We are former IRS Agents, Managers and Instructors, having worked countless Offers in Compromise, Offers in Settlements, and Doubt as to Liability cases.
Listed are the major reasons why Offers do not get accepted.
Offers that do not meet this criteria will not be accepted
1. Make sure that all your tax returns are filed and up to date. If not, the IRS will not accept the Offer in Compromise.
2. In the year you are filing the Offer in Compromise, all your estimated tax payments or withholding tax must be up to date.
3. If you are going to owe tax the year you are filing the Offer in Compromise, do not file. Wait until the start of the next tax year and file the Offer. This way, you can include the current year with the Offer in Compromise.
4. Pull a transcript from the IRS to make sure all of your tax years are included in the Offer in Compromise. Should you fail to include any years you owe tax, the IRS will not accept your Offer.
5. Make sure your Form 433-A, financial statement, is complete on every line. The IRS will reject any Offer even if one line item is missing.
6. Provide all required financial documents to the IRS when filing the Offer in Compromise. The IRS will only accept Offers that are completely documented.
7. Make sure you understand the IRS’s objective before you file the Offer in Compromise to ensure you have requested the lowest possible settlement. Remember, the IRS is only interested in two main items, your total equity and your available income. They are not concerned about your debt.
8. Follow the Offer. The IRS will send you a series of letters telling you of it’s status. Once it reaches the Offer group, call the IRS agent working your case to get the quickest possible results.
9. Understand that the IRS will make several attempts to verify your Form 433-A, financial statement, by research. They will check the Internet, credit reports, the DMV and prior tax returns to confirm the information you provided is accurate. The IRS will conduct a thorough investigation.
10. If you choose to hire a professional company, make sure you deal directly with the individual working your case.
Fresh Start Tax is comprised of Former IRS Agents, Managers and Instructors. The staff also includes CPA’s, tax attorneys and former Managers with the Department of Revenue. Our company are experts in the field of tax and tax resolution.
We are licensed to practice in all 50 States. We are fast, affordable and put a premium on communication with our client.
Our firm has the highest rating given out by the Better Business Bureau. We have a combined 140 years Federal and State experience.
Offers in Compromise – How To Get Them Accepted, Former IRS Revenue Officer, Teaching Instructor
Need a guaranteed Streamline Payment from IRS? Call Fresh Start Tax at 1-866-700-1040. We can get you a payment plan today and stop all enforcement action. Streamline Agreements are guaranteed by the IRS, but taxpayers should use some caution before they start the process. You need to make sure all your returns are filed and your balance is under $25,000. Fresh Start Tax has a priority line we can call to IRS to ensureyour streamline agreement goes smooth. Here are some facts about streamline agreements: Streamlined Installment Agreements
Streamlined installment agreements may be approved for taxpayers under the following circumstances:
The aggregate unpaid balance of assessments is $25,000 or less. The unpaid balance of assessments includes tax, assessed penalty and interest, and all other assessments on the tax modules. It does not include accrued penalty and interest. If pre-assessed taxes are included, the pre-assessed liability plus the unpaid balance of assessments must be $25,000 or less.
The aggregate unpaid balance of assessments will be fully paid in 60 months, or the agreement will be fully paid prior to the statue being extended, whichever comes first.
Our firm is comprised of former IRS Agents, the best in the tax resolution business and have over 140 years of working IRS experience. We have the highest rating given out by the BBB.
We are an Affordable tax Firm specifying in IRS problems, since 1982.
Fresh Start Tax can get you the deal you need with the IRS. We have a combined 140 years dealing with the IRS by our Senior Staff.
Call us today to get the payment plan tailored for you individual needs.
There are various types if installment agreements offered by the IRS. One of those types of agreements will fit your needs. By contacting a tax professional, they can guide you through the entire process. Do-it- yourself’s, you can:
Taxpayers wishing to pay off a tax debt through an installment agreement.
$25,000 or less in combined tax, penalties, and interest can use the Online Payment Agreement (OPA) or call the number on the bill or notice (have the bill or notice available, along with the social security number.) A fill-in Request for Installment Agreement, Form 9465 (PDF), is available online that can be mailed to the address on the bill.
Note: If you recently filed your income tax return and owe tax but have NOT yet received a bill from the IRS, you can use the Online Payment Agreement to establish an installment agreement on current year returns.
To determine the information needed to establish a pre-assessed installment agreement, refer to What Information Do I Need to Use OPA?
If you owe more than $25,000 in combined tax, penalties and interest, you may still qualify for an installment agreement, but a Collection Information Statement, Form 433-F, may need to be completed. Call the number on the bill or mail the Request for Installment Agreement, Form 9465 and Form 433-F to the address on the bill.
Fresh Start Tax is comprised of Former IRS Agents, Managers and Instructors. The staff also includes CPA’s, Tax Attorneys and former Managers with the State Department of Revenue. Our company are experts in the field of tax and tax resolution.
We are licensed to practice in all 50 States. We are fast, affordable and put a premium on communication with our client. Our firm has the highest rating given out by the Better Business Bureau.
WHAT HAPPENS WHEN IRS FILES A SUBSTITUTE FOR TAX RETURN??? Call 1-866-700-1040
You can file for a reconsideration hearing immediately
You can take immediate action by firing back a correct tax returns to the IRS Fresno Campus. The process is very simple but professional help is necessary to make sure the process goes smoothly.
So what will happen to me if I don’t file a return?
The IRS can and will file a substitute return for you. Also call an SRF. But this return is based only on information the IRS has from other sources. Those sources are generally 1099’s or w-2’s that IRS has on file. Thus, if the IRS prepares this substitute return, it will not include any additional exemptions or expenses you may be entitled to and may overstate your real tax liability.
Once the tax is assessed the IRS will start the collection process, which can include placing a levy on wages or bank accounts or filing a federal tax lien against your property.
Even if the IRS has already filed a substitute return, it still makes sense for you to file your own return to make sure you take advantage of all the exemptions, credits, and deductions you are allowed. The IRS will generally adjust your account to reflect the correct figures.
Call Fresh Start Tax. We have former IRS Agents on staff and have the highest rating given by the BBB. We can work any settlement you may need.
WHAT HAPPENS WHEN IRS FILES A SUBSTITUTE FOR TAX RETURN??? Call 1-866-700-1040
You can file for a reconsideration hearing immediately
You can take immediate action by firing back a correct tax returns to the IRS Fresno Campus. The process is very simple but professional help is necessary to make sure the process goes smoothly. So what will happen to me if I don’t file a return?
The IRS can and will file a substitute return for you. Also call an SRF. But this return is based only on information the IRS has from other sources. Those sources are generally 1099’s or w-2’s that IRS has on file. Thus, if the IRS prepares this substitute return, it will not include any additional exemptions or expenses you may be entitled to and may overstate your real tax liability.
Once the tax is assessed the IRS will start the collection process, which can include placing a levy on wages or bank accounts or filing a federal tax lien against your property.
Even if the IRS has already filed a substitute return, it still makes sense for you to file your own return to make sure you take advantage of all the exemptions, credits, and deductions you are allowed. The IRS will generally adjust your account to reflect the correct figures. Call Fresh Start Tax. We have former IRS Agents on staff and have the highest rating given by the BBB. We can work any settlement you may need.
Generally, 10 years. I am a former IRS agent and teaching instructor. I can review your case file with you to determine the period of time. Since 1982.
To find out the official period of time that is left on your statute you will need to pull an IRS tax transcript, we can help with the process and evaluate the transcript and let you know your official statutory time left that IRS has has to collect back taxes.
The Internal Revenue Service has a statute of limitations based on the amount of time in length that IRS has to collect a back tax debt.
The Internal Revenue Service cannot voluntarily extend the statute of limitation on their own, conditions must exist.
The general rule, there is a ten-year statute of limitations on IRS collections. For 90% of all taxpayers the tenure statute of limitation of 10 years will probably be the rule of thumb.
The main the exceptions to the rule that extend the statute of limitations you will find below.
We have over 65 years of professional IRS work experience and are experts in determining the dates of assessment and the point in time in which IRS will forgive a tax debt. This 10 year period begins from the date of the assessment.
What is THE IRS DATE OF ASSESSMENT It is important to know the date of assessment begins when the IRS accepts your tax return in prices that on their computerized system.
Technically, the assessment is the statutorily required recording of the tax liability.
Assessment is made by recording the taxpayer’s name, address, and tax liability.
The assessment date is the 23C date or 150 date. You can find of those on your tax transcripts. We are experts in reading tax transcripts and establishing your legal date of assessment.
The 23C date is the Monday on which the recording of assessment and other adjustments are made in summary manner on Form 23C and signed by a Service Center officer.
As a general rule it can be anywhere from five days to six weeks from the day you actually filed your tax return. A lot is dependent whether you e-file or send it in manually by snail mail to the Internal Revenue Service.
To find out what your date of assessment is it will be necessary to pull an IRS transcript to officially verify the date. without an official IRS tax transcript is impossible to determine
Your assessment date. as clients a fresh start tax we can provide all this necessary information to you and help determine the official date of assessment to find out if the statute of limitations has expired on your IRS tax debt.
Exceptions to the ten-year statute of limitations rule apply. You need to check.
Bankruptcy
The CSED, in a case under the Bankruptcy Code, is suspended while the Service is prohibited by reason of the case from collecting, and for six months thereafter.
Judgment/Litigation
Per IRC 6502(a), a court action brought against the taxpayer prior to the expiration of the collection statute extends the period to collect until the tax liability or judgment against the taxpayer is satisfied or becomes unenforceable.
Suit to Reduce Assessments to Judgment
In order for a suit to reduce the assessments to judgment and suspend the collection period, it must be filed prior to the CSED. The filing of a suit will suspend the collection statute during litigation
Collection Due Process (CDP)
The CSED is suspended from the date the Service receives a timely filed request for a CDP hearing to the date the taxpayer withdraws their request for a CDP hearing or the date the determination from Appeals becomes final, including any court appeals.
If 90 days is not remaining on the statute of limitations when the determination becomes final, the statute of limitations is extended to equal 90 days.
The collection statute is not extended for equivalency hearings.
Offer In Compromise
For offers pending prior to January 1, 2000, the CSED extension was affected by Treasury Regulation § 301.7122–1(f) (1960). Under this regulation the practice of the Service generally was to obtain from the taxpayer a waiver of the CSED for the period the offer in compromise was pending, while any installment of an accepted offer remained unpaid, and for one additional year thereafter.
For offers pending prior to January 1, 2000, a waiver of the CSED cannot extend the CSED beyond either December 31, 2002, or the original CSED, whichever is later, pursuant to section 3461(c)(2) of the IRS Restructuring and Reform Act of 1998 (RRA 98).
For offers pending on or made after December 31, 1999, suspensions of the running of the CSED in the offer in compromise context are governed by statute, specifically by IRC 6331(k)(1) and (3).
Under these provisions, the Service is prohibited from levying, and the CSED is suspended
While an offer is pending with the Service,
For 30 days immediately following rejection of the offer, and
For the period that a timely filed appeal of a rejection is being considered in Appeals.
CSED extensions for the period of time “while any installment remains unpaid” and “for one additional year thereafter” are eliminated.
Installment Agreements – Partial Payment Installment Agreements With Form 900, Tax Collection Waiver
Form 900, Tax Collection Waiver, is only executed in connection with the granting a partial payment installment agreement and only in certain situations.
Waiver Procedures for Partial Payment Installment Agreements. IRS policy dictates that a Form 900 be limited to no more than five years, plus up to one year to account for changes in the agreement. Note: Prior to July 2005, IRS policy permitted CSED extensions in conjunction with all installment agreements.
Effective March 9, 2002, the CSED is suspended during:
The time the proposed installment agreement is pending,
Thirty days following the rejection of a proposed installment agreement,
Thirty days following termination of an installment agreement, and,
Any appeal of the termination or rejection of the installment agreement.
Note:
This change is not retroactive. The suspension of the running of the collection statute is during the time that a levy is prohibited. The CSED is not suspended while an installment agreement is in effect.
Relief From Joint And Several Liability On Joint Returns/Innocent Spouse
Collection by levy or a proceeding in court against a spouse is suspended for the requesting spouse when he or she makes a qualifying request under IRC 6015(b), and/or IRC 6015(c).
Collection is suspended for claims filed under IRC 6015(f) if the liability was unpaid as of December 20, 2006, or the liability did not arise until after December 20, 2006. For more information see IRM 25.15.1.8, Statute of Limitations on Collection.
The collection period is suspended from the filing of the claim until the earlier of the date a waiver is filed, or until the expiration of the 90 day period for petitioning the Tax Court, or if a Tax Court petition is filed, when the Tax Court decision becomes final, plus, in each instance, 60 days.
If a request for relief is made in response to collection due process procedures, there is also suspension of collection activity and the collection period provided for by IRC 6330(e) for the period during which any administrative hearings, and appeals therein, regarding the levy are pending.
The rules for suspension under IRC 6330 differ from IRC 6015.
In general, the latest suspension of collection and the collection period should control, which may require analyzing the suspension under both IRC 6015 and IRC 6330 where relief from joint and several liability is requested as part of an IRC 6330 hearing.
If the requesting spouse signs a waiver of the restrictions on collection, the suspension of the period of limitations on collection against the requesting spouse will terminate 60 days after the waiver is filed with the Service, limiting the CSED extension to the period from when the claim was filed to the time the waiver was signed, plus 60 days.
A request for reconsideration is not a qualified request for relief for purposes of Treasury Regulation §1.6015-1(h)(5), and does not trigger the restrictions on collection pursuant to section 6015(e)(1)(B) or the suspension of the collection period of limitation under section 6015(e)(2).
Taxpayer Living Outside the U.S.
The period of limitations on collection after assessment is suspended while the taxpayer is outside the United States if the absence is for a continuous period of at least six months per IRC 6503(c) .
To make certain that the Government has an opportunity to collect the tax after the taxpayer’s return, the period does not expire (where the taxpayer has been out of the country for six months or more) until six months after the taxpayer’s return to the country.
As the application of this provision can result in the CSED being suspended for a very long time, policies for the administration of this code section are now established. Call us today for a free initial tax consultation we will be able to pull your transcripts and determine the length of time that IRS has to collect your back tax debt.
