Anatomy Of A Tax Controversy
A Tax Controversy is merely a tax related dispute, between the individual or business taxpayer, and the Government. These tax disputes can involve a variety of issues, ranging from tax notices, audits, liens, and levies. These tax disputes can arise over filing status, the amount assessed and/or the amount owed. Within these broad categories, there are an unlimited number of factual variations that create the actual case and drive the ultimate outcome.
If you have delinquent Federal, Indiana, or Illinois taxes, then the most significant mistake that you can make is to ignore the problem and hope that you will be forgotten or that the problem will simply go away. However, the Internal Revenue Service (IRS), the Indiana Department of Revenue (INDOR), and the Illinois Department of Revenue (ILDOR) all have long memories, and the corresponding Tax Controversy will not just disappear. The IRS, the INDOR, and the ILDOR will all use every means possible to ensure compliance and to get paid. Consequently, it is not hard to understand that the worst creditor to have is still a loan shark because you risk physical harm if you don’t pay but the Government, whether it be the IRS, the INDOR, or the ILDOR, is the second (2nd) worst creditor to have.
When dealing with a Tax Controversy, it is imperative for taxpayers to be proactive and to seek out legal representation immediately. Doing so usually results in a less costly case resolution in terms of attorney fees and what is ultimately paid to the Government.
Joseph Pearman, Attorney at Law is here to help.
Navigating A Tax Controversy
In Indiana and Illinois, Tax Controversies tend to mirror those with the IRS but also differ due to less flexible State administrative remedies. The process, for resolving a Tax Controversy, generally follows the Federal framework. However, the more rigid State systems can sometimes make tax resolution a little more difficult with somewhat less favorable outcomes.
For purposes of a general understanding, it is best to focus, on the tax resolution process, with the IRS. Even the most convoluted and hopeless IRS Tax Controversy can be resolved via a variety of administrative remedies. The facts of the case will always determine the applicable and appropriate administrative remedy. Examples of some of the more common administrative remedies are: (i) Currently Not Collectible (CNC) — the IRS deems a taxpayer CNC when it is determined that the taxpayer is not worth the trouble to pursue]; (ii) Offer In Compromise (OIC) — an OIC is a contractual agreement, between the taxpayer and the IRS, that allows the taxpayer to pay an amount less than the amount owed and such payment is deemed to be payment in full]; and (iii) Installment Agreement (IA) — an IA is a negotiated monthly payment plan, between the taxpayer and the IRS, that usually full pays the amount due over time.
Attorney Pearman always strategizes a personalized fact sensitive plan, for each of his clients, as he implements a creative use, of the administrative remedies, to maximize the best resolution, for each of his clients.
Don’t Hide, Be Proactive
Ignoring an IRS Tax Controversy will trigger IRS Enforced Collection action — typically an IRS Notice of Federal Tax Lien (NFTL) and/or an IRS Notice of Levy (Levy). A NFTL encumbers the taxpayer’s property and makes it difficult or impossible to refinance or sell. A Levy seizes the taxpayer’s property — the most common targets being bank accounts and paychecks. IRS Enforced Collection action can also sometimes result in passport restrictions.
Don’t Delay. Call A Tax Controversy Attorney Today.
If you’re grappling with a Federal, Indiana, or Illinois Tax Controversy, the experienced attorney and tax consultants, at Joseph Pearman, Attorney At Law, can guide you through the complex administrative landscape to a successful tax resolution. Attorney Pearman is committed to protecting your assets and income by providing a vigorous legal defense.
Don’t go it alone – schedule a consultation by calling or completing the online form. Start tackling your tax problems, with attorney Pearman’s support, ensuring a tax resolution rooted in knowledge and trust.