The Tax Lawyer's Blog

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Back Taxes

If you owe the IRS back taxes and/or haven’t filed your tax returns in several years, you are probably having a hard time sleeping at night.

Either that or you’ve moved to Canada.

Most people who are behind in their taxes truly want to get back in good standing with the IRS.

Usually they don’t do so for one or both of these reasons:

  1. They are overwhelmed at the prospect of organizing their paperwork and having their tax returns prepared; and
  2. They cannot pay the tax and are afraid of what might happen to them once they file their back tax returns.

For mover 20 years we have helped taxpayers in all kinds of circumstances get back into the system and move on with their lives.

If you owe back taxes or haven’t filed your returns, here is what we can do for you:

Contact the IRS and Have it Suspend Collection Activity

Depending on what stage of the collection process you are in, we are usually able to get the IRS to suspend its lien, levy and seizure activity to give us time to get you into compliance and propose either a monthly payment plan or a lump sum settlement offer.

It costs the IRS money to pursue payment of a tax debt through enforced collection actions.

For this reason it prefers that you do whatever is necessary to get your records in order and your past due returns filed.

Typically, the IRS will give us 90 to 120 days to get this work done.

Provide the IRS with a Power of Attorney that Prohibits it from Contacting you Directly

When you hire us you will sign an IRS power of attorney form that authorizes us to deal directly with the IRS on your behalf.

It is illegal for the IRS to contact you directly once this form is filed.

We will handle all correspondence, all telephone conferences and all IRS meetings on your behalf.

Retrieve all IRS Transcripts of Your Account and all IRS Records of Earnings for All Unfiled Return Years

We have direct access to the IRS’s taxpayer database.

This means we can retrieve important information about your tax status without you having to call the IRS to do it.

We examine the transcripts for computation errors and misallocations of payments.

Immediately Prepare your Unfiled Tax Returns and Discuss the Same with you Before Filing

Our state of the art computer software allows us quickly and accurately prepare your old tax returns.

This is the first thing that must be done before you can negotiate a mutually satisfactory resolution of your tax problem.

Assist you in the Preparation and Filing of all Required IRS Financial Forms

If you cannot pay what you owe in a lump sum, the IRS requires detailed financial statements on prescribed form.

These financial statements will control how much you will have to pay the IRS on a monthly basis or in a lump sum settlement offer.

We have prepared thousands of these financial forms and know what the IRS is looking for.

For a tutorial on how to prepare IRS financial statements go to  Preparing IRS Financial Statements: Do’s and Dont’s.

Submission of an Offer in Compromise or Request for a Monthly Installment Payment Agreement

When the returns are filed and the financial statements prepared, we make a recommendation to you to either file an Offer in Compromise (IRS settlement offer) or a Request for a Monthly Installment Payment Agreement.

These are not simple filings.

In order to get the best result possible, it is essential that you file a complete package that includes detailed supporting documents and an appropriate citings of case law and other legal authority.

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