Taxpayers should be aware that Congress has just added a new tax penalty to the existing 140+ tax penalties. This new tax penalty is called the frivolous submissions penalty.
Essentially this penalty allows the IRS to assess a $5,000 fee against a taxpayer who submits a frivolous submission to the IRS. A frivolous submission is any offer in compromise, installment agreement, collection due process hearing, or taxpayer assistance order request submitted with the intent to delay processing of cases.
Taxpayers should be particularly wary of this penalty because the statute gives the IRS the authority to determine if the penalty is to apply. Thus, the IRS could deem any submission to be frivolous.
Congress did build in an escape for taxpayers in that the IRS can only impose the penalty after the IRS sends written notice to the taxpayer that the submission was frivolous and the taxpayer does not withdraw the submission within 30 days.
This new penalty has not received a lot of publicity, so there is a good chance that it may catch a number of taxpayers off guard. This is especially true for taxpayers who are actively working with the IRS to resolve their IRS tax troubles.
The IRS will not be able to impose this new penalty on taxpayers, until the IRS releases instructions as to what types of "submissions" will automatically be deemed "frivolous." We can expect this IRS list to be out in the very near future.
Taxpayers should contact a tax attorney immediately if they receive notice that the IRS has deemed a submission to be frivolous.
Monday, June 16, 2008
IRS Tax Help
IRS tax help refers to the free tax help offered by IRS. It is considered as the easiest way to get tax help. Every tax year, Americans shell out $7.5 billion to get help from tax professionals to prepare their tax returns. IRS tax help is meant for those people who find it difficult to calculate the complex tax entries. Many IRS offices in the United States offer walk-in tax help for technical or tax questions about various tax forms and tax returns. This helps the common people to ask the IRS officials and clear any doubts regarding tax preparation or tax deductions.
IRS tax help was introduced with the aim to assist people to accurately prepare their tax returns. IRS officials assist the taxpayers with payroll tax, sales tax, income tax, and employment tax problems. This has become a major advantage for the people as they can prepare their tax returns without the help of a tax advisor or tax preparation software. IRS also sponsors volunteer tax help programs such as community outreach tax education program, tax counseling for the elderly program, and volunteer income tax assistance program. These free programs held at various IRS offices provide a step-by-step help in preparing your tax returns.
IRS tax help officials can also suggest the amount of tax you need to pay to avoid being charged with tax evasion. They also assist you in applying for a refund in cases where you paid any excess tax.
Every year, many people benefit from the IRS tax help programs. Check the federal government listings in the telephone book to find out your nearest IRS office location. Here, you can take advantage of any of the IRS tax help programs to prepare your own tax returns without having to pay a tax advisor or tax professional.
IRS tax help was introduced with the aim to assist people to accurately prepare their tax returns. IRS officials assist the taxpayers with payroll tax, sales tax, income tax, and employment tax problems. This has become a major advantage for the people as they can prepare their tax returns without the help of a tax advisor or tax preparation software. IRS also sponsors volunteer tax help programs such as community outreach tax education program, tax counseling for the elderly program, and volunteer income tax assistance program. These free programs held at various IRS offices provide a step-by-step help in preparing your tax returns.
IRS tax help officials can also suggest the amount of tax you need to pay to avoid being charged with tax evasion. They also assist you in applying for a refund in cases where you paid any excess tax.
Every year, many people benefit from the IRS tax help programs. Check the federal government listings in the telephone book to find out your nearest IRS office location. Here, you can take advantage of any of the IRS tax help programs to prepare your own tax returns without having to pay a tax advisor or tax professional.
Sunday, June 15, 2008
Offer In Compromise Lawyers
Many offers in compromise requests are rejected by the IRS because of a poor representation of the case. Correct filling of the various forms is a prerequisite for filing an offer in compromise. The taxpayer usually does not possess the necessary skill or knowledge of the processes involved in offer in compromise. In such situations professional help come in handy.
If you are not well informed about tax law or IRS assessment and audit procedures, you are in danger of further difficulties with the taxes. Taxpayers are often exposed to IRS errors, mistreatment, and intimidation. People frequently pay more than their tax liability either as a result of wrong IRS proceedings, or because they do not seek the guidance of a competent and experienced tax practitioner.
An IRS tax lawyer helps you make successful offer in compromise settlements. He can also advise you on fraud audit examinations and tax lien removal. It is always advisable to seek the help of a tax lawyer for making installment agreements and payment plan negotiations. In addition, an IRS tax lawyer offers help in IRS tax levies, un-filed tax returns, penalty abatements, and IRS appeals and litigation.
An IRS tax attorney prepares offer in compromise forms such as form 656 and form 433A and form 433B (financial statement), so that the filing procedures become professional. He attaches a legal memorandum in all offer in compromise filings to ensure that the Internal Revenue Service follows the OIC statute and the offer regulations. This forces the IRS to follow tax policies and offer in compromise laws strictly and in accordance with legislative history. The tax lawyer in offer in compromise cases forces the IRS to follow all legal and administrative procedures. The tax layer requires a tax information authorization in form 8821 and a power of attorney in form 2848 to assist with your OIC.
If you are not well informed about tax law or IRS assessment and audit procedures, you are in danger of further difficulties with the taxes. Taxpayers are often exposed to IRS errors, mistreatment, and intimidation. People frequently pay more than their tax liability either as a result of wrong IRS proceedings, or because they do not seek the guidance of a competent and experienced tax practitioner.
An IRS tax lawyer helps you make successful offer in compromise settlements. He can also advise you on fraud audit examinations and tax lien removal. It is always advisable to seek the help of a tax lawyer for making installment agreements and payment plan negotiations. In addition, an IRS tax lawyer offers help in IRS tax levies, un-filed tax returns, penalty abatements, and IRS appeals and litigation.
An IRS tax attorney prepares offer in compromise forms such as form 656 and form 433A and form 433B (financial statement), so that the filing procedures become professional. He attaches a legal memorandum in all offer in compromise filings to ensure that the Internal Revenue Service follows the OIC statute and the offer regulations. This forces the IRS to follow tax policies and offer in compromise laws strictly and in accordance with legislative history. The tax lawyer in offer in compromise cases forces the IRS to follow all legal and administrative procedures. The tax layer requires a tax information authorization in form 8821 and a power of attorney in form 2848 to assist with your OIC.
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