IRS Collection Representation

Are your wages being garnished? Do you have a bank levy? A lien on your house?

Can I make installment payments on the amount I owe? IRS.gov web site:

"Yes. If you cannot pay the full amount due as shown on your return, you can ask to make monthly installment payments. However, you will be charged a one time user fee of $105.00, as well as interest on any tax not paid by its due date, and you can be charged a late payment penalty unless you can show reasonable cause for not paying the tax by the due date (April 17, 2007 for individual income tax returns) even if your request to pay in installments is granted."

Here is what the IRS has to say about the collection process:

Most taxpayers file tax returns and pay what they owe on time. If a taxpayer does not pay, the Internal Revenue Service sends the taxpayer a bill. This begins the collection process. Along with the bill, which is called a notice, the IRS automatically sends Publication 1, Your Rights as a Taxpayer, and Publication 594, Understanding the Collection Process. These publications explain the various options and rights taxpayers have in dealing with the IRS.

Every taxpayer has the right to prompt service and to be treated fairly, professionally, and courteously by IRS employees. The IRS has trained its collection personnel to ensure that taxpayer rights are protected and respected according to the Internal Revenue Code and the Taxpayer Bill of Rights.

Taxpayers who are unable to pay what they owe and those taxpayers who question the accuracy of their tax bill should contact the IRS as soon as possible. Taxpayers may call, write, or visit the IRS:

During the collection process, even if a taxpayer works out a payment solution with the IRS, the IRS may have to file a Notice of Federal Tax Lien to secure the government’s interest. The lien is required by law to establish priority as a creditor in competition with other creditors in certain situations, such as bankruptcy proceedings or sales of real estate. Once a lien is filed, it may appear on a taxpayer’s credit report and it may harm a taxpayer’s credit rating. Therefore, it is important that a taxpayer work to resolve a tax liability as quickly as possible, before lien filing becomes necessary. Once a lien is filed, the IRS generally cannot issue a Certificate of Release of Federal Tax Lien until the taxes, penalties, interest and recording fees are paid in full.

When the IRS sends a bill to a taxpayer, if the taxpayer does not respond to the first notice or subsequent notices, the account becomes delinquent. Delinquent accounts may be turned over to the Automated Collection System (ACS) or to the Collection field function. ACS personnel will contact the taxpayer by telephone to attempt to work out an agreeable payment solution. If the delinquent account requires field contact, a revenue officer will try to resolve the account with the taxpayer. 

IRS employees want to help taxpayers work out an appropriate payment solution. If the taxpayer does not cooperate, the IRS may take enforced collection action. Enforcement action could include serving a notice of levy to attach taxpayer income or assets such as bank accounts. In some cases, the IRS will take enforcement action by seizing and selling property. The IRS takes these actions only after giving the taxpayer an opportunity to voluntarily pay the debt, make arrangements to pay, or supply information to show that payment would create hardship.  
     
If the IRS pursues enforcement action, the taxpayer still has options. After the IRS files a Notice of Federal Tax Lien, and prior to the Service initiating levy action, a taxpayer is given the opportunity to request a hearing with the Office of Appeals. The taxpayer also has a right to appeal certain other collection actions. For example, if the taxpayer’s request for an installment agreement is denied, the taxpayer has a right to appeal that determination. Each taxpayer subject to enforcement action receives Publication 1660, Collection Appeal Rights. This publication explains a taxpayer’s right to make an appeal and the procedures for requesting an appeal.

At any time before or during collection action, a taxpayer who believes a pending collection action will create a significant hardship may apply for relief by submitting Form 911, Application for Taxpayer Assistance Order (ATAO). The Office of the Taxpayer Advocate will review the application, and if appropriate, take steps to resolve the taxpayer’s problem with the IRS to relieve the hardship.

I am unable to pay my delinquent taxes. Will the IRS accept an Offer in Compromise?

You may qualify for an Offer in Compromise if you are unable to pay your taxes in full or if you are facing severe or unusual economic hardship. Refer to Offers in Compromise, for additional information.

The following are my services for IRS help:

1. Unfiled Tax Returns:  If you haven’t filed a tax return for one year, two years or ten years, we can help.  If you lost your records, no problem we can obtain them from the IRS.  So file your unfiled tax returns today.
2. IRS Audit: Did you receive a love notice from the IRS that you are under an IRS audit for one year, two years, or multiple years.  Let us know, we can represent you and help you with your IRS audit.
3. IRS Collection Activities: If you have an IRS wage garnishment a levy on your bank account, in need to establish a monthly payment with the IRS on IRS debt, or if you need to reduce your debt by filling an offer in compromise, we can help you with your IRS problem.
4. IRS Appeals: If your IRS Audit didn't go the way you wanted it to, call us, we might be able to appeal the auditor's decision.
5. IRS Offer In Compromise: Let's settle your IRS debt for pennies on a dollar.
6. IRS Employee Audit: Also known as the 100% penalty against reposible individuals such as Corporate officers.