Many taxpayers hire CPAs or Enrolled Agents to handle their IRS problem cases. I guess they think that tax attorneys are too expensive or they fear the (often deserved) reputation of attorneys in general. But the IRS announcement of two new IRS appeals programs may cause you to think twice about who you hire to handle your Offer in Compromise or Trust Fund Recovery Penalty (TFRP) case.

With the announcement of nonbinding mediation and binding arbitration in Offer in Compromise and Trust Fund Recovery Penalty cases, yet another arrow in the tax attorney's quiver has been added. Just think about the different types of training the three types of tax professionals receive.

CPAs are primarily trained in the area of accounting. That's great. We need CPAs to perform a wide range of financial services. But how much training in the area of dispute resolution are they required to take? None. And these two types of new IRS appeals are in the area of alternative dispute resolution to boot! Alternative dispute resolution is a fancy way of describing settling cases out of court or short of going to trial. I can almost guarantee you that any CPA you have spoken with has never received ANY training in this area whatsoever.

Now let's turn our attention to enrolled agents. What's an enrolled agent you ask? Good question. An enrolled agent is a person licensed by the IRS to represent you before the IRS. Think about that for a second….let it really sink in. Ok. So they're licensed by the IRS and a person can achieve this status one of two ways. First and most common, they worked for the IRS for five years or more. Great does that qualify them to represent them in mediation or arbitration? Well technically yes…because the IRS says so. Does the IRS have taxpayer's best interest at heart? You decide.

Tax attorneys quite the contrary often have significant experience in the resolution of disputes. In law school for the past couple decades, law students have studied alternative dispute resolution. And the new IRS appeals programs are much more akin to court proceedings than anything we have ever had available to resolve IRS problem cases (short of filing suit against the United States of America.) Tax attorneys are trained in critical thinking and advocacy. Furthermore they have taken an oath to protect their clients interests no matter what.

In closing, I think that taxpayers with IRS problems should think long and hard before choosing anyone other than an experienced well-versed tax attorney to handle their IRS problem matter. There is no such thing as an easy, open and shut IRS problem case. You never know where it might lead or what procedural steps might be necessary to prevail.

New IRS Appeals Programs – Yet Another Reason Why You Want a Tax Attorney to Handle Your IRS Problem Case! is a post from: IRS Tax Problem Solver Blog - IRS Help

The IRS has announced the formation of two new appeal programs. This is exciting news because it allows taxpayers more opportunities to be heard by high level, well trained IRS employees with considerable discretion. Unlike most field level IRS employees (especially those that work in call centers) IRS appeals personnel have considerable training and discretion when working on a taxpayer's case.

Both programs will put into place post-IRS appeals mediation and arbitration. Since most people got those two terms confused, please allow me to explain. Mediation is a method of dispute resolution that focuses on a collaborative approach with no clear "winner" or "loser." Arbitration is more akin to a court or a trial. The benefits of arbitration is that it is generally much less expensive and faster than waiting for the courts to decide a matter.

The two types of IRS problem scenarios subject to the new IRS appeals programs are in the area of Offer in Compromise and Trust Fund Recover Penalty cases. Either the taxpayer or IRS appeals may request nonbinding mediation. The taxpayer may decline such a request for mediation. IRS appeals will evaluate the taxpayer's request based upon criteria outlined in Revenue Procedure 2002-44 and Announcement 2008-111.

A request for binding arbitration must be made jointly by the taxpayer and IRS appeals. The new programs do not create any additional authority for settlement for IRS appeals but as a practical matter, I feel that it will help facilitate resolution in many cases.

In a mediation case, the process can help decide both legal and factual issues while the arbitration is limited to factual issues only. In a mediation, the mediator has no authority to legally bind the parties while in arbitration, the decision of the arbitrator is binding upon both parties. However it is important to note that the arbitrator does not have the authority to decide that the Offer in Compromise should be accepted or that the taxpayer is not liable under IRS §6672.

It remains to be seen if the IRS will use these new programs to actively settle cases or if it is yet another method to stonewall, delay and prevent justice to taxpayers. We will see.

IRS Announces Two New Appeal Programs – a good sign or bad? is a post from: IRS Tax Problem Solver Blog - IRS Help

The truth is that IRS field level personnel can be very difficult. They don't have much authority to do much more than say "pay us yesterday." There are two types of IRS employees. Those that view themselves as problem solvers (rare) and those that see themselves are revenue generators (common.) The simple fact is that we have to use IRS Appeals quite commonly in a wide variety of situations. You can appeal just about any collection action taken by the IRS…..if you know how and what to do.

In this short video I explain when to use IRS Appeals and what IRS Appeals are about.

IRS Appeals – What Are They & When Do You Use Them? is a post from: IRS Tax Problem Solver Blog - IRS Help

When you have tax disputes, one option you have to help solve this IRS Problem is to use your right to appeal a decision.  Using IRS Appeals is a way to settle tax disputes without going to Tax Court.  It is much more informal than an actual trial.

Appeals Criteria

You must meet both of these requirements:

•    IRS correspondence has been received explaining your right to come to Appeals due to a dispute with an IRS decision
•    You have received an agreement form that you do not agree with and will not sign

You will need to decide if the IRS has made an incorrect decision because of misinterpretation of the law.  Publications discussing your issue can be found on the IRS website, http://www.irs.gov.  If you are disputing the fact that the IRS improperly applied a law due to a misunderstanding of the facts, you will need to be able to back this up by clarifying your position.  You can also ask for appeals if you believe the IRS is taking inappropriate collection action against you or if you have been denied an offer in compromise.
You will also need to explain why you disagree before the appeals hearing. You will need to have your records and other documentation organized and available to support your position.  Your reason cannot be for moral, religious, political, constitutional, conscientious objection, or similar grounds.
You may not a candidate for appeals if your only concern is that you cannot afford to pay the taxes you owe or if you have received a bill from the IRS that makes no mention of Appeals.

What to Expect at an Appeals Conference

An IRS Appeals Officer will do a fair and impartial review of your case and conduct the conference either by correspondence, phone, or in person.  They will explain your rights, and the actual Appeals process.  They will work with you to help resolve your dispute in a timely manner.  With your dispute resolved, you avoid a court trial.

You can help the process by carefully listening to the Appeals Officer’s information and giving a statement that you understand the information and the law.  You need to list all the issues you disagree with and why you disagree.  Additional information or documentation may be presented within the specified timeframe.  Inform the Appeals Officer of your recommended method of resolution.  Make sure to indicate when and how you can be contacted.

If Appeals is your next step in trying to resolve your IRS Problems, contact our office for assistance.  We can answer your questions and guide you through the Appeals process.  Call us today tollfree at (888) 438-6474.

Tax Appeals – How Do They Work? is a post from: IRS Tax Problem Solver Blog - IRS Help

You're not happy with the decision from any IRS collection action, a collection appeals hearing is your right. It's simply a meeting where you and the IRS can find ways to settle the dispute.

You may file appeals for:

Installment agreement terminations and rejected offers-in-compromise

IRS liens, IRS levies, and IRS seizures

Penalties and interest

Trust fund recovery penalties and employment tax adjustments

Depending on what you are appealing, there are a lot of guidelines and timeframes regarding collection appeals. File your collection appeal the right way and in an apropos manner with the correct information.

Collection appeals are often responses to IRS audits. If you have been audited and the IRS increases your tax bill and adds both penalties and interest, you will want to ask for an appeal if you do not agree with the increase. It's imperative that you find out the guidelines and timeframe as soon as possible. You may lose the chance for an appeal if you don't file your collection appeal before the deadline.

Even before the IRS enforces the seizure or levy, a tax debt collection appeal can be filed. As soon as you receive notice of the levy or seizure, whether it's verbal or written, file the appeal pronto.

Filing a Collection Appeal the Right Way

Fill out a collection appeal form 9423 stating why you're disputing the decision and suggesting a resolution. The appeals officer handling your case will arrive at a decision within five days.

What to Expect

Your appeal may be resolved by phone or correspondence. You can represent yourself or bring representation if a hearing is scheduled. Collection appeal hearings are normally informal.

Tampa Tax Attorney, Darrin T. Mish represents clients all over the United States with IRS Problems including Collection Appeals. Why not give him a call tollfree at (888) 438-6474?

IRS Collection Appeals – Can IRS Appeals Save the Day? is a post from: IRS Tax Problem Solver Blog - IRS Help

Issues with the Internal Revenue Service can be a drag. The following types of IRS Problems can be handled with an IRS Appeal:

Tax audit results

Penalties assessed

Interest accrued

Notice of Federal Tax lien placement

IRS Tax levy placement

IRS Asset seizures

Offer in Compromise rejections

You may be receiving an IRS missive telling you that you can appeal the decision in the event that you're in this situation. If you do not agree with the bureau, then don't sign the agreement form that you received. An appeals hearing may then be demanded.

Take a close look. You may owe the IRS money and got bill. In this case, there is no possibility of an appeal. An appeals hearing isn't a possibility if you can't afford to pay what you owe to the Internal Revenue Service.

Prepare to give your reasons for disagreeing with the IRS decision. You will have to be able to support your reasons with documents.

Peruse the missive to find out how to prepare your request for an appeal, where to send the request, the deadline for receipt of the request, and what details must be included with the request.
Take note that interest and penalties will go on being accrued on your bill, even if you have sent a request for an appeal.

Appeals hearings may be informal, done by correspondence, telephone, or in person. You will be happy to hear that most disagreements with the Internal Revenue Service are fixed in appeals.

Your appeal's timeframe is determined by the type of situation you are appealing and the time it takes for the IRS to review your file. After you have sent your request, it takes 90 days before an appeals hearing happens. Touch base with the Internal Revenue Service office where your appeal was mailed to if you haven't heard from them in ninety days and they should be able to tell you when it was received. The 90-day timeframe for your hearing starts there.

The appeals officer can give you a more accurate timeframe. It could take a year to resolve an appeal.

If you're in the market for a Tampa Tax Attorney who practices all over the United States, give us a call tollfree at (888) 438-6474.

IRS Appeals – the right IRS Problem solution for you? is a post from: IRS Tax Problem Solver Blog - IRS Help