How long will it take to resolve my IRS problem?
It depends on the type of problem that you have and the best solution for your problem. Generally, we can respond and prevent levies and liens from occurring within the time frame provided by the IRS. Installment plans can be designed and approved by the IRS within a few business days while Offers in Compromise often take the IRS up to 6 months to approve after submission. We can discuss time frames in further detail during your free consultation with our firm.
What do your services cost?
The cost of attorney services depends on the best solution for your tax problem. If you would like to contact us for a free consultation, we will review your problem and provide you a cost for the solution before you decide to hire our firm.
Will your firm prepare tax returns even if I do not have an IRS problem?
Yes, we offer tax preparation services as well as assistance to those who want to prepare their own taxes. Our firm has often assisted CPA’s with their client’s tax problems so our tax preparation services are particularly valuable to clients who have had problems with the IRS in the past or have complex financial situations calling for expert consultation.
Will I be penalized if I file my tax returns late?
The IRS will assess a penalty and charge interest on amounts owed to the IRS if you file later than the due date. If you file an extension and then file your return before the extension expires, you will not be charged a penalty.
Who must file a tax return?
Any person, single or married, under 65 must file a return if he/she has unearned income of $800 or more or earned income of $5,000 or more regardless of any tax liability. Different rules apply to persons over 65 and blind.
Can the IRS take funds from my bank account?
YES. The IRS may place a levy against your bank account and after 30 days the funds are transferred to the IRS if the taxpayer takes no action.
Can the IRS garnish my wages or salary?
YES. The IRS may submit a garnishment to your employer if the taxpayer fails to challenge an IRS Notice of Deficiency.
Can the IRS place a lien on my house?
YES. The IRS may place a lien on your home, other real property and other assets and use the proceeds from the sale of those assets to satisfy a tax debt.
What is a Notice of Deficiency?
A Notice of Deficiency is a letter stating that you owe back taxes and possibly penalties and interest to the IRS for a prior tax year. You may appeal a Notice of Deficiency or take the IRS to tax court and challenge the notice.
What is an Offer in Compromise?
An Offer in Compromise is an agreement submitted by the taxpayer to the IRS requesting the IRS accept less than the taxes, penalties and interest because the taxpayer cannot pay the tax liability or the taxpayer does not owe the tax.
What is an Audit?
An audit or examination is a review of the taxpayers’ tax return and supporting documents related to the tax return to insure the taxpayer is in compliance with the tax laws.
Who Has to Submit to an Audit?
The IRS will randomly select taxpayers for examination. However, many taxpayers are selected to examination because of a “red flag” in their tax return. This means the taxpayer has taken an unusual deduction or did not report all of his/her income.
Will the IRS allow me to make monthly payments to pay my tax debt?
YES. The IRS will set up a payment plan with you but will continue to charge you penalties and interest while you are in the plan.
What should I do if I do not have my tax documents and cannot file?
The IRS receives copies of all of your tax documents. You may contact the IRS and they will provide copies of the documents you need to complete your taxes.