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Being Audited by the IRS – IRS Tax Audit Help, Former IRS – Miami, Ft.Lauderdale, Palm Beaches

by | May 14, 2013 | IRS Tax Audit

 

Being Audited by the IRS – IRS Tax Audit Help – , Former Agents – Miami, Ft.Lauderdale, Palm Beaches    954-492-0088



 
If you are being audited by the Internal Revenue Service and need IRS tax audit help it only makes sense to hire former IRS agents who were office audit, revenue agents, former managers and former IRS appeals agents in the local South Florida IRS offices.
With over 60 years of direct working experience in the local  South Florida Internal Revenue Service office, we are tax experts in IRS tax audit help.
We have worked in the local, district, and regional offices of the Internal Revenue Service.
 
We have also scored individual and business tax returns at the regional tax offices of the Internal Revenue Service and know the exact process of why and how tax returns are selected for tax audit so it only makes sense that we could help defend your tax return.
If you will wind up owing money as a result of being audited by the Internal Revenue Service we can go ahead and work out a tax settlement as well so do not be worried by an IRS audit letter. We have resolved hundred and hundreds of IRS audits over the years.
 
 

Selecting a return for a IRS Tax Examination if you are being Audited by the IRS.

 
Selecting a return for examination does not always suggest that the taxpayer has either made an error or been dishonest. In fact, some examinations result in a refund to the taxpayer or acceptance of the return without change.
The overwhelming majority of taxpayers files returns and make payments timely and accurately. Taxpayers have a right to expect fair and efficient tax administration from the IRS, including verification that taxes are correctly reported and paid with enforcement actions against those who fail to comply voluntarily.

Taxpayer Rights if you are being Audited by the IRS

 
 
The IRS trains its employees to explain and protect taxpayers’ rights throughout their contacts with taxpayers.
These IRS audits rights include:

  • A right to professional and courteous treatment by IRS employees.
  • A right to privacy and confidentiality about tax matters.
  • A right to know why the IRS is asking for information, how the IRS will use it and what will happen if the requested information is not provided.
  • A right to representation, by oneself or an authorized representative.
  • A right to appeal disagreements, both within the IRS and before the courts.

 
 

How Returns Are Selected fora IRS Tax Audit  Examination

 
 
The IRS selects returns using a variety of methods, including:
Potential participants in abusive tax avoidance transactions — Some returns are selected based on information obtained by the IRS through efforts to identify promoters and participants of abusive tax avoidance transactions.
Some examples include information received from “John Doe” summonses issued to credit card companies and businesses and participant lists from promoters ordered by the courts to be turned over to the IRS.
 

IRS Computer Scoring.

 
 
Some returns are selected for examination on the basis of computer scoring.  Computer programs give each return numeric “scores”. The Discriminant Function System (DIF) score rates the potential for change, based on past IRS experience with similar returns.
The Unreported Income DIF (UIDIF) score rates the return for the potential of unreported income. IRS personnel screen the highest-scoring returns, selecting some for audit and identifying the items on these returns that are most likely to need review.
Large Corporations. The IRS examines many large corporate returns annually.
Information Matching. Some returns are examined because payer reports, such as Forms W-2 from employers or Form 1099 interest statements from banks, do not match the income reported on the tax return. Over 1.4 million tax returns are selected on income matching IRS tax audits.
Related Examinations — Returns may be selected for audit when they involve issues or transactions with other taxpayers, such as business partners or investors, whose returns were selected for examination. Usually partnership and corporate tax returns are the most heavily related spinoff tax examination audits.
Area offices may identify returns for examination in connection with local compliance projects.
These projects require higher level management approval and deal with areas such as local compliance initiatives, return preparers or specific market segments. The IRS specific market segment tax audit is usually conducted by an IRS revenue agent who was highly trained and skilled in a particular area of expertise dealing with one or two specific industries. These are very sharp and intelligent IRS auditors and some of the most highly trained.
 
 

Being Audited by the IRS – IRS Examination Methods

 
 
An examination may be conducted by mail or through an in-person interview and review of the taxpayer’s records.
The interview may be at an IRS office (office audit) or at the taxpayer’s home, place of business, or accountant’s office (field audit).
Taxpayers may make audio recordings of interviews, provided they give the IRS advance notice. If the time, place, or method that the IRS schedules is not convenient, the taxpayer may request a change, including a change to another IRS office if the taxpayer has moved or business records are there.
The audit notification letter tells which records will be needed. Taxpayers may act on their own behalf or have someone represent or accompany them. If the taxpayer is not present, the representative must have proper written authorization. The auditor will explain the reason for any proposed changes. Most taxpayers agree to the changes and the audits end at that level.
 

Appeal Rights – IRS Tax Audit Appeal Help

 
 
IRS Appeal Rights are explained by the examiner at the beginning of each audit. Taxpayers who do not agree with the proposed changes may appeal by having a supervisory conference with the examiner’s manager or appeal their case administratively within the IRS, to the U.S. Tax Court, U.S. Claims Court or the local U.S. District Court.
If there is no agreement at the closing conference with the examiner or the examiner’s manager, the taxpayer has 30 days to consider the proposed adjustments and their next course of action.
If the taxpayer does not respond within 30 days, the IRS issues a statutory notice of deficiency, which gives the taxpayer 90 days to file a petition to the Tax Court.
The Claims Court and District Court generally do not hear tax cases until after the tax is paid and administrative refund claims have been denied by the IRS. The tax does not have to be paid to appeal within the IRS or to the Tax Court.
A case may be further appealed to the U.S. Court of Appeals or to the Supreme Court, if those courts accept the case.
 

Being Audited by the IRS – IRS Tax Audit Help – Miami, Ft.Lauderdale, Palm Beaches

 
 

Exempt Organizations Filing Date – File or Lose Exemption

by | May 13, 2013 | Tax Help


 

Exempt Organizations Filing Date – File or Lose Exemption   1-866-700-1040

 
Are you a tax exempt organization?
 

Many Tax-Exempt Organizations Must File with IRS By May 15 to Preserve Tax-Exempt Status

 
A key deadline of May 15 is facing many tax-exempt organizations that are required by law to file annual reports with the Internal Revenue Service.
Organizations will see their federal tax exemptions automatically revoked if they have not filed reports for three consecutive years.
The Pension Protection Act of 2006 mandates that most tax-exempt organizations file annual Form 990-series informational returns or notices with the IRS. Under this law, organizations that fail to file reports for three consecutive years automatically lose their federal tax-exempt status.
The law, which went into effect at the beginning of 2007, also imposed a new annual filing requirement on small organizations.
 

Churches and church-related organizations are not required to file annual reports.

 
Form 990-series information returns and notices are due on the 15th day of the fifth month after an organization’s fiscal year ends.
Organizations that need additional time to file may obtain an extension.
Many organizations use the calendar year as their fiscal year, which makes May 15 the deadline for them.
 
Organizations that fail to file annual reports for three consecutive years will see their tax exemptions automatically revoked as of the due date of the third required filing.
Small tax-exempt organizations with average annual receipts of $50,000 or less may file an electronic notice called a Form 990-N (e-Postcard), which asks organizations for a few basic pieces of information.
Tax-exempt organizations with average annual receipts above $50,000 must file a Form 990 or 990-EZ, depending on their receipts and assets.
 

Private foundations file a Form 990-PF.

 
The IRS began to publish the names of organizations identified as having automatically lost their tax-exempt status for failing to file annual reports for three consecutive years. Organizations that have had their exemptions automatically revoked and wish to have that status reinstated must file an application for exemption and pay the appropriate user fee.
The IRS offers an online search tool, Exempt Organizations Select Check, to help users more easily find key information about the federal tax status and filings of certain tax-exempt organizations, including whether organizations have had their federal tax exemptions automatically revoked.
 

Exempt Organizations Filing Date – File or Lose Exemption

 
 

Get Fast Results – IRS Bank Levy & Wage Garnishments – Former IRS Managers/Agents

by | May 13, 2013 | Tax Levy and Wage Garnishments

 

Bank Levy IRS – Immediate Tax Relief, Levy Releases, Former IRS     1-866-700-1040

 
 
Last year the Internal Revenue Service sent out 3.6 million bank levies and wage garnishment notices to taxpayers owing back taxes and the Internal Revenue Service also followed that up with filing over 900,000 federal tax liens.
The Bank Levy & Wage Garnishment  is the major collection tool used by the Internal Revenue Service. It is the largest collection tool in the world Collecting billions of dollars for the United States government.
If you need immediate tax relief and need a fast and affordable bank and wage garnishment levy releases, contact us today for a free initial tax consultation and start the process to get your money back from the Internal Revenue Service. It will be a very simple process
You can speak directly to tax attorneys, certified public accountants and former IRS agents.
We know the exact systems and the exact protocols to get fast and affordable results for IRS bank and wage garnishment levy.
 
We can not only get your IRS bank Levy released or removed we can also settle your tax debt with the Internal Revenue Service.
 
We have over 60 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
Our firm has over 206 years of professional tax experience and we are one of the most credible and trustworthy professional tax resolution company’s in the nation with an A+ rated by the Better Business Bureau
We also taught tax law at the Internal Revenue Service and were instructors of new IRS agents. Beside teaching the new IRS agents their jobs we also taught the IRS tax debt settlement call the offer in compromise.
 
While employed at the Internal Revenue Service we issued thousands of IRS bank levies so it would only make sense that we would know the process of releasing or removal process.
 
 

The IRS Bank Levy

 
The IRS cannot immediately remove your money or funds out of a bank or financial institution.
There is a freeze or holding period on the a IRS Bank Levy.
A bank must wait or hold off for 21 calendar days after a levy is served before sending payment.
On the next business day, it must turn over the taxpayer’s money.
The Internal Revenue Service gives the taxpayer 21 days to contact the Service and work out an agreeable plan to get the levy released. Most professional tax resolution firm’s should be able to get your levy released with in this 21 day period.
 
 

The IRS Wage Garnishment Levy

 
There is a difference between the IRS bank levy in the IRS wage garnishment levy. Whereas there is a 21 day holder freeze. With the IRS bank levy the IRS wage garnishment levy is an immediate seizure.
It is a continuous wage garnishment that takes effect for every pay period. IRS will not release the wage garnishment levy until the taxpayer calls the Internal Revenue Service and works out a tax settlement.
 
 

What is required by the taxpayer to get immediate tax relief

 
 
It is critical that the taxpayer send or fax to IRS a current financial statement along with all documentation to start the process to get immediate release of the IRS bank levy notice. (IRS Financial statement 433-F) .
If you can do this on the day you get the Bank Levy or Wage Garnishment  notice you will be eligible for immediate release of the bank levy notice and get your tax relief.
 
 

The 433F – The IRS financial statement

 
To get the tax relief you need you will have to fill out a form 433-F, this is the IRS financial statement.
This financial statement is a form 433-F. That form must be completed and sent to the Internal Revenue Service. You must be fully able to support every detail of the financial statement. You can find this form on our website.
Beside the Internal Revenue Service wanting the form 433-F they will also want your last 3-6 months worth of bank statements and your last pay stub.
 

The Exact Process of getting a Immediate release of a IRS Bank Levy Notice & Wage Garnishment 

 
 
As a general rule, the Internal Revenue Service has sent out three or four tax notices or tax bills to the taxpayer or business who has not responded to the final notice. That final notice describes the information regarding the seizure action that the IRS considered on your case. The last and final notice that you will receive from the Internal Revenue Service is the L- 1058 letter. The Internal Revenue Service computer will systematically send out an IRS Bank Levy or Wage Garnishment levy  if you do not respond to IRS after the 30 days.
In many cases because the taxpayers have moved and they have never received the final notices from the Internal Revenue Service. According to the Internal Revenue Service is the taxpayer’s responsibility to advise the service of any changes in addresses.
This is usually the last thing a person will think about when they move however this is fully addressed in the internal revenue manual and cannot be used as an excuse by the taxpayer per the IRS and they have the hammer.
 
 

The IRS Levy & Garnishment Machine –  The CADE2 IRS Enforcement Computer

 
 
The next step is for the CADE2 computer system which is the IRS beast of a enforcement computer to systemically issue either a bank levy freeze or a wage garnishment notice to the taxpayers employer. No human hand ever touches the levy.
The Internal Revenue Service uses your last filed tax return and income tax transcripts to find out where your bank is located or who your employer is. These are called IRS levy sources and are located within the CADE2 computer system.
 
 

Get your financial statement into IRS ASAP for Immediate Tax Relief of a IRS Bank Levy or Wage Garnishment

 
 
Before the Internal Revenue Service will release a bank levy or a wage garnishment the Internal Revenue Service will need a current financial statement to determine how to close the case within their system.
IRS will evaluate each taxpayer’s ability to pay after it receives a fully documented and accurate financial statement. The faster you get the financial information to the Internal Revenue Service the faster you will get the IRS bank levy or wage garnishment release.
 
 

Closing Methods for a Bank Levy or Wage Garnishments  from the IRS

 
The IRS will then determine which of the three closing method best suits the taxpayer based on their current financial statement. It is critical that taxpayers be aware of the national and regional standard test that IRS will be applying against their current expenses on their financial statement. After the Internal Revenue Service does a complete analysis of the financial statement they will tell the taxpayer on how they intend to proceed on their case.
Once the taxpayer agrees to the closing method that the IRS suggests the agent working the case will send an immediate release of the bank levy to the financial institution or to an employer.
It should be known that the taxpayer has a right at any time to appeal the closing method that IRS suggests.
You can contact us directly to file any notices of appeal.

IRS may recommend that you are to be eligible for economic tax hardship and place you into a currently not collectible file, they may determine that you should be able to make current installment payments, or they may decide that you are a suitable candidate for an offer in compromise.

 
Everything is based on your current and accurate financial statement, that’s why it is critical that a professional tax resolution specialist prepare your statement and negotiate with the Internal Revenue Service.
As a former IRS agent I can tell you there is a huge difference between a taxpayer worked in their own case and a tax professional. The results are dramatic.
 
 

To get an Immediate Release of a Bank Levy for Tax Relief you need to:

 
To get an immediate release of a bank levy freeze a taxpayer should fully and accurately complete the 433F along with having all documentation to support that statement.
If a taxpayer calls us with the completed an accurate 433F financial statement along with all documentation that supports the financial statement, as a general rule, we can get an immediate release of the bank levy freeze that very day. But remember all the documentation must be there.
It is critical that you have all documentation to support your financial statement along with having copies of your last pay stubs last 3 to 6 months worth of bank statements.
It should be known that the Internal Revenue Service does not wish to levy but has no choice because the taxpayers did not respond to the bills and notices sent to the last known address.
Very Important information to get a Release of a IRS Bank Levy for Tax Relief
 

The Law on the Holding Period on the IRS Bank Levy.

 
 
A bank must wait 21 calendar days after a levy is served before sending payment. Then, on the next business day, it must turn over the taxpayer’s money. This includes holiday time.
The depositor(s) can waive this waiting period. The bank will not send money that is subject to attachment or execution under judicial process.
A “Bank” includes credit unions, savings and loan associations, trust companies, and others described in IRC 408(n) and Treas. Reg. §301.6332–3(b).
During the IRS holding period, a IRS bank levy might be released, or the amount owed could decrease.
If the bank receives no IRS release, it must send the payment after the holding period.
The Bank Liaison Information for the IRS Bank Levy
The holding period was created to settle disputes about ownership of bank accounts before money is sent. You would be surprised on how many time the bank errors and sends the money on the wrong taxpayer.
IRS will assign a bank liaison in each territory to settle these issues.
Sometimes ownership is not settled before the holding period ends. If this happens, ask the bank for more time.
 
 

 For Multiple Signature Authority on Bank Accounts for Bank Levies

 
 
A levy served to a bank attaches to funds in a bank account for which the taxpayer has an unrestricted right to withdraw funds (signature authority) even if multiple persons have signature authority for that bank account.
As noted in Treasury Regulation 301.6332–1(c)(4) the unrestricted right to withdraw funds is an interest which is subject to levy.
 
 

Which Amounts Must be Surrendered by the IRS Bank Levy

 
The bank or Financial institutions must send the amount in the taxpayer’s accounts.
A bank levy attaches to any property or rights to property that belong to the taxpayer or on which there is a Federal tax lien, unless it is exempt. See IRC 6331, Levy and Distraint , for legal authority to levy.
However, it must send no more than the amount shown on the notice of levy.
By law, banks cannot immediately honor the IRS levy.
 

Important Information

 
 

  • The notice of levy only reaches the amount on deposit when the levy is received.
  •   Money deposited later is not surrendered, including deposits during the holding period.
  • Another levy must be served to reach this money. Also, the levy only reaches deposits that have cleared and are available for the taxpayer to withdraw.
  • Levy proceeds must not be reduced by any fee charged by the bank for processing the levy.

 
 

How will the IRS Credit a Bank Levy Payment or a Wage Garnishment

 
 
IRS will credit the bank levy  or Wage garnishment payment on the date it is received.
They will credit the money in the most advantageous way to the government.
Generally, apply the money to the oldest assessment first.
The taxpayer can not designate how the money is applied because this is not a voluntary payment.
 
 

Rules for Income Deposited in a Bank Account on a Bank Levy

 
 
Part of taxpayer’s income is exempt from levy.
Once income is deposited in a bank, there is no exempt amount.
On the other hand, unlike a levy on wages and salary, a bank levy is not continuous.
When an entire paycheck is deposited, an economic hardship may exist because all of the money is levied. If this happens, release the levy in whole or in part, as appropriate, to avoid creating an economic hardship.
 
 

The IRS Economic Hardship to get your Bank Levy Release Immediately

 
 
Under IRM 5.11.2.2.1.4, Economic Hardship Provisions the IRS may determine to release of levy is required due to economic hardship.
A levy is required to be released when the Service determines the levy is creating an economic hardship, i.e., the levy will cause the individual to be unable to pay their reasonable necessary living expenses.
If a taxpayer cannot pay their current bills and they are living within their means, that is to say they are living within the national and regional standards as set forth by the IRS, they can be qualified as an economic tax hardship and be placed in the currently noncollectable file.
When that can be proven to the Internal Revenue Service the IRS will issue an immediate release of the bank levy freeze or wage garnishment.
If you feel you are going through our current economic tax hardship contact us today with the current financial statement we can let you know whether you are qualified to be put in a non-collectible status with the Internal Revenue Service.
 
 

What about Mortgage Escrow Accounts?

 
 
Banks or financial statements generally require a portion of property taxes and insurance to be paid with each mortgage payment.
This  money is held in escrow until the tax and insurance are paid. As long as the taxpayer can not withdraw money in these accounts, a levy can not reach it.
Sometimes the account is overpaid.
The taxpayer may have the option to get this refunded.
A levy can reach this.
Also, when property is sold, there may be escrow money that will be refunded to the taxpayer. A levy can reach this, too.
 

Bank Levy IRS for Information on Schools’ Bank Accounts

 
 
Bank accounts may be levied to collect taxes that colleges, universities, and other schools owe.
These schools’ accounts may include money belonging to the Department of Education (ED).
ED gives money to some schools for student aid. This is not the school’s money.
 
Contact us today and speak directly to tax attorneys, certified public accountants, or former IRS agents and managers. We are A+ rated by the Better Business Bureau or better in practice since 1982. All initial consultations are free of charge.
 
 

Get Fast Results – IRS Bank  Levy & Wage Garnishments – Former IRS Managers/Agents

 
 

OWE IRS – Here are Your Options – Payment Plans, Hardships, Tax Settlements – Former IRS

by | May 10, 2013 | Back Taxes


 

OWE IRS – Here are your options – Payment Plans, Hardships, Tax Settlements – Former IRS  1-866-700-1040

 
If you owe the IRS and wish to explore closing your case off the IRS enforcement action contact us today.
We are tax experts in solving problems when taxpayers over the IRS. You will generally find there are three options of closing your case with the Internal Revenue Service.
We can discuss the various options which include payment or installment agreements, IRS tax hardships or the IRS tax debt settlement call the offer in compromise.(these are the main options)
If you owe the IRS, most of the tax solutions and options available to you will greatly depend on your current financial condition.
In many cases, the IRS will require a 433F which is their version of a financial statement. You can find that form on our website and you must be prepared to have that form fully documented and verified so the Internal Revenue Service can review your current financial situation.
 
 

Wish to Make a IRS Payment Plans, Installment Agreements

 
 
You can make monthly payments through an installment agreement if you’re not financially able to pay your tax debt immediately.
However, you will reduce or eliminate the amount of penalties and interest you pay and avoid the fee associated with setting up an installment agreement if you pay your tax bill in full. If you have reasonable cause you can look to abate or eliminate penalties and interest should they exist. You can find a great penalty abatement strategies on our website.
 
 

Before you apply for a payment plan or a installment agreement:

 

  • File all required tax returns;
  • Consider other sources (loan or credit card) to pay your tax debt in full to save money;
  • Determine the largest monthly payment you can make ($25 minimum); and
  • Know that your future refunds will be applied to your tax debt until it is paid in full.

 
 

Fees for setting up an installment agreement:

 
a. $52 for a direct debit agreement;
b. $105 for a standard agreement or payroll deduction agreement; or
c. $43 if your income is below a certain level.
 

Understand your Payment Plan Agreement, avoid default

 
To keep your account in good standing:
1. Pay at least your minimum monthly payment when it’s due (direct debit or payroll deductions make this easy);
2. Include your name, address, SSN, daytime phone number, tax year and return type on your payment;
3. File all required tax returns on time;
4. Pay all taxes you owe in full and on time (contact us to change your existing agreement if you cannot);
5. Continue to make all scheduled payments even if we apply your refund to your account balance; and
6. Ensure your statement is sent to the correct address, contact us if you move or complete and mail Form 8822, Change of Address (PDF).
If you don’t receive your statement, send your payment to the address listed in your agreement.
 

There may be a reinstatement fee on defaulted Payment Plans

 
There may be a reinstatement fee if your agreement goes into default.
Penalties and interest continue to accrue until your balance is paid in full. If you are in danger of defaulting on your payment agreement for any reason, contact the IRS immediately.
 

 IRS Tax Hardships, Currently non-collectible

 
After the Internal Revenue Service reviews your current financial statement you may be able to apply for an IRS tax hardship which is called currently not collectible.
After a careful review of your financial statement (433F) the Internal Revenue Service may find you have more expenses than income and you meet the necessary living expenses as well as the national and regional tests. Before you can make any rational decisions on your case you must understand the national and regional standard programs.
You can find those necessary living expenses on our website.
If IRS so chooses to place your case in a tax hardship that will usually stay in that program for two or three years until you have the necessary income to start making payments or to make a tax settlement.
You can find out if you qualify for IRS tax hardship by scanning or faxing over your financial statement.
We will review your financial statement and within five minutes let you know if you qualify for tax hardship treatment.
 

IRS Tax Settlements

 
IRS receives 58,000 offers in compromise every year and accepts approximately  25%. Offers in compromise take anywhere from 6 to 9 months to work by the Internal Revenue Service.
An IRS tax settlement is called an offer in compromise.
This is a very complex process and should never be tried by taxpayers with no experience in attempting to settle their case with Internal Revenue Service.
Being a former IRS agent in teaching instructor very few taxpayers can do this on their own with any success. To help taxpayers at reach out to us you will find an IRS pre-qualifier on our website to find out whether you can qualify for IRS tax settlement.
We will not work any cases for IRS tax settlement unless a taxpayer is a fully qualified and has filled out the IRS pre-qualifier tool.
Do not give your money to any tax firm promising you that they can get an accepted offer in compromise.
If a firm promises you is that  let me a apprise  you right now your probably speaking to a sales agent at that firm because no tax professional can make that claim.
Please keep in mind I was a former IRS agent in a instructor for 10 years and taught the IRS tax debt settlement program called the offer in compromise.
Contact us today and speak directly to tax attorneys, certified public accountants, or former IRS agents, managers and tax instructors.
We are A+ rated by the Better Business Bureau and in private practice since 1982. All first-time tax consultations are free of charge.
 
 

OWE IRS – Here are Your Options – Payment Plans, Hardships, Tax Settlements – Former IRS