5 Things You Should Know About the IRS

As a member of the Cincinnati Bar Association, it was exciting to see my article about solutions to today’s IRS collection problems as the cover story in March’s monthly bar journal.   
Here is a brief overview of the article - 5 Things You Should Know About the IRS:
(1)     The offer in compromise program is not as advertised on television.
(2)     IRS seizures of houses, personal [...]

IRS statute of limitations on collection: Be careful, these actions will extend it.

Tax problems do come to an end – the IRS has 10 years to collect a tax debt.  
But be careful:  The time the IRS has to collect can be unknowingly extended by you. 
The decisions you make in attempting to resolve your tax problem can impact when it ends.  As your collection statute gets closer to expiring, carefully think through the [...]

Five ways to lower the value of your offer in compromise

Being successful in an offer in compromise can depend on how much you know about IRS settlement guidelines.  An offer in compromise is a negotiation – you may have points to make with the IRS that only you can raise. 
Here are five pointers to lower the value of your offer in compromise: 
(1)      Make sure you claim property the IRS cannot take [...]

Offer in compromise: Avoiding an unseen IRS settlement cost

In today’s difficult economic times, every dollar counts.  An offer in compromise may help, but for many there is a hidden cost – lost tax refunds.  
Tax refunds increase the amount you pay to the IRS in an offer in compromise.   
Here’s why:  The terms of an offer in compromise requires the IRS to keep your tax refund for [...]

Ads for IRS problems: Be informed, get the facts

Pennies on the dollar!  Act now before its too late! The laws may change!
During first consultations, my clients often have questions about advertisements they have seen on television or heard on the radio about the IRS offer in compromise process.  Here is my response:
The IRS offer in compromise rejection rate is 75%. The IRS accepted only 11,000 offers [...]

IRS collections in troubled times

Everyday, I see how the IRS is responding to people hurt by the economy. The Journal of Tax Practice and Procedure asked me to write an article about it  - ”IRS Collections in Troubled Times.”
Current IRS enforcement is centered on recovering government money that was spent to stabilize the economy.  As a result, the IRS is [...]

IRS taking too long to decide your offer in compromise? After two years, its accepted.

The IRS is generally known to be prompt in processing offers in compromise.
But the IRS is also known for losing files and not processing claims. Sometimes, things get washed into the big bureacracy.
So, what if the IRS takes its time on your offer, or it slips through the cracks unattended without an answer?  Time can [...]

Offer in compromise: Think twice if the statute of limitations is almost up.

I often have clients who are very focused on an offer in compromise.  But before we plunge in, the first thing I do is check on how much longer the IRS has to collect the tax.
Here is why:
1.     An offer in compromise extends the timeframe the IRS has to collect by amount of [...]

I owe back taxes to the IRS. Now what? Part I of II

Every IRS problem has a solution.  Some solutions are quick.  Other workouts require more creativity, planning and patience.  When meeting with a client  - or during an initial telephone consultation – I like to discuss the following options and how each might fit in towards the ultimate goal of a fresh start:
1.   Offer [...]

Bankruptcy as leverage in an offer in compromise

On more than one occasion I have used the possibility of bankruptcy as leverage in reducing the value of a offer in compromise.  The possibility of bankruptcy can have a big impact on an IRS compromise. 
Here’s why:
1.     A Chapter 7 bankruptcy can “discharge” a tax liability.  
2.     Any taxes that could be discharged by a potential [...]

keep looking »