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.

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