Tax Controversies

The Statute of Limitations for Collection, is a time limit, on the Internal Revenue Service (“IRS”), in which to collect delinquent taxes, from the taxpayer, for a particular tax year. In general, the IRS has ten (10) years, after the date of assessment, in which to collect.  This ten (10) year deadline is referred to as the Collection Statute Expiration Date (“CSED”). …

If the taxpayer has delinquent Indiana taxes, then the Indiana Department of Revenue (“IN-DOR”) shall issue a Demand for Payment (“AR-40”).  The taxpayer has twenty (20) days, from the date, of the AR-40, to full pay the delinquent taxes or to show reasonable cause for not paying. If, after the twenty (20) day time period, the taxpayer fails to pay…

A Certificate of Release of Federal Tax Lien (“Release”) is a public notice that indicates that the tax liability is no longer owed.  However, the Release does not remove reference to the filing, of the corresponding Notice of Federal Tax Lien (“NFTL”), from the public record.  Consequently, even though the tax liability has been resolved and the Release has been obtained, a third (3rd) party…

If the Indiana Department of Revenue (“IN-DOR”) reasonably believes that the taxpayer has not reported the proper amount of tax due, then, based on the best information available, it shall make a proposed assessment, of the amount, of the unpaid tax, and issue a Notice of Proposed Assessment (“AR-80”). The taxpayer may challenge the AR-80, by filing a written protest (“Protest”),…

As soon as practicable after a tax return is filed, the Illinois Department of Revenue (“IL-DOR”) shall examine the tax return to determine the correct amount of tax.  If the IL-DOR  finds that the amount of tax shown on the tax return is less than the correct amount, then a Notice of Deficiency (“NOD”), which shall set forth the amount…