by steve | Mar 29, 2011 | IRS Tax Advice, Tax News
Affordable Fresh Start Tax LLC
A Professional Tax Firm specializing in immediate IRS Tax Relief of payroll/trust fund taxes Since 1982 Former IRS Agents
We are a professional tax firm specializing in immediate and permanent tax relief.
We are former IRS Agents and Managers who have worked thousands of payroll tax cases.
We have worked for the IRS for over 60 years and we have taught IRS Tax Law to IRS Agents and other tax professional. We are the real deal.
We are one of the oldest, most trusted and experienced professional tax firms when it comes to IRS Tax Relief. We are veteran IRS Tax Experts.
If you owe IRS payroll taxes and want to stay in business, you need to think about hiring a professional tax firm.
How Fresh Start Tax LLC successfully will work payroll tax 941 cases and get you the results you need:
Being former IRS Agents and Managers, we know exactly what the IRS is looking for in order to successfully resolve your payroll tax case.
1. We review all necessary payroll tax records and get a good understanding of the nature of the problem.
2. We contact the IRS by sending them a power of attorney so the IRS can only speak to us.
3. We make sure you get current on your payroll tax deposits and that all tax returns have been filed. The IRS will not work with any business that is behind on tax returns or deposits.
4. We prepare all financial documents that the IRS will need to work and close your tax case.
5. We work out a settlement payment with the IRS. One you can pay and not be too stretched.
6. We also advise you on moving forward and do a careful analysis to make sure you will be successful in the upcoming months and years in regards to keeping current with the IRS.
Do your homework before hiring a Professional Tax Firm. Make sure they have on staff Board Certified Tax Attorneys, Lawyers, CPAs, Former IRS Agents and Managers.
Also, check the following to ensure the creditability and history of the Tax Firm.
1. Better Business Bureau – www.bbb.org/us/Find-Business-Reviews
2. Complaints.com – www.complaintsboard.com
3. Rip Off Report – http://www.ripoffreport.com/
by steve | Mar 29, 2011 | IRS Tax Advice, Tax News
There are so many IRS tax relief companies to chose from. How do you pick the right Professional Tax Firm to get you the results you need?
Understanding the writer of the article owns a tax resolution, tax relief company but has warns for those looking to hire a tax firm.I tell you this because we get so many people who have been ripped off.
Alarming as well, the big 3 companies have so many AG complaints against them, it is ruining the industry.
Here are some rules to follow:
1. IRS hates large tax resolution companies. There are many good people and knowledgeable persons working for these tax firms however the reputation of these large companies is sickening.
2. Check BBB ratings. You would be crazy to hire a tax resolution company with doing some due diligence. Take some extra time and hire an “A” Rated company. Testimonials are misleading, do not base your hire on them what so ever.
3. Be careful of splash pages. Many Internet marketing companies run splash pages. These sites are strictly set up for lead generation. The consumer will fill out information and a company calls you back. If the site is not detailed and does not have the names of the professionals listed on the site, your contact information is being sold to a third party. You never know just who is calling you back. That person just bought your information.
4. Check on the history of the tax firm. Be very careful of a new firm. What has happened in the last couple of years is a little alarming. After the demise of the real estate market, credit and loan industry, many sales people left those markets and went to the new thing, the IRS tax vertical. These people know absolutely nothing about tax. They have set up shops. While a few have hired good professional persons to help and work the business, most will be here today and gone tomorrow. Check on the professional history of the owners.
5. If the company pushes Offers in Compromise be very careful. Few tax debts are settled via the Offer in Compromise. Typically 12,000 a year nation wide are settled by the IRS. Some of these companies make you believe a settlement is right around the cormet and the truth is there is absolutely no way. There is a true advantage to hiring x-IRS people. They know there business.
Use caution, use your common sense and if it sounds to good to be true, it is!!!
by steve | Mar 29, 2011 | IRS Tax Advice, Tax News
The IRS and their “audit techniques.” What you should expect !!!!
Most taxpayers walk into an IRS audit having no clue about what to expect.
It is a hornet’s nest they are getting themselves into.
Being a former IRS agent, I would love the taxpayer who has no clue about what was going on because you can have your way with them. Today, it would not be wise to walk into an IRS audit situation unless you are absolutely sure there are no problems with your return.
If you know that to be a fact, you can boldly walk into the IRS office fearing nothing and you do not need a professional whatsoever. However, if you think there is a problem, pay the money because it is your saving in the end.
A smart professional can avoid penalties and interest and having the IRS pick up others years. Think through your situation.
As the IRS process starts….
The first thing the IRS agent will do is an analytical test. It is a review of the tax return, balance sheets and canceled checks. The agent takes a common sense approach into all available evidence. Secondly, the IRS agent will look at all documentation to help determine and substantiate items claimed on the tax return.
The Agent will next interview the taxpayer or third parties that may be able to shed more light on the subject audit. The IRS agent will physically inspect the taxpayers assets, inventory or securities.
The agent will observe the business by taking a tour and the owner’s reaction to statements and claims throughout the whole process. Lastly, the IRS agent starts the testing process of all books and records to make sure the tax return is true and correct.
Interviews: Authority and Purpose of the Internal Revenue Service
Internal Revenue Code Section 7602 authorizes the Secretary or a delegate to examine books and records and to take testimony under oath.
Oral testimony is a significant factor in resolving tax cases. Oral testimony can be taken at the discretion of the IRS agent. the IRS will always send out an initial tax letter usually stating the tax items under examination.
Who does the Interview?
Internal Revenue Code Section 7521(c) states that an examiner cannot require a taxpayer to accompany an authorized representative to an examination interview in the absence of an administrative summons. do not let the IRS Agent bully you in this. Hold your ground. Let your tax representative handle the tax audit.
However, the taxpayer’s voluntary presence at the interview can be requested through the representative as a means to expedite the examination process.
If the IRS agent can get the taxpayer by themselves the agent will have a field day. Representatives are a key to shielding off problems.
The Power of Attorney and the possible bypass of the “power”
When a taxpayer obtains representation, a valid power of attorney, the examiner will ensure that the authorization, Form 2848, Power of Attorney , or Form 8821, Tax Information Authorization , or a similar privately designed form, is properly executed. Service personnel are prohibited from disclosing tax information of a confidential nature to any unauthorized person. A POA must be in the hands of the IRS before they will speak to any third party.
Practice before the Service is restricted to persons recognized or qualified under provisions of Circular No. 230. The IRS will not let anyone not authorized to appear on behalf of the taxpayer. If the taxpayer’s representative impedes or delays the examination by failing to promptly submit the taxpayer’s records or information requested by the examiner, failing to keep scheduled appointments, or failing to return telephone calls and written correspondence, the examiner may initiate procedures to bypass the representative and deal directly with the taxpayer or the business owner.
Where to Conduct Interviews
The time and place of interviews will be set by the IRS agent as long as they are reasonably scheduled.
Office examinations will be conducted at the Internal Revenue Service office closest to the location of the taxpayer.
Field examinations are conducted at the taxpayer’s residence or place of business, or where the taxpayer’s books and records are kept. It also can be held a the representative’s office.
Requests to Tape Record Interviews
Internal Revenue Code addresses audio recording of interviews.
Taxpayers may request to tape record an interview proceeding as long as “10 calendar days” advance notice of intent to record is provided to the Service. The taxpayer must supply his own recording equipment. The Service has the right to simultaneously produce its own recording and has the right to reschedule the interview if the Service does not or will not have equipment in place. This is rare, but happens many times on taxpayer protesters.
All participants, both IRS and the taxpayer must consent to the recording of the interview.
All recorded interviews will contain the following information:
1. The date, time, and place of the interview,
2. The taxpayer’s name and social security number or business ID number
3.Identification of all participants on the recording, along with a statement of each participant’s respective role in the proceedings
4. The purpose of the proceeding
5. The tax year or years under examination or audit
6.A clear description of written documentation provided in support of the issues
At the conclusion, a statement indicating the total recording time for the interview and that the interview has been completed and the recording is ended.
Types of IRS Interviews
Initial Interviews. The initial interview is to be held as soon as possible after the IRS agent opens a case.
Subsequent Interviews. Subsequent interviews with the taxpayer should be held if and only if:
The taxpayer does not provide all the information that the IRS requested;
More detailed explanations are needed;
A review of the IRS agent’s examination progress is needed. The review should address information provided to date as well as outstanding information needed to complete the audit.
Closing Interviews. Closing interviews should be held to go over any proposed adjustments, and a signed agreement should be obtained.
Interview Techniques used by the Internal Revenue Service Audit Agent
Interviews provide information about the taxpayer’s financial history, business operations, and books and records that are not available from other sources. Interviews should be used to obtain information needed to make informed judgments about the scope and depth of the examination and correctly resolve issues or look into other possible issues. Interviews are used to obtain leads, develop information, establish evidence and to find out the credibility of the information that the taxpayer is providing.
It is important to create an environment where the taxpayer feels comfortable. Examiners should maintain a friendly and professional demeanor. Suggestions for establishing rapport include:
The IRS Agent should introduce themselves and give the taxpayer or representative their ID or badge number;
The IRS Agent should always explain what will happen during the examination or audit;
The IRS Agent should be prepared to explain return selection procedures, rights to representation, and appeal rights. Very rarely does the IRS Agent explain the return selection process. The IRS Agent should recognize that an IRS audit is often a once-in-a lifetime experience for the taxpayer and therefore the taxpayer may be tense or nervous. This is never the case. The taxpayer is always worried to death.
The IRS Agent should exhibit openness, honesty and be calm and objective as possible. This is not a time of emotion.
The IRS Agent should always be prompt and courteous.
IRS can conduct at the place of business. Authority to Conduct Tours of Business Sites
” Regulation 301.7605–1(d)(3)(iii)” states: where an examination takes place, the Service may visit the taxpayer’s place of business or residence to establish facts that can only be established by direct visit, such as inventory or asset verification. The Service generally will visit for these purposes on a normal workday of the Service during the Service’s normal tour of duty hours.”
The IRS may do an inspection of a Taxpayer’s Residence, but their use is very limited.
The IRS Agent may consider inspecting the taxpayer’s residence. Due to privacy issues and the intrusiveness of such inspections, their use should be limited. The purpose of inspecting the taxpayer’s residence includes (but is not limited to):
Determining the validity of deductions for an office or business located in the residence.
Determining the taxpayer’s financial status.
I would always have your professional representative there, review the walk through before the IRA agent arrives, make it a short, sweet and fast walk through. This rarely happens though.
Tours of Business Sites
The physical observation of the taxpayer’s operation, or tour of business site, is an integral part of the examination process. In viewing the taxpayer’s facilities and observing business activities is an opportunity to:
Acquire an overview of the business operation;
Get a feel for the business and the ownership;
Observe and test internal and external controls;
Clarify information obtained through interviews.
Cash Businesses
Many small businesses that deal almost exclusively in cash are likely to have few internal controls. Practically all income is received in cash. No independent third parties review the operation. Many expenses are paid in cash and documentation for transactions is often lacking. The IRS can and will pull industry standards and similar business records from research in the past.
The IRS has audited millions of cash businesses in the past. The IRS is trained to look for fraud and deceit. Caution should be used by all business owners in this situation and you should always have a trained professional representation.
Should you have any question regarding IRS TAX MATTERS, call us at FRESH START TAX 866-700-1040. We have tax attorneys, CPA’S, former IRS Agents ready to serve your professional needs
by steve | Mar 29, 2011 | IRS Tax Advice, Tax News
Affordable Fresh Start Tax LLC “A” Plus Rated by the Better Business Bureau
A Professional Tax Firm
IRS Tax Experts in IRS representation in Immediate and Permanent Tax Relief Since 1982
Being former IRS Agents, Managers and teaching instructors we know all the tax strategies to get you immediate tax help and tax relief. We have worked for IRS for over 25 years at the local, district and regional levels. We have taught tax law at the IRS for over 60 years.
Hire one of the oldest, trusted and experienced tax firms.
Our tax firm specializes in the following:
- Immediate IRS Tax Representation
- Offers in Compromise/ Tax Settlements/Debt Settlements
- Immediate Release of Bank Garnishments or Wage Levies
- IRS Bill/Notice of “Intent to Levy” or Final Notices
- Dealing with IRS Certified Mail
- IRS Tax Audits, Large, Small Dollar
- Hardships Cases / Unable to pay at this time
- Payment Plans, Installment Agreements/Streamline Payments
- Innocent Spouse Relief
- Abatement of Penalties and Interest
- State Sales Tax Cases
- Payroll/ Trust Fund Penalty Cases/ 6672
- Non-filers, never filed, old and past due tax returns
If you are going to spend money to resolve your problem chose the right professional tax firm.
Do your homework before hiring a Professional Tax Firm. Make sure they have on staff Board Certified Tax Attorneys, Lawyers, CPAs, Former IRS Agents and Managers.
Also, check the following to ensure the creditability and history of the Tax Firm.
1. Better Business Bureau – www.bbb.org/us/Find-Business-Reviews
2. Complaints.com – www.complaintsboard.com
3. Rip Off Report – http://www.ripoffreport.com/
by steve | Mar 29, 2011 | IRS Tax Advice, Tax News
Affordable Fresh Start Tax LLC A Professional Tax Firm
IRS Tax Experts We are “A “Plus Rated by the Better Business Bureau. Since 1982
On staff are former IRS Agents, Managers and former IRS Tax Instructors.
We can get immediate releases of the federal tax levy, both wage garnishments and bank levies.
We have worked for IRS for over 60 years. Let all that experience work for you. We are the best!
If you have received a federal tax levy you must call the IRS with a definitive plan on how you want to rectify you case.
Being former IRS Agents we know all the required tax strategies to get you the best results.
How Fresh Start Tax LLC can get immediate releases of Notices of Wage Levy and Bank Garnishment Levies . We have released thousands of levies in our 38 years.
As former IRS Agents, Managers and Instructors we have issued thousands of IRS Wage/Garnishment and Bank Levies.
We know exactly how to quickly get them released. We have what it takes.
1. We immediately send a power of attorney to the IRS letting them know we are now your representative. You will never have to speak to them.
2. We will make sure all your tax returns are filed and current. If your tax returns are not up to date, the IRS will refuse to work your case. This is leverage that they use to get you compliant. We can pull tax transcripts, file and prepare your tax returns within days, even if you have lost your tax records.
3. The IRS requires a current financial statement. We will secure a required 433-F (IRS financial statement), verify the income and expenses and work out a settlement agreement. The IRS will require a closing settlement method for each case.
4. We review with our clients how they want to settle their case. We get them an agreement based on their current financial needs.
Settlement agreements can be in different forms:
a. Hardship Settlements. Cases usually go into a 3 year suspended status because of an inability to pay. This is also called currently noncollectable. Your case will go into a hardship status because you do not have the income coming in to meet your current expenses. The IRS will use the National Standards Program to assess hardship.
b. Payment Agreements. Cases can be closed with agreed upon monthly installment payments to the IRS. We will review the different programs the IRS uses for the lowest possible amount required.
c. Offer in Compromise. There are three types of OICs:
The IRS may accept an Offer in Compromise based on three grounds:
1. Doubt as to Collectibility – Doubt exists that the taxpayer could ever pay the full amount of tax liability owed within the remainder of the statutory period for collection.
2. Doubt as to Liability – A legitimate doubt exists that the assessed tax liability is correct. Possible reasons to submit a doubt as to liability offer include:
(1) the examiner made a mistake interpreting the law,
(2) the examiner failed to consider the taxpayer’s evidence or
(3) the taxpayer has new evidence.
3. Effective Tax Administration – There is no doubt that the tax is correct and there is potential to collect the full amount of the tax owed, but an exceptional circumstance exists that would allow the IRS to consider an OIC. To be eligible for compromise on this basis, a taxpayer must demonstrate that the collection of the tax would create an economic hardship or would be unfair and inequitable.
Call us today for a free tax consultation
by steve | Mar 28, 2011 | IRS Tax Advice, Tax News
I am a former IRS Agent and Former IRS Instructor.
We have discharged thousands of federal tax liens over my 28 years of practicing tax law. Most taxpayers are unaware of a procedure called the Application of Discharge of the Federal Tax Lien.
Do you have Federal Tax Lien on your home? You can still sell your home.!!!
Most people feel that since they have a federal tax lien on their home they cannot sell their home. The good news, you can sell your home and IRS will work with you to help the sale go through.
Keep in mind, if you have an equity in the property, that equity goes to IRS at closing. If you have no equity, IRS will still accept and approve the discharge with proper documentation.
The process works like this:
1. Pull up IRS pub 783, application of discharge of the federal tax lien.
2. Read the instructions and start gathering the information the form/ pub requests of you.
3. You will need things like the sales contract, the closing statement, the appraisal ( find the rest on the pub )
4. Fill out IRS form 14135, Application of Discharge of the Federal Tax Lien
5. You should submit the application of discharge at least 45 days prior to the time of closing.
6. Follow up on the submission of the packaging to find out who is working the case at IRS to make sure the agent is on top of the situation.
7. IRS will contact you after the package is processed.
8. You truly should hire a Professional Tax firm who knows there way and the right numbers to call.
What happens after the sale goes through.
The property is sold free and clear of the federal tax lien. IRS will release the federal tax lien on that piece of property only. They will issue a release of the federal tax lien on that piece of property only. The original federal tax lien stays in place .
You still owe IRS the balance and they will still try to collect through other sources.
