We can prepare all unfiled payroll taxes and settle your case all at the same time. We are the affordable professional tax firm, since 1982.

With or without records we can prepare back payroll or individual Tax returns.

As former IRS agents we have prepared many back tax returns when few records are available.We know the system inside and out.

We have over 65 years of direct IRS work experience in the local, district, and regional tax offices of the Internal Revenue Service.

We have worked as managers, supervisors and teaching instructors.

Unfiled Back Payroll Tax Returns

Payroll taxes are a concern for Internal Revenue Service because these taxes are actually trust fund taxes, that is, a company holds these taxes for the benefit of the government.

When these taxes are not paid a red flag is raised and IRS makes every possible effort to collect these payroll taxes and go after the responsible individuals whose job it was to collect and turn over these back taxes.

IRS we use every avenue of enforced collections to do so. I should know, I am a former revenue officer who used to work these cases and I know the very best tax defense.

We can go ahead and file all your unfiled payroll tax returns and settle your debt all at the same time.

It is critical that you understand that you do not want IRS the filed your tax return for you.

Under 6020 B of the Internal Revenue Code, the IRS has the right to prepare your back payroll tax returns if you do not voluntarily file them. this will be nothing but trouble for you.

IRS can set up a personal assessment against you and collect the tax as though you owe individual income taxes. Yes you can be held personally responsible for the back payroll taxes. You can be subject to tax levies and tax liens.

Personal Responsibility for Payroll Taxes, BEWARE.

If the IRS has found you a responsible person for the trust fund penalty, call us today for free initial tax consultation and we will walk you through the process of resolving this tax at once and for all.

As former IRS agents we set up trust fund penalties against responsible persons for corporations or businesses that owed back payroll taxes.

If a company can no longer pay their back payroll taxes, the Internal Revenue Service has the right under 6672 to set up the trust fund debt against those who are held responsible. This is called the trust fund penalty.

 Who can be Responsible for the Trust Fund Taxes, code section 6672. Can it Be You?

The usual suspects found liable by IRS are usually those that were:

• An officer or an employee of a corporation;
• A member or employee of a partnership;
• A corporate director or shareholder or member;
• A member of a board of trustees of a nonprofit organization, or anyone deemed to be responsible;
• Other persons with authority and who had control over funds to direct their disbursement;
• Those who willfully and with full knowledge chose not to pay the payroll tax liability.

You’ll know if you are one of these persons because you will receive IRS form 2751 & 1153 indicating a proposed notice of assessment against you.

There are various options available. As soon as we review your case we can instantly tell you ways to help resolve your problem.

Being former IRS agents and managers we know every possible solution to remedy this tax debt. We can resolve and possibly reduce your tax obligation.

There are various options you have for tax relief:

The basic options include:

1. trust fund appeals, the possibility of an offer in compromise, doubt to liability,

2.hardships, or currently not collectible,

3. payments plan, and

4. the offer in compromise, if you are a qualified and suitable candidate.

5. bankruptcy is another option.

The Process of Getting IRS Tax Debt Relief on Trust Fund Tax Debt

We need to look to find out if you were truly responsible under 6672 of the IRS code. many time IRS ram rods these penalties to people who truly were not responsible for trust fund taxes.

I’ve work so many cases and being a former IRS agent IRS just tries to set these penalties up against everybody and many people do not have proper representation to fight IRS.

We will carefully review your case to find out if you were truly responsible for the trust fund penalty.

We will conduct a review to find out if there is any way that we can appeal for change the assessment of this trust fund tax.

If we feel we would’ve beat this assessment through the appellate process we can go ahead and file an offer in compromise as to doubt as to liability and appeal this assessment.

If you are responsible for the tax, IRS will take a current financial statement and make a determination based on the collectibility of the tax.

How the Internal Revenue Service will work your case if you owe back payroll  IRS tax debt.

IRS will require a 433A or 433F, an individual financial statement.

Many times the IRS uses 433F, depending were the cases in the system. Cases worked in the ACS system uses shorter version of the financial statement.

If the case is worked in the local office the revenue officer will use form 433.A

That financial statement will need to be fully documented along with bank statements, copies of checks and monthly expenses.

We will walk you through the process of how the IRS will work your case in the collection action that can possibly taken.

Will also review with you the IRS national standards program on all cases for those who owe back taxes.

Once IRS reviews your current financial statement they will make a determination and  generally put you in one of two categories with the option of filing an offer in compromise.

IRS has the option to:

1.IRS determines on 40% of the cases that taxpayers are put into hardship which means they can’t pay the tax at this time. Sometimes it is called currently not collectible. Cases that are placed at currently not collectible or hardship stay in there for a period of 2 to 3 years and come back out to the field at a later time.

2. 6.5 million people enter monthly payment plans and pay a certain amount based on their current documented financial statement.

Other taxpayers file an offer in compromise to settle their case for pennies on the dollar. The offer in compromise requires a lot of skill and expertise to have accepted by the Internal Revenue Service.

What is an offer in compromise? OIC

It is an agreement between a taxpayer and the Internal Revenue Service that settles the taxpayer’s tax liabilities for less than the full amount owed.

Taxpayers who can fully pay the liabilities through an installment agreement or other means, will not be eligible for a OIC in most cases.

in order to be eligible for a OIC, the taxpayer must have filed all tax returns, made all required estimated tax payments for the current year and made all required federal tax deposits for the current quarter if the taxpayer is a business owner with employees.

In most cases, the IRS will not accept a OIC unless the amount offered by a taxpayer is equal to or greater than the reasonable collection potential (the RCP).

The RCP is how the IRS measures the taxpayer’s ability to pay. The RCP includes the value that can be realized from the taxpayer’s assets, such as real property, automobiles, bank accounts, and other property.

In addition to property, the RCP also includes anticipated future income less certain amounts allowed for basic living expenses.

The IRS may accept a OIC based on three grounds:

1•  First, the IRS can accept a compromise if there is doubt as to liability. A compromise meets this only when there is a genuine dispute as to the existence or amount of the correct tax debt under the law.

2•  Second, the IRS can accept a compromise if there is doubt that the amount owed is fully collectible. Doubt as to collectibility exists in any case where the taxpayer’s assets and income are less than the full amount of the tax liability.

3• Third,  the IRS can accept a compromise based on effective tax administration. An offer may be accepted based on effective tax administration when there is no doubt that the tax is legally owed and that the full amount owed can be collected, but requiring payment in full would either create an economic hardship or would be unfair and inequitable because of exceptional circumstances.

When submitting a OIC based on doubt as to collectibility or based on

effective tax administration, taxpayers must use the most current version of:

1. Form 656, Offer in Compromise, and also submit Form 433-A (OIC), Collection Information Statement for Wage Earners and Self-Employed Individuals, and/or,

2. Form 433-B (OIC), Collection Information Statement for Businesses. A taxpayer submitting a OIC based on doubt as to liability must file a Form 656-L (PDF), Offer in Compromise (Doubt as to Liability), instead of Form 656 and Form 433-A (OIC) and/or Form 433-B (OIC).

Form 656 and referenced collection information statements are available in the Offer in Compromise Booklet, Form 656-B (PDF).

In general, a taxpayer must submit a $186 application fee with the Form 656. Do not combine this fee with any other tax payments.

However, there are two exceptions to this requirement:

• First, no application fee is required if the OIC is based on doubt as to liability.

• Second, the fee is not required if the taxpayer is an individual (not a corporation, partnership, or other entity) who qualifies for the low-income exception.

This exception applies if the taxpayer’s total monthly income falls at or below 250 percent of the poverty guidelines published by the Department of Health and Human Services. Section 4 of Form 656 contains the Low Income Certification guidelines to assist taxpayers in determining whether they qualify for the low-income exception.

A taxpayer who claims the low-income exception must complete section 4 of Form 656 and check the certification box.

Options: Taxpayers may choose to pay the offer amount in a lump sum or in installment payments.

A “lump sum cash offer” is defined as an offer payable in 5 or fewer installments within 5 or fewer months after the offer is accepted. If a taxpayer submits a lump sum cash offer, the taxpayer must include with the Form 656 a nonrefundable payment equal to 20 percent of the offer amount.

This payment is required in addition to the $186 application fee.

The 20 percent payment is “nonrefundable” meaning it will not be returned to the taxpayer even if the offer is rejected or returned to the taxpayer without acceptance.

Instead, the 20 percent payment will be applied to the taxpayer’s tax liability. The taxpayer has a right to specify the particular tax liability to which the IRS will apply the 20 percent payment.

An offer is called a “periodic payment offer” under the tax law if it is payable in 6 or more monthly installments and within 24 months after the offer is accepted.

When submitting a periodic payment offer, the taxpayer must include the first proposed installment payment along with the Form 656.

This payment is required in addition to the $186 application fee.

This amount is nonrefundable, just like the 20 percent payment required for a lump sum cash offer.

Also, while the IRS is evaluating a periodic payment offer, the taxpayer must continue to make the installment payments provided for under the terms of the offer.

These amounts are applied to the tax liabilities and the taxpayer has a right to specify the particular tax liabilities to which the periodic payments will be applied.

Upon acceptance of a OIC, the taxpayer may no longer designate offer payments to any specific tax liability covered in the offer agreement.

Ordinarily, the statutory time within which the IRS may engage in collection activities is suspended during the period that the OIC is under consideration, and is further suspended if the OIC is rejected by the IRS and where the taxpayer appeals the rejection to the IRS Office of Appeals within 30 days from the date of the notice of rejection.

If the IRS accepts the taxpayer’s offer, the IRS expects that the taxpayer will have no further delinquencies and will fully comply with the tax laws.

The offer in compromise requires a lot of skill because reviewed by several layers of Internal Revenue Service. I should know, I am former IRS agent and teaching instructor of the offer in compromise.

When IRS works an offer in compromise the agent working the case as a general rule will spend at least 20 to 30 hours of working time from start to finish on a completed offer.

If you have on unfiled payroll tax returns, call us today for free initial tax consultation.

We can file your unfiled tax returns and workout tax settlement all at the same time.

Unfiled Payroll Tax Returns, 941+ File, Settle Payroll Tax Debt