Tax Resolution Blog

A taxpayer who falls behind on their payments to the IRS owes more than back taxes. Interest and penalties pile up, adding to their debt. Frightened and overwhelmed, clients often turn to a CPA, Enrolled Agent, or other tax resolution specialist for help. The IRS offers First Time Abatements to reduce the load, but securing one is difficult, and success rates are low. In 2019, only 12% of Failure to File (FTF) and Failure to Pay (FTP) abatement applications were accepted, along with only 9% of requests to abate other individual penalties. You’ll need skill, savvy, and a great First Time Penalty Abatement letter to secure approval for your next tax resolution client. We have everything you need and a

For many CPAs, Enrolled Agents, and other tax professionals, the first part of the year is synonymous with long hours, tight deadlines, and a significant strain on resources. We’ve got good news for you: There’s a better way. The experts at IRS Solutions® are here with innovative strategies and practical solutions to help you thrive throughout the tax season, transforming it from a period of high stress and workload into a time of increased revenue, efficiency, and client satisfaction. Whether you’re a seasoned professional or new to the field, this guide will show you how to improve the tax busy season and turn it into an opportunity for growth. The Stress of Tax Season Most tax pros clock 40 to

People often complain that they should not file an Offer in Compromise for a client because the acceptance rate is only 36%. This percentage rate has been consistent for years (+/- 5%). So that leads many tax pros to question, “What are the chances of getting my client OIC accepted”?   The Offer in Compromise acceptance rate by the IRS depends on several factors. It is challenging to provide an exact probability of acceptance without knowing the specific details of your financial situation and tax liabilities. However, I can give you some general information on the factors that the IRS considers when evaluating OIC applications and how you can improve your chances.     Offer in Compromise Acceptance Rate: What

Dealing with the IRS in any capacity can be a distressing experience, especially for someone without specialized knowledge. The process of IRS collections is notably one of the most intimidating and stressful aspects. When you fall behind on your tax obligations, it initiates a sequence of events, commencing with the accrual of interest and penalties and potentially culminating in IRS enforcement actions. The IRS has a 10-year window to collect a debt before the statute of limitations runs out. During that period the agency vigorously pursues what it is owed. In FY 2022, the IRS collected over $98.4 billion in unpaid assessments on returns filed with additional tax due. That same year, the IRS received an $80B influx through the

Mastery over the tools of the trade is paramount for anyone working in the specialized, complex area of tax resolution. For expert tax professionals, this means cultivating an awareness of the many IRS forms available and knowing when and how to deploy them with precision. The right IRS form can be the linchpin to a successful resolution, saving clients from prolonged disputes and financial strain. A grasp of two forms, in particular, is critical – IRS Form 9465 and IRS Form 433. This article offers an in-depth exploration of these forms, tailored for emerging and experienced tax professionals. IRS Form 433: The Financial Microscope The primary role of IRS Form 433, the Collection Information Statement for Wage Earners and Self-Employed

The Internal Revenue Service publishes over 800 forms and schedules. Professionals know that navigating the complex world of tax forms can be a daunting task. Confusion often arises from understanding the differences between IRS Form 8821 vs IRS Form 2848. These forms, while seemingly similar, serve distinct purposes. Each is appropriate in different scenarios. It’s essential to understand which form is best to use for your clients, particularly in tax resolution cases. Understanding the Differences Between IRS Form 8821 vs 2848 While both Form 8821 (Tax Information Authorization) and Form 2848 (Power of Attorney and Declaration of Representative) allow for the sharing of tax information, the key difference lies in the level of authority granted. Form 8821 allows for the sharing and