| Hiring Representation | | | | expense information is supplied to your attorney, he or |
| At first glance, hiring representation may seem like it | | | | she will then present it to the IRS in the light most |
| will only delay tax relief. It is just another layer between | | | | favorable to your case. This is the same process that |
| you and your goal – either tax debt resolution or | | | | is used for all forms of IRS tax debt resolution – |
| IRS collection relief. In reality, having a knowledgeable | | | | such as Offer in Compromise, Installment Agreement, |
| attorney serve on your side may make the end result | | | | and Currently Not Collectible status – and is also |
| better for you. In case you did not know, the IRS has | | | | used to end IRS collections. |
| very specific rules and regulations that they must abide | | | | Negotiation with the IRS |
| by when resolving back taxes or releasing levies, liens, | | | | You and your attorney quickly gathered your financial |
| and garnishments of taxpayers. A competent attorney | | | | information and have submitted it to the IRS. You are |
| will know these IRS guidelines, and the best way to try | | | | now hoping for a quick response from the IRS to |
| to get you the tax relief you are seeking. | | | | resolve your tax debt problem. Unfortunately, a |
| | | | common misconception is that once your attorney |
| Power of Attorney | | | | contacts the IRS and submits your financial information |
| If you decide to hire an attorney to help resolve your | | | | that IRS collections will immediately end and/or your |
| IRS tax problem, the first thing you will need to do is | | | | back tax issue will be immediately resolved. In fact, that |
| authorize the attorney to discuss your personal tax | | | | rarely occurs – the IRS does not make decisions |
| matter with the IRS. This can be accomplished by | | | | that quickly. Regardless of the type of resolution you |
| completing IRS Form 2848 and filing it with the IRS. | | | | are seeking, the IRS takes time to review your case |
| Without an active Power of Attorney on file with the | | | | and the evidence presented. The main goal of the IRS |
| IRS, the IRS will refuse to discuss your case with | | | | is to collect the debt owed and, consequently, it can |
| anyone, but you. The power of attorney requirement is | | | | take time for them to determine whether they can |
| a safeguard for you, because it prevents unauthorized | | | | collect the debt owed more profitably via another |
| individuals from discussing your personal tax matters | | | | method – i.e. continued collections. It can take the |
| with the IRS. Completing and filing the IRS form is easy. | | | | IRS anywhere from 2-6 weeks to respond for an |
| However, sometimes there is difficulty in the IRS | | | | Installment Agreement or Currently Not Collectible |
| processing the form. Sometimes, it can take weeks | | | | Status and up to 3 months for an Offer in |
| for the IRS to process. However, this delay can | | | | Compromise. Oftentimes, the IRS will request updated |
| oftentimes be overcome by having your attorney file | | | | financial information and documentation to verify that |
| the Power of Attorney at the same time that he or | | | | income has stayed the same. If the IRS believes that it |
| she enters into negotiations with the IRS. | | | | they can collect more from a taxpayer than what |
| Evidence & Documentation | | | | was submitted, the IRS may delay the case and seek |
| Before requesting tax relief from the IRS, you and | | | | additional information or reject it. |
| your attorney will need to collect and review your | | | | Two of the most important things to remember when |
| current financial information. You will also need to | | | | seeking IRS tax relief is that you must remain patient |
| provide your attorney with documentation that | | | | and must play by the IRS’s rules. Because the IRS |
| substantiates the financial information you | | | | provides options that are beneficial to the taxpayer, |
| communicated to him/her. The documentation may | | | | they have established a very strict set of standards |
| include paycheck stubs, current bank statements, and | | | | and regulations that dictate the available forms of tax |
| proof of payment for your mandatory expenses. | | | | relief for a taxpayer. The IRS has established these |
| After you send these documents to your attorney, | | | | regulations in order to ensure that these benefits are |
| they will be reviewed and analyzed before contact is | | | | not abused. |
| made with the IRS. Once necessary income and | | | | |