or by the Collection Appeals Program you can, under the law, appeal a number of Internal Revenue Service decisions.

You may appeal actions such as Notice of Federal Tax Lien, IRS Levy Notice, property seizure, Installment Agreement termination, or rejection of proposed Installment Agreement under the Collection Appeals Program, or CAP. Even though the Collection Appeals Program covers a broader variety of Internal Revenue Service collection actions than the Collection Due Process, it does not allow negotiations concerning the existence of the tax debt. Also, you are not able to go to court if you are unhappy with the CAP outcome.

A Collection Appeal Request, IRS Form 9423, is a document that a taxpayer can file to request Appeals consideration if an agreement cannot be reached with the IRS employee assigned to your case, or with the Collection Group Manager. This document will be reviewed by the IRS Office of Appeals, that  operates independently from IRS Collections.

You may speak for yourself at all IRS proceedings. However, it is undeniable that hiring a tax expert that specializes in tax debt help, such as an enrolled agent or a tax attorney will enhance the chance of the IRS accepting a proposal to resolve your tax liability. You may also authorize your tax representative to operate in your absence at the Appeals hearing. To do this, complete Form 2848 - the IRS Power of Attorney and Declaration of Representative..

Typically a CAP request is filed following either an IRS notice of intent to file a lien and/or levy, or when they have previously filed such a lien or levy. Do not bother attempting to appeal property seizure if the property has previously been sold, as this will not be successful.

If you filed a payment plan or Installment Agreement application to the IRS, and they denied it, you may also submit an appeal to object this verdict. Though, your appeal has to be received by the IRS within 30 days from the date on the IRS rejection letter. It’s also possible to appeal the intent to terminate your Installment Agreement by the IRS.

Make certain that you get your appeal request filed on time. From that point, for as long as the taxpayer's case is being examined by the Office of Appeals, the IRS cannot take any enforcement proceedings for that particular tax period. Thus, getting proof that your submitted request was delivered to the IRS on time is very critical.

Always make sure that the information you give is correct. If the information is discovered to be incorrect, then, even if the Office of Appeals originally finds in your favor, to which the IRS must comply, the decision can be negated.

The above examples are not the only collection actions that can be appealed, according to IRS Publication 1660. Others are related to Trust Funds (no, not money put in trust), such as the denial of a Trust Fund Recovery Penalty or Penalty Claim, a rejected Offer in Compromise, or a rejected request for Penalty Abatement.

The best company that offers tax resolutions can offer help on how you can handle tax debts and other related factors. You only have to visit http://www.2020taxdebthelp.com to know how to deal with it.

Miyerkules, Hunyo 20, 2012

Owe Taxes? What Happens Next?

What will the IRS do if you don't do something about the tax liability you owe them? The IRS will assess you with interest and penalty charges and take particular steps to collect the outstanding taxes.

The earliest warning, that you must to resolve your owed taxes, is a correspondence that includes information on the balance due, together with any penalty fees and interest, that you'll get from the IRS. At this point you have a brief amount of time, as defined in the letter, to resolve the tax situation before you may be assessed with extra penalties and interest.

Don't disregard the received IRS notice unless you want the problem to escalate. In some situations, for their next action, the IRS may phone you, or you may get a visit at your office or home, by an IRS Revenue Officer. If you do not give them with a decent proposal for sorting out your tax liability, they will start assessing your equity to determine if it can be sold to resolve the tax liability.

The next warning you may receive is an IRS Notice of Federal Tax Lien; this shows that the IRS intends to take steps to protect its right to collect the taxes that you owe, if, for example, you try to sell any of your property. You can appeal the lien, but it's unlikely to do more than postpone the unavoidable, unless there's truly an error and you don't owe what the IRS claims.

A collection technique the IRS can use is a levy. According to the IRS, a levy is a "legal seizure of your property to satisfy your tax debt". There are a variety of types of levy. A bank levy is a process where the taxpayer's bank gets a Levy Notice from the IRS with a demand to send all money available on your accounts to the Internal Revenue Service.


In order to issue a levy, the IRS needs to inform you by sending a Final Notice of Intent to Levy to your mailing address. This notice gives you thirty days to file an appeal, or have your issue resolved by covering the entire tax debt and fees, or working out a repayment option with the IRS. It’s not a bad idea to appeal a Final Notice of Intent to Levy as soon as you receive it. In this case the IRS will assign an Appeals Officer to look at your case, which might be your chance to discuss your payment options.

Of course, a bank levy is not the only form of levy that the IRS can issue. One more method accessible to them is to issue enforced collection through a Wage Garnishment, where they'll send a letter to your employer, demanding a percentage of your earnings to be sent to the IRS. Other possibilities include a levy on Social Security, a levy on your Accounts Receivable if you have a business, and so on. You ought to do everything you can to solve your back taxes and avoid anything like this happening, as these are very tricky to get removed.

In fact, it's virtually always easier to prevent enforced collection than to have it removed once it is in place. Consequently, particularly if you're at the early phases of the collection process, now is a good time to take control, before things worsen. Tax experts are on hand to offer tax debt help, and it is always a good plan to phone a specialist. In many cases, like when trying to negotiate an offer in compromise, you will only have one attempt, so you don't want to make any errors.

Linggo, Hunyo 10, 2012

How To Manage Tax Debt Problems

Even the most organized people can encounter financial problems during their life. There are two alternatives available at this point - either devise a plan and fix the issue alone, or find professional support. Finding assistance is always recommended if the problem is one of tax debt. Tax debt issues are historically complicated and tough to solve without the support of a specialist that understands the countless complicated tax guidelines. There are a variety of places where you can find support for this kind of problem.

The Internet is an obvious source of information. There is a huge selection of knowledge that can be found online, but take care to make certain that any specific information is accurate, and from a reliable source. Specialized financial directories can lead to business websites with professionals that are skilled in financial support. Financial forums are another available source of information, packed with information on issues, options, and businesses to help with tax problems. Occasionally, people that take part in these forums are tax debt professionals. Links to extra helpful information and businesses that offer advice can sometimes be found in the comments. Alternatively, there are also plenty of video sharing websites where good information can be found. Although the majority of these videos will be advertising, a number will be educational, and others will be from specialists offering help with tax debt issues.. Again, be careful to make sure that the information is provided by a reliable source.

Tax liability problems will be a cause of humiliation for some people. However, there's no shame and no blame. Acquaintances may be able to provide assistance, so it is valuable speaking to them. Lots of people face similar financial troubles in their lives, and it is useful to be aware of this. There may be friends or family that have dealth with similar financial turmoil, or even be facing the issue today. They can help to offer support and encouragement. This sort of issue will not vanish, so don't ignore it - come up with a plan and focus on the issue head on.

There are additional handy places to seek help, despite the fact that they may look a bit quaint  in the electronic age. If you're specifically seeking local help, good results may be found in the yellow pages, or the phone book. The yellow pages are categorized, so it's a fairly simple task to locate companies that can be of assistance. One more good way to find  financial services that will help is through classified ads. Many companies make use of online and offline classified adverts as a mechanism to get the word out about their service choices.

Picking the best company can still be a complex problem, albeit it's a fairly easy matter to find businesses that are willing to assist. Signing a blank Power of Attorney is the initial mistake many people make - this should only be done when all of the documentation has been reviewed and contracts are signed. It's also crucial to check that it is a trustworthy organization. You'll find a variety of ways to do this. Be firm on speaking to previous customers, instead of trusting unverified customer remarks. Don't be fooled by fake guarantees or promises of resolutions for pennies on the dollar. Pay no heed to guarantees and go for a company that promises the best resolution allowable by the law. It is a simple matter to verify that the business is financially stable by checking its record with Dunn and Bradstreet. Lastly, if it is a honest company, then it will most likely be registered with the BBB (Better Business Bureau). Be certain that they have a good rating by examining their record. Some companies will sign up with with the BBB in one state, but operate from another - watch for these tricks.

A a great deal of anxiety can result from tax liability difficulties, but good support is available. Most importantly, do not ignore the situation, or it will only get worse. Be proactive, by finding professional advice.