tag:blogger.com,1999:blog-5318082859763132149.post729443562867132426..comments2023-07-09T01:07:11.837-07:00Comments on IRS Tax Attorney: www.irstaxattorney.comhttp://www.blogger.com/profile/00198580464865979644noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-5318082859763132149.post-2698020986498379202007-08-20T15:05:00.000-07:002007-08-20T15:05:00.000-07:00The newest changes to the OIC statute are reflecte...The newest changes to the OIC statute are reflected below and includes the filing of frivolous Offers in Compromise<BR/><BR/><BR/>7122(f) DEEMED ACCEPTANCE OF OFFER NOT REJECTED WITHIN CERTAIN PERIOD. --Any offer-in-compromise submitted under this section shall be deemed to be accepted by the Secretary if such offer is not rejected by the Secretary before the date which is 24 months after the date of the submission of such offer. For purposes of the preceding sentence, any period during which any tax liability which is the subject of such offer-in-compromise is in dispute in any judicial proceeding shall not be taken into account in determining the expiration of the 24-month period.<BR/><BR/><BR/><BR/> Caution: Code Sec. 7122(f)[(g)], below, as added by P.L. 109-432, applies to submissions made and issues raised after the date on which the Secretary first prescribes a list under Code Sec. 6702(c). <BR/><BR/>7122(f)[(g)] FRIVOLOUS SUBMISSIONS, ETC. --Notwithstanding any other provision of this section, if the Secretary determines that any portion of an application for an offer-in-compromise or installment agreement submitted under this section or section 6159 meets the requirement of clause (i) or (ii) of section 6702(b)(2)(A), then the Secretary may treat such portion as if it were never submitted and such portion shall not be subject to any further administrative or judicial review.www.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.comtag:blogger.com,1999:blog-5318082859763132149.post-75065545939602469252007-08-20T10:01:00.000-07:002007-08-20T10:01:00.000-07:00If you received a letter notifying you that your o...If you received a letter notifying you that your offer was rejected you have 30 days to request an appeal of the decision. You can request an Appeals conference by either preparing Form 13711, Request for Appeal of Offer in Compromise or preparing a separate letter with the following information.<BR/><BR/>Name, address, SSN, and daytime telephone number <BR/>A statement that you want to appeal the IRS findings to the Appeals office <BR/>A copy of the letter <BR/>Tax period or years involved <BR/>A list of the specific items you don't agree with and a statement of why you don't agree with each item <BR/>Any additional information you want Appeals to consider <BR/>The facts supporting your position on any issue that you do not agree with <BR/>The law or authority, if any, on which you are relying <BR/>Sign the written protest, stating this it is true under the penalties of perjury <BR/>For more information please refer to Form 656, Offer in Compromise.www.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.comtag:blogger.com,1999:blog-5318082859763132149.post-2041559944643883262007-08-20T09:36:00.000-07:002007-08-20T09:36:00.000-07:00Taxpayers are expected to pay the entire amount of...Taxpayers are expected to pay the entire amount offered in as short a time as possible. Acceptable offer terms are determined by the offer investigator and are not limited to the proposal of the taxpayer.<BR/><BR/>The amounts and due dates of payments must be specified on Form 656.<BR/><BR/>As a result of the Tax Increase Prevention and Reconciliation Act of 2005 (TIPRA), there are three types of payment terms the IRS and the taxpayer may agree to:<BR/><BR/>Lump sum cash offer – An offer in which the offer amount must be paid in five or fewer installments upon written notice of acceptance. Twenty percent of the total amount of the offer must be paid with the Form 656, Offer in Compromise. If the installments will be paid in five months or less, the taxpayer should offer the realizable value of his assets plus the total that could be collected over 48 months of payments (or the remainder of the statutory period for collection, whichever is less). If the installment payments will be paid in more than five months, the taxpayer should offer the realizable value of his assets plus the total that could be collected over 60 months of payments (or the remainder of the statutory period for collection, whichever is less). <BR/>Note: Realizable value is defined as the quick sale value (amount that a taxpayer could reasonably expect from the sale of an asset if sold quickly, typically in 90 days or less) minus what the taxpayer owes to a secured creditor. The creditor must have priority over a filed Notice of Federal Tax Lien before the IRS will allow a subtraction from the asset’s value.<BR/><BR/>Short Term Periodic Payment Offer – An offer in which the taxpayer must submit the first payment with the offer and must continue to make regular payments during the offer investigation. The offer amount must be paid within 24 months from the date the IRS receives Form 656, Offer in Compromise. The offer amount must reflect the taxpayer’s realizable value of assets plus the amount that could be collected over 60 months of payments (or the remainder of the statutory period of collection, whichever is less). Failure to make the regular payments during the offer investigation would cause the offer to be withdrawn.<BR/>Deferred Periodic Payment Offer – An offer in which the amount must be paid over the remaining statutory period for collecting the tax. As with the short term periodic payment offer, the taxpayer must submit the first payment along with Form 656, Offer in Compromise and must continue to make regular payments during the offer investigation. The offer amount must reflect the taxpayer’s realizable value on assets plus the amount that could be collected through monthly payments during the remaining life of the collection statute. Failure to make the regular payments during the offer investigation will cause the offer to be withdrawn.<BR/>Taxpayers may designate in writing how the IRS should apply the offer payments (e.g. lump sum cash, short term, deferred periodic) by specifying the type of tax, period or year, penalty, and interest due. Without a written designation request, the IRS will apply the payments in the best interest of the government. The $150 application fee reduces the assessed tax or other amounts due and cannot be designated by the taxpayer.<BR/><BR/>All offer payments (e.g. lump sum, short term, deferred periodic) are considered “payments on tax” and are not refundable deposits regardless of whether the IRS declares the offer not processable or later returns, rejects, withdraws, or terminates the offer as a result of its investigation. When this happens, the IRS will apply the payment(s) to the taxpayer’s outstanding tax liability.www.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.comtag:blogger.com,1999:blog-5318082859763132149.post-50371329380931224352007-08-20T08:54:00.000-07:002007-08-20T08:54:00.000-07:00http://www.irs.gov/pub/irs-pdf/f656.pdfThe URS als...http://www.irs.gov/pub/irs-pdf/f656.pdf<BR/><BR/>The URS also includes Form 433A for individuals and Form 433B for businesseswww.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.comtag:blogger.com,1999:blog-5318082859763132149.post-77253149815524338072007-08-20T08:52:00.000-07:002007-08-20T08:52:00.000-07:00The url for the new Form 656 ishttp://www.irs.gov/...The url for the new Form 656 is<BR/>http://www.irs.gov/pub/irs-pdf/f656.pdfwww.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.comtag:blogger.com,1999:blog-5318082859763132149.post-80411879435990193322007-08-20T08:49:00.000-07:002007-08-20T08:49:00.000-07:00To make sure that you have not make an offer great...To make sure that you have not make an offer greater than necessary to settle your tax debt, you can get a free consultation at 703.425.1400 by a tax attorney.www.irstaxattorney.comhttps://www.blogger.com/profile/00198580464865979644noreply@blogger.com