If you have received IRS letter 1153 DO contact us today to help fight the trust fund tax penalty assessments.
We are true experts for all IRS collection matters including trust fund penalty tax assessments.
We have over 65 years of direct IRS work experience in the local, district, and regional tax offices of the IRS.
We have worked hundreds upon hundreds of these cases both his former IRS agents and in private practice.
You can appeal this tax assessment by reading this blog.
Your receipt of the 1153DO notice starts the trust fund recovery assessment process and it must be followed up.
If IRS sets up this penalty against you collection processes will work as though you all individual taxes. If this assessment is made against you, IRS has the right to send out bank levies, wage garnishment levies and seize any property they feel they have a right to. It is important you answer all IRS correspondence and fight this decision is much as possible.
Taxpayer’s Response to Letter 1153(DO)
1. After Letter 1153(DO) and Form 2751, Proposed Assessment of Trust Fund Recovery Penalty, have been properly delivered, the responsible party has 60 days (75 if the letter was addressed outside of the United States) from the date of the mailing of the notice or the date of personal delivery to respond.
A protest is timely: if it is postmarked or mailed by certified or registered mail, so that the mailing date can be proven, on or before the 60th day (75th day if the letter was addressed outside of the United States) after the date the Letter 1153(DO) was mailed or personally delivered.
A private postage meter stamp is not evidence of when a request for appeal was mailed;it merely establishes when it was stamped. In determining the timeliness of the appeal, the guidelines in IRC 7503 should be followed which state in part:
When the last day prescribed under authority of the internal revenue laws for performing any act falls on Saturday, Sunday, or a legal holiday, the performance of such act shall be considered timely if it is performed on the next succeeding day which is not a Saturday, Sunday, or a legal holiday.
The Appeal Trust Fund System
Because people sometimes disagree on tax matters, the Service has an appeal system.
Most differences can be settled within this system without going to court.
Reasons for disagreeing must come within the scope of tax laws, however.
For example, an appeal of a case cannot be based only on moral, religious, political, constitutional, conscientious, or similar grounds.
A case may be taken directly to tax court if the taxpayer does not want to appeal within the IRS.
Appeal Within the IRS
The tax decision reached by the examiner may be appealed to a local appeals office, which is separate and independent of the IRS Office that conducted the examination.
An appeals office is the only level of appeal within the IRS. Conferences with appeals office personnel may be conducted in person, through correspondence, or by telephone with the taxpayer or its authorized representative
Instructions for requesting a conference with an appeals officer are provided in the letter of proposed tax adjustment.
In FSLG, the Letter 950 is generally used to propose adjustments to employment taxes. It states that to request a conference with an appeals officer, the taxpayer will need to file either a small case request or a formal written protest with the contact person named in the letter.
Whether you file a small case request or a formal written protest depends on several factors.
If a conference is requested the examiner will send the conference request letter to the appeals office to arrange for a conference at a convenient time and place.
The taxpayer or its qualified representative should be prepared to discuss all disputed issues at the conference.
Most differences are settled at this level.
Making a Small Case Request
A small case request is appropriate if the total amount of tax, penalties, and interest for each tax period involved is $25,000 or less.
If more than one tax period is involved and any tax period exceeds the $25,000 threshold, a formal written protest for all periods involved must be filed.
The total amount includes the proposed increase or decrease in tax and penalties or claimed refund.
To make a small case request, the instructions in the letter of proposed tax adjustment provide that the taxpayer should send a brief written statement requesting an appeals conference and indicate the changes with which it does not agree with and the reasons it does not agree with them.
Be sure to send the protest within the time limit specified in the letter you received, which is generally 30 days.
Filing a Formal Protest
When a formal protest is required, it should be sent within the time limit specified in the letter. The following should be provided in the protest:
• Taxpayer’s name and address, and a daytime telephone number.
• A statement that taxpayer wants to appeal the IRS findings to the Appeals Office.
• A copy of the letter proposed tax adjustment.
• The tax periods or years involved.
• A list of the changes that the taxpayer does not agree with, and reason for disagreement.
• The facts supporting the taxpayer’s position on any issue that it does not agree with.
• The law or authority, if any, on which the taxpayer is relying.
• The taxpayer must sign the written protest, stating that it is true, under the penalties of perjury as follows:
• “Under the penalties of perjury, I declare that I examined the facts stated in this protest, including any accompanying documents, and, to the best of my knowledge and belief, they are true, correct, and complete.”
If the taxpayer’s representative prepares and signs the protest for the taxpayer, he or she must substitute a declaration stating:
• That he or she submitted the protest and accompanying documents and;
• Whether he or she knows personally that the facts stated in the protest and accompanying documents are true and correct.
Call us today for free initial tax consultation and we will walk you through the process of filing an appeal for a trust fund recovery penalty.
