Tax Relief Blog

The Tax Lady Roni Deutch and her Law Firm Settle Client Tax Problems of Over $8.7 Million in May

Posted 6/29/2009 9:36:44 AM

With the United States economy still in trouble, The Tax Lady Roni Deutch and her team of experienced attorneys are doubling their efforts to help struggling taxpayers. In the month of May, 2009 the Sacramento based law firm resolved the tax liabilities for a group of clients that owed the IRS over $8.7 million, in aggregate. The taxpayers each qualified for a different IRS settlement program, such as Offers in Compromise or placement on Currently Not Collectible status, but all had one thing in common – the inability to repay their current IRS tax liability in full.

Tax Resolution Law Firm Ends Collection Activity Against Clients Owing $4.4 Million to the IRS

Posted 6/29/2009 9:35:38 AM

In just one month (May of 2009) the tax resolution attorneys of Roni Lynn Deutch, A Professional Tax Corporation were able to end all IRS collection against a group of taxpayers collectively owing over $4.4 million. The lawyers were able to do so by negotiating placement on the IRS’ Currently Not Collectible status for the clients. To learn more about this settlement program, and to see if it might be the best option for you, check out the Currently Not Collectible page in our Services section .

Sacramento Attorney Provides Detailed Tax Review to Dozens of Taxpayers Across the Nation in May of 2009

Posted 6/29/2009 9:34:16 AM

During the month of May, Bret Adams – a tax resolution attorney for Roni Lynn Deutch, A Professional Tax Corporation – helped dozens of taxpayers confused about their IRS problems from across the country. The clients were located in dozens of cities across the country (including Las Vegas, Orlando, Richmond, etc.), but all had one thing in common: the need for specific information about the status of their account with the IRS. To learn more about our Tax Account Review service, check out this detailed description . Alternatively, to find out more about Bret Adams, you can visit our attorney profiles

How to Get a Federal Tax Lien Released

Posted 6/22/2009 1:57:19 PM

Having your name on a federal tax lien can be scary and intimidating, to say the least. Many taxpayers who receive lien notices feel cornered by the notice, and worry that they will never find a way out. However, an IRS tax lien is not a death certificate for your finances, and you have several options for getting it released.

Validate or Appeal
If the IRS has issued a lien against your property, then it is likely due to an IRS back tax liability. Essentially, there is no way to release the lien until the tax debt is resolved. There are a number of ways you can go about doing so, but before you even think about paying the debt, you will want to make absolutely sure that you owe the full amount they are citing you for. If the total amount is incorrect, or the lien was filed improperly, then you can appeal it. To appeal a federal tax lien, you can request a collection due process hearing with the office of appeals. If you lose your appeal, you still have 30 days to have your case reviewed for proper jurisdiction. However, if it turns out that the liability amount is correct, then you are going to need to resolve it to get the lien released.

Pay in Full
If you have the financial ability to pay off your IRS debt, without suffering in other financial aspects of your life, then it can be a great way to quickly and easily release your tax lien. However, determining the exact amount needed to fully pay off your tax debts can often be difficult.

Offer in Compromise
In some cases, the IRS will allow you to settle your debt through a reduced lump sum payment to the IRS. The program is known as an Offer in Compromise (OIC). In order to qualify for an OIC, you will need to prove to the IRS that you truly cannot afford to pay your all of your tax liability. However, unless you are trained on how this process works, you should hire a tax lawyer or a tax professional to negotiate with the IRS on your behalf. To learn more about Offers in Compromise check out our Services section.

Installment Agreement
If you cannot afford to make a one time payment to the IRS, then you can negotiate an Installment Agreement, which will allow you to pay back all or part of your tax liability to the IRS in monthly payments. Depending on how much you owe the IRS, you might qualify for a Streamlined Installment Agreement, which has an easier approval process. To find out more about this IRS program, check out our Installment Agreement page.

Unfortunately, the federal tax lien will not be released merely by entering into an Installment Agreement. Rather, the lien will remain in place until the tax debt is paid in full.

Bankruptcy
Bankruptcy should always be one of your last options to deal with a tax debt. Tax debts are not always discharged during bankruptcy, and having it discharged through bankruptcy will have a drastic negative impact on your credit. Before pursuing this option, you should always seek professional advice to assure filing for bankruptcy is, indeed the right, the best option for you.

Wait it Out
Some people may benefit from simply waiting out their lien. Since the collection statute of limitations expires after 10 years, you may be able to just wait for it to expire. However, this option can be dangerous, as the IRS will often find reasons to extend the statute of limitations on a tax liability. If you are seriously considering waiting for the statute of limitations to expire, then it is highly recommended that you speak to a professional who can assess your case.

Hire a Professional
If you need help settling your tax liabilities and are confused about the entire process of negotiating with the IRS, then you should seek help from a professional. Our tax lawyers have helped thousands of taxpayers with their IRS problems. To see if we can help you, check out our Contact Us page and request a free financial analysis.

Taxpayers on Social Security and Disability Insurance Reach Out to Roni Deutch for Help

Posted 6/8/2009 1:43:28 PM

Mr. and Mrs. Williams of Victoria, TX accumulated a decent tax debt due to an error on an income tax return. Unable to pay down the debt, the Williams called our office for placement on the IRS’s Currently Not Collectible status.

“We are very pleased with the way the Roni Deutch and her staff of attorneys handled our problems with the IRS,” claimed Mr. Williams. “There was a mistake on our 2004 tax return that resulted in $4,000 in unpaid back taxes. However, the debt grew to $8,000 because of interest and penalties. The IRS even put a lien on our house and property. After we hired Roni Deutch to represent us, her staff was quick to set-up a payment plan that we could afford. I am on disability and my wife’s only income is from Social Security benefits. We are on a very limited income, and needed help desperately.”

“We were in communication with the law firm throughout the process” continued Mr. Williams. “Our representatives kept us well informed through written correspondence and phone calls. We thank everyone who worked on our case. Each person we spoke with was very professional and friendly. My wife and I are very grateful and would recommend Ms. Deutch’s law firm to anyone who needs help with tax problems.”

“Mr. and Mrs. Williams were very easy to work with,” recalls Matthew Johnson, the attorney who represented the Williams. “They really were model clients. We received all of the documents we requested in a timely manner, and they appeared to be very cordial and understanding whenever we requested information.”

“I spoke to the Williams to inform them that their case had been approved for placement on Currently Not Collectible status, continued Johnson. “When I called, they were very thankful and seemed delighted that we were able to help.”

Happy Client Claims Our Law Firm Was “Phenomenal”

Posted 6/8/2009 1:42:49 PM

From Ms. Bell of Wagener, SC:

“Roni Deutch and her team of attorneys have been amazing. My dealings with everyone at the law firm were phenomenal. The results have also been great. I would like to thank you for your helpful service and will refer everyone I know.”

Taxpayer From Louisiana Knew our Attorneys Were on His Side

Posted 6/8/2009 1:42:27 PM

From Mr. King of Geismar, LA:

“I want to say thank you very much for the time you spent working on my case. Your help has meant so much to me. Although I was a little slow sending correspondence back, every one at your law firm was very prompt and helpful. I knew they wanted to help resolve my case, and I would recommend them to anyone needing help with IRS tax problems.”

After Meeting with a Competitor, Minnesota Taxpayer Decides to Hire The Tax Lady

Posted 6/8/2009 1:42:03 PM

Mr. Connell of Champlin, MN had been trying to resolve his tax debts for years before reaching out to our law firm for help. At one point, he had hired a competitor, but was quickly disappointed in their services.

“They not only dropped the ball, they buried it in the mud,” recalls Mr. Connell. “After waiting on hold for 55 minutes and voicing my displeasure, I was rudely told that it was an 800 number so I wasn’t paying for the call. They did not even care about the time I had wasted waiting on hold.”

“During a face-to-face meeting with a representative, I was told never to deal with a law firm like Ms. Deutch’s, as you can only ever talk to someone on the phone,” continued Mr. Connell. “However, even with in-person meetings, the other company’s service was very poor.”

After unsuccessfully dealing with the competitor, Mr. Connell called our law firm and began the process of resolving his IRS back tax liabilities.

“Mr. Connell retained our firm to negotiate an Installment Agreement with the IRS,” notes attorney Ryan Carrere. “As we were preparing the case for negotiation, Mr. Connell’s financial circumstances changed for the worse. After reviewing the option of Currently Not Collectible with Mr. Connell, he agreed that it was his best option given his finances. I then presented a statement to the IRS demonstrating that Mr. Connell was unable to make any payments on the tax debt. After reviewing some supporting documentation, the IRS agreed and placed Mr. Connell into Currently Not Collectible status. Mr. Connell will not be required to make any payments to the IRS and will not be subject to any collection activity unless his financial situation improves.”

“Roni Deutch’s staff made one promise,” continued Connell. “That they would do their best. I promised that I would follow their instructions and be honest. We both kept our promises. At no time was there ever a word said about additional or increased fees. Every representative was outstanding, helpful, and understanding. The attorneys had no attitude at all, and that is rare in a world of empty suits.”

Five Common IRS Debt Collection Forms

Posted 6/1/2009 12:56:18 PM

1. Form 911 – Request for Taxpayer Advocate Service (TASTAS) Assistance

The Taxpayer Advocate Service (TAS) is an independent organization whose function is to provide assistance to taxpayers when the normal methods of resolution within the IRS fail. Form 911 is the form that is used to summon the help of the TAS. Form 911 requires basic contact information of both the TAS and the representative (if any), a description of the problem the taxpayer is experiencing, and a description of the IRS tax relief sought.

The TAS also requires that one of the following criteria be met before they will agree to take the case (taxpayer is supposed to check the box on Form 911 that applies):

• Taxpayer experiencing (or about to experience) economic harm
• Taxpayer facing an immediate threat of adverse action
• Taxpayer will incur significant costs if relief is not granted
• Taxpayer will suffer irreparable injury or long-term adverse impact if relief is not granted
• Taxpayer has experienced a delay of more than 30 days to resolve a tax account problem
• Taxpayer did not receive a response or resolution to the problem or inquiry by the date promised
• A system or procedure has either failed to operate as intended, or failed to resolve the taxpayer’s problem or dispute within the IRS
• The manner in which the tax laws are being administered raises considerations of equity, or has impaired or will impair the taxpayer’s rights
• The TAS determines compelling public policy warrants assistance to an individual or group of taxpayers

Completing the Form 911 is only one of the ways available to request TAS involvement. The aggrieved taxpayer may also simply write a letter or call the toll free telephone number, which is (877) 777-4778. If TAS contact is made telephonically, the TAS representative will go through all the same information/questions on the form. The IRS is supposed to suspend its collection activities while the case is in review with the TAS, but this does not always happen. The signing of Form 911 allows the IRS to suspend the Collection Statute Expiration Date (CSED), but it does not automatically give the taxpayer additional time to comply with IRS deadlines.

2. Form 433-F – Collection Information Statement

The Form 433-F is typically the form used by the IRS when taking a financial statement for purposes of setting up an Installment Agreement (IA) or placing a back tax account in Currently Not Collectible (CNC) status. It is a streamlined version of the Form 433-A, which is typically used in connection with Offers in Compromise (OIC). The Form 433-F requires information regarding bank accounts, investment accounts, real estate and other assets, credit cards, income, and expenses.

It is usually preferable to give financial information over the telephone as opposed to mailing or faxing Form 433-F to the IRS. However, the IRS is more likely to request that an unrepresented taxpayer complete the form.

3. Form 9465 – Installment Agreement Request

Form 9465, Installment Agreement Request, is just what the name suggests. It is typically sent in the same correspondence along side a balance due notice, giving the taxpayer an easy way to request a monthly payment plan.

Form 9465 is deceivingly simple. To the uninformed taxpayer, it would appear that the IRS accepts whatever figure is entered on the form. However, if the balance owed is over $25,000, there is no point in completing this form because the request will be rejected. The IRS will want a full financial disclosure.

Furthermore, a taxpayer filling out form 9465 in its entirety will give the IRS more information than the taxpayer is legally required to give. Section 5 of the form asks for the name and address of both the employer and the banking institution. Taxpayers are not required to reveal levy sources if their aggregate assessed balance is less than $25,000.

Section 11 of this form can also been seen as a trap to the unwary. It asks for the bank routing number and account number for purposes of setting up electronic fund withdrawal. This could be misconstrued as mandatory, although it is only one of the payment options that are available.

4. Form 433-D – Installment Agreement

Form 433-D is a little more rare, because the IRS is usually willing to set up an Installment Agreement (IA) without going through the formality of completing and signing the form, which is a document that formalizes the IA. There is no legal difference between an IA that is set up over the telephone and an IA that is set up using Form 433-D.

If Form 433-D is ever required, it is usually in connection with cases assigned to Revenue Officers (RO). An RO is more likely to require completion of Form 433-D because RO cases typically involve higher balances and more scrutiny and work on the part of the IRS. If the IRS has invested substantial time and resources in arriving at an agreement, then it would prefer to make the agreement as formal as possible and create a paper trail just so there is no discrepancy as to the terms.

There are a couple things to watch out for on the Form 433-D. One is the increase/decrease term. ROs like to try to increase the payment amount after a debt retires. Of course, this is not always a bad thing; it can sometimes be used as a bargaining chip by the taxpayer (or the taxpayer’s representative) to get a lower initial payment. It is common for people to foresee improvements in their financial situation down the road. ROs may also try to pencil in additional terms and conditions, and there is a box specifically for that purpose.

5. Form 2159 – Payroll Deduction Agreement

There are three primary IA payment options: mail in a check, electronic debit, and payroll deduction. The taxpayer can initiate the electronic debit option on either Form 9465 or Form 433-D. The payroll deduction option requires completion of Form 2159.

There are three parts to Form 2159: the Acknowledgement Copy (to be returned to the IRS), the Employer’s Copy, and the Taxpayer’s Copy. The same potential traps are present on this form as are present on Form 433-D, namely the “increase/decrease” clause and the “additional terms” box. The front page of each copy is identical. However, there is an instructional second page to each copy, with each containing different information.

• IRS Copy contains a list of internal codes and number designations.
• Taxpayer’s Copy contains some rather redundant instructions on how to fill out the form and what to do with it after it is completed.
• Employer’s Copy contains instructions to “continue to make payments unless the IRS notifies [the employer] that the liability has been satisfied.” This could obviously be prejudicial to the taxpayer. First, the likelihood that the IRS will notify the employer in a timely manner is not very high. Second, it could be potentially very difficult to cancel the payroll deduction agreement if the taxpayer’s financial situation changes and he is unable to continue with the IA.

Differences Between Income and Bank Levies

Posted 6/1/2009 12:51:03 PM

Income Levies (a/k/a Wage Garnishment)

A wage garnishment is a legal action that the IRS has a right to take against taxpayers that owe the IRS money. A wage garnishment, which is an income levy, is one method the IRS uses to collect a past due tax liability from a taxpayer. The IRS sends out the wage garnishment order to the taxpayer’s employer to order the employer to send in a portion of the taxpayer’s income. An employer is legally obligated to comply with the terms of the wage garnishment.

Through the wage garnishment, the IRS is allowed to take a taxpayer’s wages up to a certain amount. The IRS gives the employer a chart that informs the employer of how much it needs to send to the IRS. Frequently, the amount the IRS can garnish is up to 80% of a taxpayer’s wages.

A wage garnishment is typically ongoing until the taxpayer or his/her representative can contact the IRS and negotiate for a release of a garnishment.

The IRS can issue more than one wage garnishment. If a taxpayer has two jobs, the IRS can issue a wage garnishment to each employer. Additionally, if a husband and wife have a joint back tax liability, the IRS can issue a wage garnishment to each spouse’s employer. However, if only one spouse owed the taxes, then the IRS can only issue a wage garnishment to the liable spouse’s employer.

The IRS can also issue levies against other sources of income. Specifically, the IRS can issue a levy on self-employed individuals. This is done through issuing a levy against a self-employed individual’s accounts receivable or contracts. Because some self-employed individuals have multiple accounts receivable or contracts, this can result in multiple levies. Typically, levies against accounts receivable or contracts are one-time events (similar to bank levies, discussed below). However, the recipient of an income levy may continue to levy the proceeds of a taxpayer’s account or contract even after the one-time event occurs.

The IRS can also issue a garnishment against Social Security Benefits as well as other federal income, including retirement, pension, and annuities. The release process is very similar to that of a wage garnishment. However, if the amount of the garnishment is relatively low, such as 15% of the monthly amount, then generally, the IRS will not agree to issue a release unless the taxpayer can prove that even a15% reduction in income is causing the taxpayer to incur an economic hardship. It can be extremely difficult to negotiate the release on these types of levies. It is also frustrating as Social Security levies are released on a monthly basis. Often a taxpayer will release a Social Security levy only to find that the Social Security Administration has yet to process the release.

Bank Levies

A bank levy is another method the IRS uses to collect a back tax liability from a taxpayer. The IRS sends the levy notice to the taxpayer’s bank, which orders the bank to hold the money in the taxpayer’s account(s) for 21 days. The bank is legally obligated to honor the levy. No one can access the funds during this period. The 21-day period provides an opportunity for the taxpayer or his/her representative to contact the IRS and negotiate for a release of the funds controlled by the levy. Once the 21-day period passes, the funds are remitted to the IRS.

Any money deposited after the receipt of the levy is not frozen by the levy. The taxpayer should have full access to the deposited funds. The IRS can only get any subsequent funds deposited by a taxpayer after issuing another bank levy.

Releasing an Income Levy

The IRS will not release an income levy unless a taxpayer resolves his or her back tax liability. The taxpayer can resolve his or her back tax liability through Full Payment, an Offer in Compromise, an Installment Agreement, or through placement in Currently Not Collectible status.

Thus, for the most part, a taxpayer does not need not engage in any special process to release an income levy. However, a taxpayer does need to respond quickly to any IRS requests for documents, so that their case can be resolved before the a levy is imposed.

Releasing a Bank Levy – Extreme Financial Hardship

Because a bank levy is a one-time event and the amounts within bank accounts are typically small, the IRS will not always release a bank levy after entering into an Installment Agreement or proving a financial hardship (i.e. Currently Not Collectible status). Instead, the IRS will typically release a bank levy only if the taxpayer is experiencing an “extreme financial hardship.”

An “extreme financial hardship” occurs when the funds within the bank account are needed for a specific reason. The reason must relate to allowable expenses, which are those expenses necessary for the health or welfare of the taxpayer, or for the production of income. Usually, if proven, the IRS will release the bank levy up to the amount necessary to pay for the allowable expense.

Here are some examples that could demonstrate an extreme financial hardship:

• Notice of Eviction
• Notice of Foreclosure
• Shut-Off Notice (i.e. electricity, water, phone, etc.)
• Notice of Repossession
• Upcoming Medical Procedures
• Necessary Travel Expenses for Employment
• Payroll for Business

Releasing a Levy through Filing an Offer in Compromise

You can also get a levy released by filing an Offer in Compromise. However, the IRS will only release a levy after an Offer in Compromise has been “deemed processable” by the IRS Centralized Offer in Compromise (COIC) Unit. This means that the IRS COIC Unit has determined that the filed Offer in Compromise has met all procedural requirements.

Unfortunately, releasing a levy through filing an Offer in Compromise is not an exact science. A taxpayer must rely upon the IRS COIC Unit to notify the department that issued the levy (i.e. ACS, Revenue Officer, etc.) that it has received a processable Offer in Compromise. A taxpayer must also rely upon the IRS COIC to ask that department to release the levy so that IRS COIC may accurately consider the taxpayer’s financial situation.

California Tax Attorney Ends IRS Collections Against Taxpayers Collectively Owing Over $600,000 to the IRS

Posted 5/14/2009 6:29:24 PM

During the month of April, Hubert Johnson, an attorney at Roni Lynn Deutch, A Professional Tax Corporation, effectively ended all collection activity against a group of clients who owed the IRS over $600,000 in aggregate. The group of clients each owed the IRS a different amount based on their unique financial situation. The debt for some clients was under $10,000, but one client from Texas owed the IRS over $200,000. By negotiating with the IRS, Johnson was able to end all IRS collection on the accounts through placement on Currently Not Collectible status.

The Tax Lady’s Law Firm Negotiates Monthly Payment Plans for Clients Owing the IRS Over $2.9 Million in Aggregate

Posted 5/14/2009 6:29:01 PM

In April 2009, Roni Deutch and her team of experienced attorneys were able to negotiate monthly payment plans for clients collectively owing the IRS over $2.9 million. One of Deutch’s attorneys, John Wetenkamp, worked diligently throughout the month and represented a group of clients who collectively owed over $850,000 to the IRS. By negotiating Installment Agreements with the IRS for each client, Wetenkamp was able to arrange for his clients to repay all or part of their tax liability through manageable monthly payments.

Roni Deutch and her Team of Tax Attorneys Save Clients Over $7.2 Million in April 2009

Posted 5/14/2009 6:28:33 PM

While millions of taxpayers rushed to get their income tax returns in before the April 15th deadline, the tax lawyers of Roni Lynn Deutch, A Professional Tax Corporation focused on providing IRS tax debt relief to their clients. The law firm was able to provide IRS relief to a group of clients collectively owing the IRS over $7.2 million. These clients were from all across the country but had one thing in common – the inability to repay their current IRS tax liability in full. Fortunately, Roni Deutch and her team of tax attorneys were able to provide relief to these taxpayers through various IRS resolution programs including Offers in Compromise, Installment Agreements, and placement on Currently Not Collectible status.

7 Tax Debt Prevention Tips for Senior Citizens

Posted 5/6/2009 11:16:02 AM

The country’s poor economy is making life hard for people of all ages, but for some senior citizens living in this country it may feel like things have gotten especially difficult. Many are finding themselves behind on their taxes, leading to penalties and unnecessarily high tax debts. Once these liabilities begin to accumulate, it can lead to bank levies, and endless calls to the IRS, making life especially difficult. The best way to avoid these problems is by preventing the back tax liabilities in the first place. As such, we have put together the following list of tips to help senior citizens across the country prevent owing IRS back taxes.

1. Make Work Pay Credit
While the “making work pay” credit proposes it will cut taxes for 95% of families, there is an interesting loophole for senior citizens, which is causing some to end up with unforeseen back tax liabilities. According to the law, non-working senior citizens—in addition to retired railroad workers and disabled veterans—cannot claim the full credit. The problem is that the credit automatically adds 6.25% of earned income to taxpayer’s paychecks. Therefore, if you are a senior citizen who does not qualify for the full credit, then you will need to make sure to change your withholdings to prevent owing a tax debt at the end of the year.

2. Taxes on Social Security income
The IRS has specific guidelines to follow when deciding whether you social security payments are taxable. Accidentally overpaying is okay, but if you make the mistake not to pay taxes on your social security benefits, then it could lead to IRS underpayment fines. These additional penalties, on top of the already owed taxes, can be difficult for struggling seniors to pay come tax time. Next time you receive a check from Social Security, be sure to check the benefit statement to see if you are having any taxes withheld. If you did not have any taxes withheld on social security and you have other sources of income, you may be creating for yourself an underwithholding problem come next tax season. To ensure that you are not creating an underwithholding problem, you should seek the advice of a tax professional. The tax professional can review your financial situation to determine whether you need to up your withholding to cover your expected tax liability.

3. Pension
When receiving pensions, you may have a hard time deciding how much to withhold, or if you want or need to withhold anything at all. Whether you should have taxes withheld from your pension payments depends on your filing status, number of dependents, personal exemptions, additional sources of income, and the amount of retirement payments you receive. If you do need to pay taxes, you need to figure how much to withhold. Withholding too much is not a good idea as you may end up giving the IRS an interest free loan. However, not withholding enough can result in hard-to-estimate taxes at the end of the year, which could lead to back taxes, penalties, and interest if you are not careful.

4. Be Aware of Deductions & Credits
When preparing your income tax return, it is essential that you take advantage all eligible deductions and credits since they will help to lower your total tax liability. Remember, the IRS has set up a number of deductions and credits directly targeting senior citizen taxpayers. To learn more about tax tips for seniors, check out this article on the RDTC.com blog.

5. Early Distributions
If you are under 60 years old and need to take an early distribution from a retirement account, then be forewarned that you will likely have to pay an additional 10% tax on the funds withdrawn. However, the tax does not apply to funds from Roth IRAs, and there are various other exceptions to the tax. To learn more, check out the IRS’ list of the top ten facts about taking early distributions from retirement plans.

6. Accurate Tax Information
The best way to prevent unnecessary tax debts before they occur is to have your returns accurately prepared by a qualified professional. There are several community service programs devoted to helping senior citizens with tax preparation, and the IRS has also set up a free tax-counseling program to provide financial and tax planning advice to seniors all year long. For more information, look at the tax counseling for the elderly page on IRS.gov.

7. Back Tax Settlement
If you do find yourself in debt to the IRS, do not worry! The IRS has a number of settlement programs that hundreds of senior citizens qualify for every year. If your tax liability is under $25,000 then you may qualify for an IRS Streamlined Installment Agreement. If you simply cannot afford to repay your tax debts, then you might consider placement on the IRS’s Currently Not Collectible status. If you owe the IRS unpaid taxes and are seriously considering a back tax settlement, then we highly recommend you speak to a qualified professional.

Roni Deutch’s Tax Resolution Law Firm Ends IRS Collections Against Taxpayers Collectively Owing the IRS Over $9.6 Million

Posted 5/6/2009 11:08:01 AM

During the first quarter of 2009, The Tax Lady Roni Deutch and her team of tax lawyers were able to effectively cease all collection activity against a group of taxpayers collectively owing the IRS $9.6 million. The group of clients were located all across the country, but all had one thing in common – the inability to repay their IRS tax debts.

Each of the clients helped by the law firm owed the IRS a different amount and received a different resolution depending on their individual financial situations. Some owed as little as a few thousand dollars, while one taxpayer from Long Beach, CA owed over half a million dollars in IRS back tax liabilities.

Taxpayer from South Carolina finds IRS Relief with the Help of Roni Deutch and Her Experienced Tax Attorneys

Posted 5/6/2009 11:07:10 AM

Through placement on the IRS’ Currently Not Collectible Status (CNC), the tax attorneys of Roni Lynn Deutch, A Professional Tax Corporation were able to provide IRS relief to a taxpayer from South Carolina owing the IRS approximately $475,000. By getting the client’s delinquent account placed on CNC status, the law firm effectively ended all IRS collection activities, unless the client’s financial situation changes in the future.

In March of 2009, Roni Deutch and the Nation’s Largest Tax Resolution Law Firm Negotiated Installment Agreements for Clients Owing Over $1.2 Million in Aggregate

Posted 5/6/2009 11:06:38 AM

During the month of March 2009, the tax relief lawyers of Roni Deutch’s nation-wide law firm negotiated Installment Agreements with the IRS for a group of clients who collectively owed the IRS over $1.2 million. On average, each client owed the IRS nearly $43,000, but Ms. Deutch’s lawyers were able to negotiate with the IRS to allow the clients to repay the IRS through manageable monthly payments.

In the First 3 Months of 2009, Roni Deutch’s Law Firm Negotiated IRS Payment Plans for Taxpayers Owing Over $6.8 Million in Aggregate

Posted 5/6/2009 11:06:18 AM

By negotiating Installment Agreements (IA) for their clients, the nation’s largest tax resolution law firm was able to provide IRS tax relief to a group of clients collectively owing the IRS over $6.8 million in the first quarter of 2009. An IA with the IRS allows a taxpayer to repay all, or part, of their delinquent tax liability through manageable monthly payments.

Of the clients, half were able to qualify for traditional Installment Agreements, while they other half were placed on Streamlined Installment Agreements (SIA). SIAs can be entered without disclosing any financial information to the IRS, provided that the taxpayer’s tax debt is less than $25,000, all tax returns are filed, and the monthly payment will pay off the tax debt in five years or less. The average tax liability for the clients placed on an SIA was just over $15,000, and the average monthly settlement payment was around $260.

Roni Deutch’s Tax Resolution Law Firm Ends IRS Collections Against Taxpayers Collectively Owing the IRS Over $9.6 Million

Posted 5/6/2009 11:05:35 AM

How to Avoid Owing Back Taxes on Unemployment Benefits

Posted 4/16/2009 10:45:32 AM

In today’s tough economy hundreds of thousands of taxpayers are losing their jobs every month. Fortunately, unemployment benefits are there to fall back on while you are searching for your next position. However, the tax laws surrounding unemployment benefits are tricky—to say the least—and can lead to huge IRS back tax liabilities. Luckily, this can be prevented. To help our unemployed readers plan for taxes, we have compiled the following list of ways to avoid owing back taxes on unemployment benefits.

Taxable Income
Believe it or not, the money you receive from unemployment benefits IS taxable income. Which means you are going to owe both federal and state income taxes on it (if your state has an income tax). At the end of the year you should expect to receive IRS Form 1099-G, which will show the total amount you received in benefits.

Withheld Taxes
When collecting unemployment benefits you are not required to have any taxes withheld, but it is an available an option, and a good one at that! By having income taxes automatically withheld from your checks, you can avoid having to write a big check come next April. When you apply for unemployment, you can select to have a 10% federal income tax withheld, as well as a state income tax (the exact percent will vary per state). It is also highly recommended that you take a thorough look at your first unemployment check stub to make sure that the correct taxes have been withheld.

First $2,400 is Tax Free
Although you do have to pay income taxes on unemployment benefits, in 2009 you will not have to pay taxes on the first $2,400 in unemployment benefits you receive. Confused yet? Well, it only gets more complicated. The change is part of the new 2009 American Recovery and Reinvestment Act and only affects the 2009 tax year. All benefits from the year 2008 and before are fully taxable. For more information, check out this IRS news release on the topic.

Severance Pay
Do not forget that any severance payment you might receive is also considered taxable income. This includes any one-time payments, as well as payouts for accumulated vacation or sick leave benefits. It is considered regular income, and should be taxed at your appropriate tax rate.

Estimated Payments
If for any reason you do not choose to have taxes withheld on your unemployment, you should still consider making an estimated quarterly payment. It can be somewhat confusing to calculate and file these payments, but it beats getting hit with an underpayment penalty at tax time.

Check State Laws
Do not forget that your state is also going to tax your unemployment benefits! If your state has an income tax, then you will likely have to pay income taxes on your unemployment benefits. However, every state is different so before making any decisions, check out your state’s website, or ask a professional for help.

Continuous Job Hunt
One of best ways to avoid tax problems is to build up allowable deductions and credits. Luckily for the unemployed, the tax code provides a cornucopia of tax savings for job hunters. From education deductions and credits, to the job-hunting expenses deduction, to the moving deduction, the code is set up to help you avoid owing taxes while unemployed so long as you are actively seeking employment. In addition, most states provide similar deductions and credits. So, please do some research—you can start by checking out my blog entry on the topic here —or meet with a tax professional to find out how Uncle Sam is willing to help you on your job hunt.

Get Professional Help
Just because you are unemployed does not mean the IRS is going to let you get away without filing a return. In addition, your return is certainly going to look a little different now that you are receiving unemployment income. Having professional guidance through this financial change may prevent you from making some major mistakes on your tax return.

10 Things Every Business Owner Should Know About Payroll Tax Problems

Posted 4/14/2009 1:41:38 PM

As a business owner or employer, it is your legal duty to pay payroll taxes on any and every employee you hire, including those that just work part-time hours. The IRS claims over $12 billion is left unpaid to them in payroll taxes every year, and they have a habit of being quite aggressive with payroll tax collections. Since we help so many taxpayers resolve their payroll tax debts every year we decided to put together the following list of 10 things every business owner should know about payroll tax problems.

1. Payroll taxes are essential
No matter how you spin it, there is no exception for unpaid payroll taxes. As a business owner or employer, it is your responsibility to be aware of any and all payroll tax deposits that need to be made for your employees.

2. IRS collections can get aggressive
The IRS is especially aggressive about payroll taxes, and will go to great measures to make sure they receive their deposits. If all else fails, they will even send agents to your business to seize assets.

3. Payroll tax penalties add up quickly
Immediate late fines can add up quickly, and can end up costing you thousands in unnecessary fees. If you notice that you missed a payroll tax deposit then you want to make sure and pay it as soon as you can. If you fail to deposit the money with government for long enough they could issue a lien against your bank accounts.

4. Small businesses are watched closely
Unfortunately many small businesses feel they are “under the radar” and choose to put off or evade payroll taxes for that reason. Well think again, because the IRS has their eye on all small business owners, and works to enforce full payroll compliance on all businesses both large and small.

5. Borrowing from payroll taxes is highly illegal
Despite what you may have heard, in no instance are you allowed to borrow from payroll taxes instead of depositing them. Doing so often results in huge legal headaches, and huge IRS penalties.

6. You have to pay
There is no way to resolve payroll tax disputes without spending some cash. Lawyer fees, time off work, and any resulting fines will negatively affect you and your business. On top of all of this, do not forget the IRS has the right to lock your front doors without a court order, instantly putting you out of business for who knows how long.

7. No business structure is safe
Too many times people mistakenly select a structure for their business because they think it will keep them safe from IRS collection agents. However, no matter if you are a sole proprietor or the owner of an LLC, you will always be held responsible for unpaid payroll taxes.

8. Trust Fund Recovery Penalty
In order to encourage prompt payment of payroll taxes the IRS setup what is known as the trust fund recovery penalty (TFRP). Although technically a tax, the IRS calls it the TFRP because you technically hold the employee’s money in trust until you make a federal tax deposit in that amount. Therefore, if you do not immediately pay these taxes on behalf of your employees then the IRS will assess the TFRP. Additionally, this penalty can be assessed on more then just the owner of the business. The IRS is allowed to penalize anyone authorized to sign and distribute payroll checks on behalf of the company.

9. 100% Penalty
When the IRS does assess the TFRP it will come with a horrendous 100% penalty. According to the IRS’s website the amount of the penalty is “equal to the unpaid balance of the trust fund tax.” Therefore, if you are $15,000 in debt from payroll taxes, they will charge you $15,000 on top of that, doubling your debt instantly.

10. Legal advice is a good idea
If you do get in to trouble with your payroll taxes, it is a good idea to get legal advice sooner rather than later. You could either seek advice from a local tax lawyer who specializes in payroll tax problem cases, or consult with a nationwide law firm like ours. Feel free to submit a contact request and one of our legal specialists will contact you as soon as possible to help resolve your IRS problems.

What is Tax Evasion?

Posted 4/14/2009 1:39:24 PM

The term “tax evasion” encompasses an entire spectrum of actions and schemes undertaken to skirt the required payment of taxes. There is a wide variety of ways to “evade” taxes, perhaps limited only by human ingenuity. Fortunately, the government has a powerful tool to address taxpayers the government believes are skipping out on the civic responsibility to pay taxes: the “evasion” statute. The language of the statute itself is broad and the courts have also interpreted the statute broadly. It could be said that the statute, and its interpretation, necessarily have to be broad to be able to address the wide assortment of evasions and schemes. The government wields the evasion statute in concert with other Internal Revenue Code criminal statutes to prosecute unscrupulous taxpayers. The general evasion statute is cited below.

Attempt to evade or defeat tax – 26 USC § 7201

“Any person who willfully attempts to evade or defeat any tax imposed by this title or the payment thereof shall, in addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof:

Shall be imprisoned not more than 5 years
Or fined not more than $250,000 for individuals ($500,000 for corporations)
Or both, together with the costs of prosecution.”

The statute can result in hefty penalties, if violation is shown. To show an evasion offense, the government must prove the following elements:

1. an additional tax due and owing
2. an attempt to evade or defeat any tax, or the payment thereof
3. willfulness.

Each of the three elements is discussed in further detail below.

Additional Tax Due and Owing

Some amount of additional tax is due. Typically, the amount is something more than what was reported by the taxpayer. However, it can also be an amount reported, but not paid.

Even if the additional amount is not precisely quantified, this element can be met by showing that the additional amount is “substantial.”

There is no set formula for determining if the additional amount is substantial. IRM 9.1.3.3.2.2.1 (05-15-2008).

Attempt to Evade or Defeat Tax or the Payment Thereof

The Internal Revenue Code does not define an “attempt” to evade or defeat. On face, the statute can be read very broadly, and the courts have done so. So long is there is some “affirmative act” this element of the statute can be met. As might be expected, “affirmative act” also includes a broad scope of activities. Some of those acts are listed here, as gleaned in the IRM from court decisions:

keeping a double set of books
making false entries, alterations, invoices, or documents
destroying books or records
concealing assets or covering up sources of income
handling one’s affairs to avoid making records usual in transactions of the kind
any conduct, the likely effect of which would be to mislead or to conceal.

The last bullet is a catch-all, keeping the door open for a species of evasion yet to be described. Continuing the thread of broad interpretation, consider the following:

an “attempt” does not have to be successful, and
each tax year can be a separate offense.

Although simply failing to pay a tax by itself does not rise to “evasion,” it does not take much for that failure to move from the civil to the criminal realm. The acts listed below, among others might be sufficient to push a “failure to pay” to “evasion.” IRM 9.1.3.3.2.2.2 (05-15-2008)

Concealing assets
Reporting income through others
Filing late returns
Failure to properly withhold taxes.

Willfulness

Willfulness, of course, is a state of mind or matter of intent. Therefore, generally, this element will have to be inferred from the taxpayer’s activities (unless there is a confession.) For example, the IRS could discover that a taxpayer failed to report $50,000 of gross receipts. This amounts to an honest mistake without some showing of willfulness. However, if the government discovers the taxpayer has a double set of books and falsified invoices, the willfulness element might be met.

Avoidance versus Evasion

No taxpayer is required to pay more taxes than the law requires—taxpayer can use every available legal tool to avoid payment of taxes. The key is to make sure that avoidance does not turn into evasion. The IRM quote below describes the fine line between avoidance and evasion.

“Avoidance of taxes is not a criminal offense. Any attempt to reduce, avoid, minimize, or alleviate taxes by legitimate means is permissible. The distinction between avoidance and evasion is fine, yet definite. One who avoids tax does not conceal or misrepresent. He/she shapes events to reduce or eliminate tax liability and, upon the happening of the events, makes a complete disclosure. Evasion, on the other hand, involves deceit, subterfuge, camouflage, concealment, some attempt to color or obscure events or to make things seem other than they are. For example, the creation of a bona fide partnership to reduce the tax liability of a business by dividing the income among several individual partners is tax avoidance. However, the facts of a particular investigation may show that an alleged partnership was not, in fact, established and that one or more of the alleged partners secretly returned his/her share of the profits to the real owner of the business, who, in turn, did not report this income. This would be an instance of attempted evasion.” IRM 9.1.3.3.2.1 (05-15-2008) (emphasis added).

Recent Cases of Tax Evasion

Common types of evasion include individual evasion, abusive trust schemes, payroll tax schemes, offshore account schemes, corporate evasion, and home-based business schemes, among others. Two example cases are included below. In many case descriptions, including the first one below, the taxpayer was uncooperative or did not make “complete disclosure” when the IRS started looking into the taxpayer’s circumstances. Although the brief case descriptions do not say for sure, the failure to make “complete disclosure” may well have been the event that persuaded the government to pursue criminal charges in some of these cases.

Self-Employed Schedule C Evasion

“On February 23, 2009, in San Jose, Calif., Huy Quoc Nguyen was sentenced to 15 months in prison and ordered to pay $549,000 restitution, plus interest and penalties for tax evasion. Nguyen, owner of Valley Technology Services (VTS), pleaded guilty in November 2008, admitting in his plea agreement that during an IRS audit, he told a revenue agent that his business checking account was used strictly for business and that he had used that account to prepare his Schedule C (Profit or loss from business) for his 2000 tax return. Nguyen told the revenue agent that all deposits made to the business checking account were due to business income and that all checks from that account were for business expenses. Later in the process of conducting the audit, the revenue agent noted that there was numerous non-business checks that did not reconcile to any of the expense categories stated on the Schedule C. Nguyen admitted that those checks were for personal and not business expenses. Nguyen further admitted that he knowingly failed to report gross receipts, ordinary income and interest income from VTS. He also improperly deducted non-business expenses as well as mortgage interest payments and real estate tax payments for property that he did not own. Nguyen admitted that the total amount of tax loss arising from his false 2000 and 2001 personal income tax returns was $549,000.”

(Source: IRS.gov)

Abusive Tax Schemes—Sham Trusts

“On December 1, 2008, in Grand Rapids, Mich., June Marie Young, was sentenced to 30 months in prison and was ordered to perform 300 hours of community service, cooperate with the Internal Revenue Service (IRS), and pay $164,550 in restitution to the IRS. Young was convicted by a jury in July 2008 on four counts of willful tax evasion. According to court records, Young was a self-employed commercial artist who created mass-produced paintings that were sold through a contract distributor. As her business grew, Young established a sham trust known as the Black Gold Foundation. From 2000 to 2003, Young arranged for her commercial art earnings to be deposited into this trust to avoid the appearance of having income in her own name. But, she controlled the trust, and more importantly the trust’s checkbook. Although Young filed personal income tax returns for 2000 through 2003, her returns did not report any of the funds paid on her behalf to the Black Gold Foundation. Instead, she filed income tax returns on behalf of the Foundation listing exorbitant business expense deductions that exceeded trust income. She claimed that no tax was due and owing from the foundation, despite knowing that a substantial portion of the deductions she claimed on its behalf were illegitimate. As a result of her actions, Young paid only $28,000 in taxes on business receipts exceeding $1.2 million. Among the items paid for with foundation checks signed by Young – and deducted as business expenses – were house payments on two homes in Michigan, the down payment for a $406,000 luxury home in Florida, lease payments on a $49,000 Jaguar sedan, and gifts to family members disguised as payments for “services rendered.” In addition, she transferred over $100,000 to herself from the trust each year, disguised as payment for “consulting” and “loans” that were never repaid. Young used this money for luxury purchases, including a home theater system and indoor spa.”

(Source: IRS.gov)

10 Overlooked Forms of Taxable Income

Posted 4/14/2009 1:37:08 PM

Everyday our law firm receives calls from thousands of American taxpayers that owe the IRS. Over the years, we have heard every possible explanation as to why someone ended up in debt to the IRS. Most of the time, it is due to an unfortunate series of circumstances that has left a taxpayer simply unable to pay.

But sometimes, a person gets in debt to the IRS because they just do not understand the complex US Tax Code. And who can blame them? Taxes are complicated and trying to read through convoluted IRS explanations of the rules is daunting. Many taxpayers are not aware of their basic obligations to pay taxes on the income they earn, or even what kinds of income are taxable. When a taxpayer fails to report all their income, the IRS has the authority to make changes to tax returns, either through an audit or a Substitute for Return. This can leave taxpayers owing thousands of dollars in unpaid taxes, and untold amounts of interest and penalties.

Read on to see the most common forms of taxable income our clients overlook in preparing their taxes.

1. Social Security Income

Social Security benefits may be non-taxable, or partially taxable. It depends on your total income from other sources. If your sole source of income during the tax year was Social Security, your benefits are probably not taxable. But, if you have other forms of income, including tax-exempt income, it could make your Social Security benefits taxable. If you add half the amount of your Social Security Benefits to all other forms of income, and the total exceeds a “base” amount, then a portion of your benefits will be taxable. In 2008, the base amount is $25,000 if single, married filing single, or head of household, and $32,000 if married filing jointly.

2. Unemployment Compensation

People are always surprised that unemployment compensation is taxable income. This includes any amounts you received under federal or state unemployment compensation laws, state unemployment insurance paid by a state (or District of Columbia) from the Federal Unemployment Trust Fund. If you received unemployment compensation during the year, you should receive IRS Form 1099-G, showing the amount you were paid, and if any taxes were already withheld. If your unemployment benefit payments were made from a private, non-union fund to which you voluntarily contribute are only taxable if you received more money than you put into the fund.

Please note that as a result of passing the American Recovery and Reinvestment Act (ARRA), starting in 2009, the first $2,400 earned in unemployment compensation is excludable as taxable income.

3. Gambling Winnings

Gambling winnings are fully taxable and must be reported on your tax return. Gambling winnings include any winnings from lotteries, raffles, horse races, or casinos. Both cash winnings and the fair market value of prizes such as cars and trips are counted as taxable income. If you win a prize in a lucky number drawing, television or radio quiz program, beauty contest, or other event, you must also include it in your income. A payer (such as the casino or track, etc.) is required to issue you an IRS Form W-2G if you receive certain gambling winnings or if your gambling winnings are subject to Federal income tax withholding. All gambling winnings must be reported no matter if any portion is subject to withholding or not.

Please note that you may deduct gambling losses only if you itemize deductions. You may claim your gambling losses as a miscellaneous deduction, however, the amount of losses you deduct may not be more than the amount of gambling income you have reported on your return.

4. Bonuses

Bonuses or awards from your employer based on work performance are included as taxable income. Money, gift cards, property, or prizes such as a vacation trip all count as “bonuses”. If the award you receive is a good or service, then you need to include the fair market value in your income. Even holiday bonuses count if your employer gives you cash, a gift certificate, or a similar item that you easily can exchange for cash.

Please note that if you receive personal property (e.g. something other than cash, gift card, or its equivalent) as an award for length of service exceeding five years, the fair market value of the award is less than $1,600, and the award is presented as part of a meaningful presentation, it can generally be excluded as income.

5. Punitive Damages

If you were awarded damages for actual monetary losses (due to property damage or medical care for injuries) the funds are generally not taxable. However, if any damages were awarded beyond compensating you for monetary losses, like punitive damages, (usually to punish or make an example of a defendant based on outrageous conduct), interest, emotional distress, injury to reputation etc these are all taxable income.

Please note that if you receive compensatory damages and took a medical expense deduction on your tax return for expenses related to the underlying injury of your lawsuit or settlement, then the compensatory damages are taxable and should also be reported on your tax return.

6. Reimbursed Business Expenses

Reimbursed business expenses may be considered taxable income, depending upon whether your employer meets the requirements for an Accountable Plan. To be considered an Accountable Plan, your employer’s reimbursement or allowance arrangement must meet all of the following rules:

1. Employee paid or incurred expenses that are deductible while performing services as an employee.

2. Employee adequately accounts for these expenses to employer within a reasonable time period.

3. Employee returns any excess reimbursement or allowance within a reasonable time period.

If your employer’s reimbursement arrangement does not meet all three requirements, the reimbursements you receive for business expenses should be shown on your W-2, and the payments should be reported as income. You can get this income back by itemizing your deductions and completing IRS Form 2106 with your return.

7. Cancelled Debt

If you had a debt cancelled or forgiven, you may have to include the amount of canceled debt as income. This depends on the specific circumstances by which your debt was cancelled, and the nature of the property associated with the debt. Some canceled debt qualifies for an exception to gross income, or the canceled debt may result in gross income, but the income might be excluded. If a federal government agency or an applicable financial entity cancels or forgives a debt of $600 or more, you should receive an IRS Form 1099-C, Cancellation of Debt, showing amounts and other information relating to the cancellation.

Please note if you exclude canceled debt from income under one of the exceptions (including the cancellation of debt in regards to your personal residence) you must file an IRS Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness to report the exclusion and the corresponding reduction of certain tax attributes.

8. Severance Pay

Any type of severance pay or payment on the cancellation of your employment contract is taxable income. This includes a lump-sum payment for accrued vacation or leave time, or back pay awards as the result of a judgment or settlement. If you choose a reduced severance payment in exchanged for your former employer paying for an outplacement service or employment agency, you must include the unreduced severance pay as income.

9. Alimony

Alimony payments received from your spouse or former spouse are taxable to you in the year received. If you receive alimony income, you are not eligible to file an IRS Form 1040EZ or IRS Form 1040A. Do not include child support payments as alimony. If your divorce decree or separation agreement calls for both alimony and child support payments and specifies amounts for each, only the alimony is taxable.

Please note that the person making the payment may claim a deduction in the year paid. To facilitate the deduction, you must give the person who paid the alimony your social security number.

10. Hobby Income

You must report income from an activity from which you do not expect to make a profit, (i.e. hobbies). An activity is presumed carried on for profit if it produced income in at least 3 of the last 5 tax years, including the current year. Activities involving the breeding, training, showing, or racing of horses are presumed carried on for profit if they produced a profit in at least 2 of the last 7 tax years, including the current year.

Please note that deductions for expenses related to the activity are limited. They cannot total more than the income you report and can be taken only if you itemize deductions.

Pittsburgh Taxpayer was Living in Fear of the IRS Before Seeing Roni’s Commercial

Posted 3/19/2009 1:18:35 PM

Ms. Sampe-Elmore of Pittsburgh, PA had failed to file her federal income taxes for the years between 1999 and 2007. Soon after the IRS began collections, she called our law firm after seeing one of Roni’s television commercials.

“Approximately 18 months ago my life was on a downward spiral with the IRS,” recalls Ms. Sampe-Elmore. “I was afraid that I would lose everything that I had worked so hard to earn, all due to my neglect. One day as my spirit was heavy with this issue I was watching TV and saw the commercial for Roni Deutch. Being the skeptic that I am about all the advertisements I see on TV I was reluctant to call, but figured what could I lose by making a phone call. This was one of the best decisions I have ever made in my life.”

“Ms. Sampe-Elmore owed the IRS a total of $59,000,” notes attorney Ryan Carrere. “Our law firm was able to settle that debt for $965 through an Offer in Compromise. Throughout the process Ms. Sampe-Elmore did everything asked of her by our law firm, from making sure all of her income tax returns were filed to providing the necessary financial documents to prepare and support a proposal to the IRS. Once our law firm submitted the Offer in Compromise, the IRS responded by erroneously stating that retired debt exceeding $13,000 must be applied to the taxpayer’s offer and they would not settle for less. I responded by pointing out that the IRS retired debt analysis was flawed. The IRS acknowledged their error, corrected the analysis, and accepted the offer as originally submitted by our law firm.”

“Everyone I spoke with at Roni’s office was so nice and helpful. But most important of all, they made sure that I understood what the law firm could and could not do for me,” explained Ms. Sampe-Elmore. “Every time I called, I was greeted by representatives that where equally polite, courteous, knowledgeable, patient, and understanding to my concerns. Every response was timely and clear. In addition, whenever there were questions from the law firm, anytime they received fax information or reasonable arrangements with my payments needed to be made I received a polite, and informative phone call.”

“I will always be forever grateful for the services I’ve received, the excellent manner and attitude of the people who served me and the compromise the Roni Deutch law firm was able to work out for me with the IRS.”

The debt settlement amount is not typical. Additionally, past successes cannot be an assurance of future successes because each case may be decided on its own merits.

In February of 2009, Roni Deutch and her Team of Attorneys Negotiated Currently Not Collectible Status for Clients Collectively Owing $1.8 Million to the IRS

Posted 3/19/2009 1:18:07 PM

The Tax Lady Roni Deutch and her team of highly skilled attorneys were able to help taxpayers owing the IRS over $1.8 million find relief through placement on Currently Not Collectible (CNC) status. This type of IRS settlement essentially protects a taxpayer from any IRS enforced collection efforts, such as wage garnishments or bank levies.

Disabled Taxpayer From Maryland Calls Roni Deutch for Help

Posted 3/19/2009 1:17:45 PM

From Mr. Justice of Elkton, MD:

“I would like to express my thanks to the firm of Roni Lynn Deutch. For several years I was depressed with my tax problem thinking I had no way out or to resolve my tax problems. Every January my depression just got worse when seeing all the tax commercials on the television. A couple of years prior I tried another firm which told me they couldn’t help, but when I called Roni’s office, they where helpful, polite and told me not to worry. I had thought I could never settle for much less than I owed, that it was just to good to be true. But it did happen for me! Roni’s office was able to settle my $26,000 tax debt for around $1,175. Being on a pension and disabled, your firm gave me a new start and peace of mind. Thank you again.”

The debt settlement amount is not typical. Additionally, past successes cannot be an assurance of future successes because each case may be decided on its own merits.

Taxpayer From Wentzville Qualifies For Payment Plan Shortly After Providing Us His Financial Information

Posted 3/19/2009 1:17:20 PM

Mr. Spain of Wentzville, MO had a wage garnishment that resulted from his unpaid tax liabilities. Luckily, his case was rather straightforward and our attorneys were able to get him on a payment plan shortly after he provided his financial information.

“Mr. Spain was a Streamlined Installment Agreement client who unfortunately also had a wage garnishment,” notes attorney Sean Chi. “For most of the duration of Mr. Spain’s case we simply needed to wait for him to respond with the initial packet of documents. Once we received his documents, we were able to work quickly to release Mr. Spain’s wage garnishment and set up a Streamline Installment Agreement. Mr. Spain is a perfect example of how quickly and easily a client’s case can be resolved when the information they provide is accurate and provided quickly.”

“I would like to express my appreciation and gratitude for the expert and professional manner in which you handled my tax problem with the IRS,” notes Mr. Spain. “If it was not for your firm, I don’t know what I would have done. I cannot thank you enough for the help I received. I will highly recommend your firm to all my friends and anyone else that would need your services.”

Attorney Brett Adams Helps Clients From Across the Country Gain Information on Their IRS Liabilities

Posted 3/19/2009 1:16:52 PM

By utilizing the law firm’s Tax Account Review (TAR) service, tax attorney Brett Adams was able to provide clear and concise information to dozens of taxpayers who were confused about their IRS tax liabilities in February of 2009. The clients were from a wide variety of states across the country, but all had one issue in common – the need for quality information. To learn more about our law firm’s TAR program, check out our web page in our Services section.

Client From North Carolina Finds Relief Through a Streamlined Installment Agreement

Posted 3/19/2009 1:16:29 PM

From Mr. Stevenson of Hendersonville, NC:

“I was very pleased with the experience I had with Roni Lynn Deutch and her law firm. They were very professional, prompt and courteous in every aspect of my case. Every question I had was answered when I needed it and my case was handled in a very timely manner. I could not have asked for a better experience. I would highly recommend this law firm for all of your tax problem needs.”

IRS Accepts Offer From Tulsa Taxpayer After Frequently Referring To Her As Mr. Thornton

Posted 3/19/2009 1:16:09 PM

Ms. Thornton of Tulsa, OK called our office after struggling to repay the IRS the debts she owed. Her situation with the IRS was confusing, and to make matters worse the IRS continually addressed letters to Ms. Thornton as “Mr.” Thorton. Fortunately, after our attorneys sorted through all of her financial documents they were able to put together an Offer in Compromise that was accepted by the IRS.

“Ms. Thornton’s case was a significant victory given her unique earning and living situation,” notes Christian Montgomery, the attorney who prepared Ms. Thornton’s Offer. “Her resolution required detailed explanation and expertise to convince the Internal Revenue Service to weigh the totality of the circumstances of her financial situation in her favor. Ms. Thornton was able to resolve her significant tax liabilities for an affordable sum, which she most likely would not have been able to do had she chosen to represent herself.”

“I was very happy with the outcome of my case,” claimed Ms. Thornton after learning her Offer was accepted. “I was pleased with the settlement of my case. Thank you very much!”

The debt settlement amount is not typical. Additionally, past successes cannot be an assurance of future successes because each case may be decided on its own merits.

Nation’s Largest Tax Resolution Law Firm Negotiates Streamlined Installments for Clients Owing the IRS $1.3 Million in Aggregate

Posted 3/19/2009 1:15:45 PM

During the month of February, Roni Lynn Deutch, A Professional Tax Corporation was able to negotiate Streamlined Installment Agreements (SIA) for clients owing the IRS over $1.3 million in aggregate. With this type of settlement program, the IRS will allow taxpayers to repay their IRS liabilities through manageable monthly payments. In order to qualify for an SIA, a taxpayer must have under $25,000 in IRS tax debt and be able to fully repay the amount owed before the time limit for the IRS to collect expires.

Taxpayer From DC has “Excellent” Experience With Our Law Firm

Posted 3/19/2009 1:15:24 PM

From Mr. Miller of Washington D.C.:

“Everyone at Roni’s office was great to work with. They had excellent follow through, and were highly responsive to inquiries and documentation requirements. They provided excellent results, just as was promised.”

Louisiana Taxpayer Has Tax Debts Settled With $20 Offer In Compromise

Posted 3/19/2009 1:15:01 PM

After Mr. Sibley of Hammon, LA called our office to help resolve his IRS tax liabilities, he was very quick to provide us with all of his documentation and financial information. Luckily, because of his financial situation he was an excellent candidate for the IRS’s Offer in Compromise program.

“Mr. Sibley received a Wage Garnishment shortly after hiring us,” recalls attorney John Wetenkamp. “When we called the IRS to try to get it removed, we were informed that he had multiple years worth of returns to file. Once the returns were filed, we called the IRS again and got the garnishment removed. We then filed an Offer in Compromise on behalf of Mr. Sibely in the amount of $20. The IRS requested proof and documentation, and shortly after we provided it, the IRS approved the offer.”

“Roni and her team have given me hope, a piece of mind, and a reason to keep going,” explains Mr. Sibley. “I would recommend your organization to anyone who needs help. Roni Lynn Deutch IS the Tax Lady and I am grateful for everything she did for me. When mistakes are made in life, it’s a blessing to have someone like Roni Deutch to help correct them. I love all of you, thank you, “God bless you” and keep up the good work!”

The debt settlement amount is not typical. Additionally, past successes cannot be an assurance of future successes because each case may be decided on its own merits.

10 Frustrating Things You Can Expect in Dealing Directly with the IRS

Posted 3/15/2009 1:06:04 PM

Before you try to resolve your Internal Revenue Service back tax liability on your own, you should be mindful of the time and frustration you will likely experience in dealing with the IRS. Although you cannot be totally shielded from some of the frustration (e.g. see Item 1 below), a competent representative will go a long way to mitigate most of the frustration you would likely experience if you dealt directly with the IRS to resolve your tax matter.

1. No Contact Made by Representative

Although you may have obtained representation, the IRS will oftentimes contact you directly. When you inform the IRS that you are represented, do not be surprised if the IRS representative informs you that your representative has not made contact with them. While sometimes this may be true—e.g. early in the representation before you return your signed IRS Form 2848, Power of Attorney—oftentimes it is just a result of poor record management by the IRS.

If this happen to you, request the IRS representative’s contact information (name, IRS identification number, telephone number, and fax number), and then instruct the IRS representative that you have representation. Also, let the IRS representative know who your representative is and that your representative will be in contact with him or her shortly. Do not provide any additional information to the IRS representative even if requested. Thereafter, contact your representative and inform him or her of what occurred. Your representative can take the appropriate steps thereafter on your behalf.

2. Lost in the Mail

Although the IRS is not to contact you via telephone after you hire a representative, you will continue to receive correspondence from them in the mail. The IRS should also send a copy of this correspondence to your representative, but oftentimes it seems to get lost “in the mail.” Thus, to ensure that your representative is properly notified of any information provided to you by the IRS, you should immediately forward to your representative a copy of any IRS notices that you receive. This ensures that your representative remains informed as to what the IRS is doing or threatening to do regarding your IRS back tax liability.

3. Surprise At-Home or At-Work Visits

An IRS representative may show up at your home or place of business to confront you about your back tax liability. This may occur if you are missing many tax returns or if you owe the IRS a substantial sum of money. Typically, the IRS representative is a Revenue Officer assigned to your account.

In this situation, you should request the IRS representative’s identification number and contact information and inform him or her that you have representation to assist you in resolving your tax problem. Inform the IRS representative that he or she is to communicate solely with your representative. You need not answer any other questions. Once the IRS representative leaves your location, immediately contact your representative and inform him or her of the encounter. Your representative can take the appropriate steps thereafter on your behalf.

4. Drowning in Documentation

One of the most frustrating aspects of dealing with the IRS is to have to respond to multiple document requests. Before the IRS will accept your claimed financial situation, they will require that you substantiate your income, expenses, and assets by providing written proof of each. Unfortunately, there is very little that can be done to stop the IRS from making multiple requests for information.

However, to mitigate this headache, prepare before hand. First, go to your local office supply store and purchase some file folders. Label one file folder “Income”, another “Expenses”, and another “Assets.” You can then create additional folders for any sub-categories you want to track within these three broad categories. For example, you may want to track income by type, expenses by type or assets by type, or you may want to track each category by month. After you have completed your filing system, place each check stub, statement, or other financial document you receive into the appropriate folder. Your filing system should be kept in a semi-secure area, such as within a file cabinet. Maintaining your filing system will keep your information organized and easily accessible in the event that the IRS does request your financial information.

5. On Hold Classical Music

If you have ever called the IRS, you know that they love their classical music. You probably also know that the IRS has a very limited collection of classical music because the same songs seem to rotate over and over again. Because of the IRS wait times, you probably know these songs by heart.

The IRS explains that their hold times are just the result of being extremely busy. We suspect that the IRS just loves to make you wait. In any event, you will need to have patience and fortitude when calling the IRS because you are probably going to be put on hold for a very long time, while listening to soothing classical music to pass your time. Please make sure you are prepared to wait before calling the IRS.

6. The Computer System Will Crash or Prior Telephone Call Notes Will Be Lost

This item oftentimes goes hand and hand with the On Hold Classical Music discussed above. After finally getting through to an IRS representative, do not be surprised if you hear, “We’re sorry, but our system crashed and we cannot access your records at this time” or “We don’t have any record of you calling in before.”

Our experience has been that the latter response generally seems to occur after we have previously gotten an IRS representative to agree to certain aspects of a client’s case. It will seem as if all of your prior efforts to resolve your case just got flushed down the drain and you will need to start over. As you can imagine, either of these comments can be very frustrating considering the amount of time and effort you would have already put in to resolve your case.

7. Miscalculation

The IRS’s internal computer system is slow and prone to miscalculations. Thus, it is very important that you conduct a real time calculation while communicating with the IRS. Although your calculations may not agree dollar-for-dollar with what the IRS calculations are showing, at least you will have comfort in knowing that the IRS is not overstating your income or understating your expenses. When you and the IRS agree on an amount, make sure you write it down and keep track of each amount as the conversation proceeds. You should keep the agreed upon income amounts in one column and the agreed upon expenses in another column, so that you can total up each column when you are done.

After going through all of your income and expenses, the IRS representative will calculate whether you have a positive or negative cash flow. You can also calculate your cash flow by subtracting your total expenses from your total income. If your calculated cash flow does not match that of the IRS, you should ask the IRS representative to confirm each income and expense amount included in his or her calculation. If there is a discrepancy, it is very likely that the IRS representative mistyped an amount or did not properly “check a box” in their system to indicate that a particular expense was allowable.

If after this review, your cash flow amount and the IRS representative’s cash flow amount are different, you can request an independent or managerial review of your cash flow financial statement. This will ensure that a third party is reviewing the form for all errors and mistakes. If the independent or managerial review still fails to address the discrepancy, you should request an appeal. The IRS representative will provide further instructions on filing an appeal.

8. Extending the Collection Statute Expiration Date

The IRS has 10 years from the date of your assessed tax liability to collect on the liability, including any associated penalties and interest. If the IRS fails to collect on your tax liability within this timeframe, the balance of your tax liability will expire and you will no longer be obligated to pay the IRS. The date associated with when your tax liability is set to expire is called the Collection Statute Expiration Date (CSED).

The IRS will often attempt to get you to extend the CSED. They will do this by requesting that you sign a waiver to the Collection Statute Expiration Date (IRS Form 900) as a condition of approving your tax resolution. They may also tell you that they are not willing to resolve your tax liability unless the waiver is included. If you refuse to sign the waiver, the IRS may threaten to continue enforced collection against you (e.g. levies on wages, bank accounts, etc.).

Fortunately, the IRS cannot require you to sign a waiver as a condition to resolving you tax liability. Also, the IRS can only ask for a waiver in connection with an Installment Agreement and must inform you that the waiver is not mandatory. So, if an IRS representative is pressuring you to sign a waiver, ask to speak with that IRS representative’s manager. If the manager does not remove the waiver as a condition of approving your Installment Agreement, request an appeal.

9. Eternal Review

On occasion, the IRS has placed a taxpayer’s account into what seems like eternal review. After you contact the IRS and provide them with all of our information, they may instruct you that your resolution needs managerial approval and will tell you to call back in 10 to 15 days. After the appropriate time, you call the IRS back only to be instructed that your resolution is still awaiting approval, and to call back in another 10 to 15 days. After the appropriate time, you call back again only to be informed again that your resolution is still awaiting approval, and that you should call back in another 10 to 15 days. This can go on for months, which will seem like an eternity.

If you suspect your case is in “eternal review”, contact the IRS and ask for a status update. If the IRS states that it is still awaiting managerial approval, request a call back from that IRS representative’s manager. The IRS manager is required to contact you within 24 hours. If the IRS manager fails to return your call, request a Taxpayer Advocate Assistance Order. The IRS is then required to either immediately address the underlying concern or forward it to the IRS Taxpayer Advocate Service for mediation.

10. Massive Confusion

This last one will surely make you frustrated. You contact the IRS regarding your account, but the IRS representative has no idea who has been assigned to handle your account. Has it been assigned to IRS Collections? Or, has it been assigned to an IRS Revenue Officer? Who knows? You are then provided an 800 number to another department who may have been assigned to handle your case. So you call, sit on hold for a lengthy period of time and are then told that your case is not in their department, so you are directed to another department, and so forth.

As you can imagine, no one is immune to the frustrations that occur in dealing with the IRS. However, a competent tax representative will have experience in dealing with these situations. They are also trained to track down who it is they need to deal with in order to resolve your tax liability. So, you do not have to bear this frustration. All you have to do is remain patient while your representative jumps through the bureaucracy to try to get you the tax resolution you deserve.

Common Reasons People Owe the IRS

Posted 2/17/2009 11:50:14 AM

Owing IRS back taxes is not a comfortable situation to be in and one that—hopefully—can be avoided after reading this article. Below you will find some of the most common reasons people end up owing tax debts to the IRS and some helpful tips to prevent it from re-occurring.

Failure to File

One of the most common mistakes a taxpayer can make is failing to file a tax return. If you live and earn income in the United States above a minimum threshold amount during a particular year, you are required to pay taxes and report that income by filing a federal tax return. Many taxpayers are either uninformed or wrongly informed that they do not have tax filing obligations. Failing to file can lead to penalties and interest being assessed against you. Additionally the more delinquent tax returns you have, the more your tax liability, penalties and interest will be.

Even if you do not have a tax filing requirement for a given tax year, it may still be in your best interest to file a tax return because you may have had taxes withheld or might qualify for tax credits, which could result in a refund to you.

If you are required to file, but fail to do so, the IRS can file a substitute for return on your behalf. A substitute for return is a return prepared by the IRS based on any information that may have for you (W-2s, 1099s, etc.). It is prepared using a filing status of “single” with a household of 1, which ignores any eligible deductions, credits, and exemptions that you may be able to claim. The substitute for return will then calculate how much is owed and the IRS will attempt to collect that amount from you.

Under Withholding

Employers typically withhold taxes from their employees’ paychecks. If enough taxes are not withheld from an employee throughout the year, the employee will likely owe the IRS when they file their tax return during tax season. This tax shortfall is called under withholding. It is caused by an employee claiming excessive exemptions on their IRS Form W-4—completed at the time of hiring—which results in not having enough income tax withheld throughout the year.

If you owe taxes when you file your tax return, you should meet with a tax attorney, CPA, or professional tax preparer to have him or her help you determine the correct number of exemptions you should be claiming. Alternatively, the IRS has a useful withholding calculator on their website that can point you in the right direction.

Even if you had a refund on your taxes, a consultation with a tax attorney, CPA, or professional tax preparer may be a good idea. He or she may find that you are currently over withholding, meaning that you are having more taxes taken out of your wages every pay period than is necessary to cover your tax bill. This may not seem like a bad thing since you are getting a refund when you file your tax return. However, if you were to reduce your withholdings, you could still cover your tax obligations and also keep more of your income throughout the year.

Estimated Tax Payments

Another common form of owing the IRS is often made by business owners or self-employed individuals. These taxpayers are responsible for paying their own taxes on a monthly or quarterly basis depending on their income and estimated tax payments. Since they are self-employed, they do not have an employer to withhold taxes from their paycheck. If they fail to make their estimated tax payments throughout the year, they will likely incur a large tax liability at the end of the year. Many self-employed taxpayers are not aware of their reporting and payment obligations until it is too late. When starting a business, it is vital that you research and be aware of the relevant tax laws.

Other Causes of Tax Debts

Some other reasons people may owe the IRS relates to what is going on in their personal lives. For example, a taxpayer may have a family crisis or an emergency that occurs around tax season that prevents the taxpayer from filing a tax return on time or prevents the taxpayer from paying his or her tax bill in full. In this situation, the IRS will issue the taxpayer a bill for the amount still owing. Other taxpayers may simply misunderstand the tax laws and take exemptions, deductions, and credits that they are not qualified to claim. In this situation, the IRS will usually contact the taxpayer and inform the taxpayer of the reporting error. The taxpayer’s is then required to substantiate the exemption, deduction, or credit taken. Without substantiation, the IRS will correct the taxpayer’s tax return and the taxpayer may incur a tax liability, penalty, and/or interest.

If You Have an IRS Tax Debt

In any of the above circumstances, if the IRS determines you owe past due taxes, they will notify you. They will do this by mailing notices and/or contacting you via telephone. They may even attempt to visit you at work or at home. If they are unable to get you to voluntarily satisfy your tax debt, they may take collection action (i.e. liens, levies, garnishments, and seizures) against you. They will also tack-on penalties and interest while your debt remains outstanding.

To avoid owing the IRS, it is important to be self-motivated and educate yourself on your tax reporting and payment obligations. If you are ever unsure about your tax reporting and payment obligations, you should contact a tax attorney, CPA, or professional tax preparer and, in certain circumstances, even the IRS. The tools and the resources are out there to help you avoid owing the IRS. It is up to you to take the first step.

Nation’s Largest Tax Resolution Law Firm Settles Over $72.5 Million for Their Clients in 2008

Posted 2/16/2009 1:18:24 PM

During a year where major banks collapsed, unemployment rates skyrocketed, and the country’s economy slid into a deepening recession, Roni Lynn Deutch, A Professional Tax Corporation was able to provide IRS tax debt relief to clients collectively owing the IRS over $72.5 million. The group of clients were put on various IRS resolution programs, such as Offer in Compromise, Installment Agreement, and Currently Not Collectible status. Although each client’s unique financial situation was different, they all had one thing in common – the inability to repay their current IRS tax liability in full. With that in mind, our team of experienced lawyers were able to aggressively negotiate with the IRS to provide the best settlement possible for each client.

In January 2009, The Tax Lady’s Team Negotiated Payment Plans for Clients Owing Nearly $2.1 Million

Posted 2/16/2009 1:17:16 PM

The Tax Lady and her team of attorneys negotiated manageable monthly payment plans for clients owing the IRS nearly $2.1 million in aggregate. About half of these clients were placed on traditional Installment Agreements with payment plans averaging only $925 month. The rest of the clients were placed on Streamlined Installment Agreements, meaning they met specific requirements including less than $25,000 in owed back taxes. Their average monthly payment plans were around $250, with some as low as $80.

Law Firm Ends IRS Collections Against California Taxpayer Owing Over $500,000 to the IRS

Posted 2/16/2009 1:16:56 PM

In the month of January 2009, the nation’s largest tax resolution law firm was able to end IRS collection against a group of clients owing the IRS $1.9 million through placement on the IRS’s Currently Not Collectible (CNC) status. Included in this group of clients was one California taxpayer that owed over $570,000. Due to the efforts of the tax attorneys at our firm, the taxpayer will no longer have to worry about aggressive IRS collections so long as the taxpayer’s financial situation does not improve.

Everything you Need to Know about IRS Appeals

Posted 2/11/2009 10:44:41 AM

The IRS provides appeal procedures for a variety of situations. The focus of this article is IRS appeals as they relate to collection procedures and the resolution of an IRS tax debt.

An appeal is simply the reconsideration of a lower authority’s decision by a higher authority. For example, Joe Taxpayer has a federal tax debt of $50,000, is recently married, and has a newborn. Joe Taxpayer provides a financial statement and makes a proposal to the IRS repay his taxes through an Installment Agreement at the rate of $300 per month. The IRS rejects Joe Taxpayer’s proposal for an Installment Agreement because the IRS views Joe Taxpayer as having the ability to make a higher monthly payment than the payment amount he proposed. Joe Taxpayer disagrees with the IRS’s analysis because it appears their analysis is based on a household of one (Joe only) rather than three (Joe, his wife, and child).

In this situation, Joe Taxpayer can and should appeal the IRS’s rejection of his Installment Agreement by filing the appropriate forms and identifying the issues with which he disagrees (i.e. the number of people in his household). If the decision to reject the Installment Agreement is properly appealed, an IRS will assign an appeals officer to review the rejection decision.

The scenario above is an example of an issue that may be appealed. There are different appeals procedures that apply in different situations. Below are the primary appeals process that relate to IRS collection and debt resolution issues.

Collection Due Process Hearing

The Collection Due Process (CDP) hearing is triggered by the receipt of specific IRS notices. The notices that will trigger the right to file for a CDP hearing are:

1. Notice of Federal Tax Lien and Your Right to a Hearing Under IRC 6320
2. Final Notice – Notice of Intent to Levy and Your Right to a Hearing
3. Notice of Jeopardy Levy and Right of Appeal
4. Notice of Levy on Your State Tax Refund

A CDP hearing allows the taxpayer to present their objection to the IRS’s proposed action. At a CDP, the taxpayer can present financials and propose a resolution to a tax debt such as an Installment Agreement, Offer in Compromise, or Currently Not Collectible Status. Additionally, taxpayers can, in limited circumstances, dispute the tax debt.

A taxpayer has only 30 days from the date of the triggering notice to file an appeal. Once the 30-day window lapses, the right to file for a CDP hearing is lost.

If a taxpayer wants to take their issue to U.S. tax court, they are generally required to follow the CDP procedures. This makes filing a proper and timely request for a CDP hearing very important. Because failure to request a CDP hearing will forclose the taxpayer’s ability to take their issue to U.S. Tax Court.

Equivalent Hearing

An Equivalent Hearing is very similar to a CDP hearing, except for these three primary differences are as follows:
1.) A request for an Equivalent Hearing can be submitted more than 30 days after receiving one of the CDP type notices discuss in the preceeding section ;
2. The IRS can continue collection efforts while an Equivalent Hearing is in progress; and
3. A taxpayer cannot move forward to U.S. tax Court if the appeals decision is adverse.

Both the CDP hearing and Equivalent Hearing can be requested by completing Form 12153 Request for a Collection Due Process or Equivalent Hearing.

Collection Appeal Process

The Collection Appeal Process (CAP) is much broader that the CDP process in terms of when the procedure is available. Unlike a CDP hearing, if a taxpayer is not successful, the IRS decision will generally stand and the taxpayer cannot continue the fight in U.S. Tax Court. In addition, a taxpayer cannot under any circumstance dispute the existence or amount of a tax debt. The situations that trigger the right to the CAP are as follows:

1. Notice of Federal Tax Lien
2. Notice of Levy
3. Seizure of Property
4. Denial of Request to Have Seized Property Returned
5. Rejection of Termination of an Installment Agreement

In order to appeal through the CAP, a taxpayer must make an attempt to resolve their tax issue with an IRS manager. If a taxpayer’s issue is still not resolved after speaking or corresponding with an IRS manager, the taxpayer may submit a request for an appeal using Form 9423 Collection Appeal Request. Like the CDP, there are time frames within which the CAP must be filed and those timeframes vary depending on the situation.

Appeal of an Offer in Compromise

A rejected Offer in Compromise may be appealed in one of two ways. A taxpayer may complete and submit Form 13711 Request for Appeal of Offer in Compromise, or, a taxpayer can simply draft a letter containing the following information:

1. Taxpayer’s name, address, SSN, and daytime telephone number;
2. A statement that the taxpayer wants to appeal the IRS findings to the IRS Appeals office;
3. A copy of your rejected offer letter, and the tax period or years involved;
4. A list of the specific items you don’t agree with and the reasons why you don’t agree with each item;
5. Any additional information you want the Appeals Office to consider;
6. The facts supporting your position on any issue that you do not agree with;
7. The law or authority, if any, on which you are relying; and
8. Sign the written protest, stating this it is true under the penalties of perjury.

Regardless of the method used, an appeal must be requested within 30 days from the date on the IRS’s letter rejecting the Offer in Compromise.

The CDP, Equivalent Hearing, CAP, and Appeal of an Offer in Compromise are the more common types of appeals processes available to taxpayers and their representatives in trying to resolve an assessed IRS tax debt. However, there are other appeal options available for different situations such as the appeal of a Proposed Trust Fund Recovery Penalty, appealing the denial of a request for the abatement of penalties, or appeal of denial of innocent spouse relief.

On The Money - Web Extra on Tax Relief

Posted 2/9/2009 12:10:01 PM

On Wednesday, Roni Deutch was on CNBC’s On the Money with Carmen Wong Ulrich. There, she answered Frequently Asked Questions from viewers about taxes.

More importanly, she appeared on a special, web-extra, on the On the Money blog. There, she provided tax relief tips — what you should do if you owe the IRS. You can catch her appearance by clicking the link below.

Link: http://www.cnbc.com/id/29019667

AZ Taxpayer Hires Tax Law Firm to End IRS Collection Activity

Posted 1/30/2009 1:31:03 PM

Mr. Kampelman of Benson AZ hired our law firm to help ease the stress of aggressive IRS collection activity. Fortunately, because of his financial situation, Mr. Kampelman was an ideal candidate for placement on the IRS’ Currently Not Collectible (CNC) status.

“Mr. Kampelman did a great job of providing financial information promptly and keeping us in the loop as far as IRS collection activity,” recalls John Wetenkamp, the attorney who worked on this case. “He was in IRS Collections and the next step for him would have been levies if we had not set him up on CNC status.”

“This case only took about 4.5 months to complete,” continues Wetenkamp. “There were a couple things that hindered us from getting it done even earlier. First, Mr. Kampelman had sent us his unsigned tax returns instead of sending them to the IRS. Second, the IRS representative we initially spoke with about the CNC status was unable to access the account, which necessitated an additional call that would not normally need to be made. However, the returns were eventually filed, the account access limitations were lifted, and the account was placed into CNC status in October 2008.”

“I called very worried about the IRS. [But,] within 3 minutes of talking to you,” notes Mr. Kampelman, “months of stress literally vanished. Thank you for all your help! I will recommend you to anyone who needs tax help of anything your law or tax companies offers.

The Tax Lady Helps Taxpayer in Louisiana

Posted 1/30/2009 1:30:33 PM

From Mr. Reed of Baker, LA”

“Your company has been very professional, and prompt. Every time I see your commercial, I scream out: “There’s my girl Ron[i].” I have been recommending your services to my friends and relatives. I really appreciate what you did for me. Thank you again.

Client on CNC Status Hires our Law Firm to Negotiate OIC

Posted 1/30/2009 1:30:16 PM

Mr. Macon of Asheville, NC was already in Currently Not Collectible (CNC) status when he hired the law firm in December 2007. He hired us to negotiate a settlement of his $46,000+ tax debt. Initially, he had multiple years worth of tax returns to get filed, but once those were taken care of we were able to negotiate an Offer in Compromise (OIC) with the IRS on his behalf.

“In February 2008, we still had not received Mr. Macon’s tax transcripts from the IRS, so I conducted a liability check,” notes tax attorney John Wetenkamp. “I called the IRS and they informed me that he owed for 2000 and 2001 and that he was fully compliant—meaning that all necessary tax returns were filed. We then filed his OIC with the IRS in April 2008. The IRS responded three weeks after we filed the offer, and had serious questions as to how client was making ends meet. The IRS was also focused on the possible contribution of other non-liable members of the household. Fortunately, Mr. Macon responded in a forthright and prompt manner. I believe, in the end, this is part of the reason the IRS agreed with our original offer amount of $380.”

“I would like to thank all of you from the bottom of my heart,” notes Mr. Macon. “The whole firm was nothing less than consummate professionals; you handled my case as though I were a heavy-hitter, instead of the regular ‘Joe’ that I am. You saved me $46,000, and for that I am truly grateful.”

“I had seen the myriad of tax relief advertisements on TV,” continued Mr. Macon. “I figured they were all bogus. However, everything your representatives said would happen did. I am indebted to your firm for your help and the amount of stress you have alleviated is a godsend.”

Minneapolis Couple Hires Roni Deutch After Attempting to Resolve their Tax Debts on their Own

Posted 1/30/2009 1:29:52 PM

Mr. and Mrs. Simmons of Minneapolis, MN retained our law firm after Mr. Simmons had already attempted to negotiate a settlement to his personal tax liabilities. However, both he and Ms. Simmons, had joint and individual liabilities that required knowledge of IRS collection procedures and practices to properly resolve.

“Due to the complexity of the Simmons’ situation and their liabilities,” notes Christian Montgomery, who negotiated the Simmons’ resolution, “Mr. Simmons’ own efforts to resolve his liabilities required him to make unaffordable payments to the IRS. Unfortunately, his payment plan failed to protect both himself and his spouse from IRS collection efforts.”

“We were able to work with Mr. and Mrs. Simmons regarding their tax liabilities and obtained information from them regarding their income, expenses, and assets,” continued Montgomery. “Using this information, we were able to demonstrate to the IRS that they were unable to make monthly payments to the IRS. By engaging in negotiations with the IRS, we successfully placed all of Mr. and Mrs. Simmons’ tax liabilities into Currently Non-Collectible status.”

“Roni, I want to thank you and your team members for what you have done for us,” recalls Mr. Simmons. “It’s a joy, a blessing, to be able to go to our mailbox and not see a letter from the IRS, threatening as to what they are about to do. It’s like a heavy weight, or burden lifted up off you shoulder – now you can exhale. I find myself a much happier person. I appreciate you and your team of workers. Thank you once again, it’s been a long journey but we made it.

Taxpayer from Okalahoma Hires Roni Deutch After Extensive Research

Posted 1/30/2009 1:29:28 PM

From Mr. Kuhlman of Andmore, OK:

“I would like to express my deepest appreciation for Roni Deutch and Bret Adams, as well as any additional staff that assisted with my case. After extensive research I chose this firm and know I made the best choice possible. Everyone I had contact with was extremely helpful. My case was resolved in a reasonable amount of time thanks to the hard work and knowledge of all involved. Everyone’s professionalism and dedication exceeded my expectation. I can never thank you all enough for all you did for me, and assisting me in receiving an absolute minimal settlement. I will always be grateful.”

Taxpayer from Philadelphia Hired Roni Deutch to Solve his Tax Problems

Posted 1/30/2009 1:29:04 PM

Mr. Brown of Philadelphia, PA hired our law firm to help end his tax problems. Fortunately, after reviewing his account, it was clear that he would be an excellent candidate for placement on the IRS’s Currently Not Collectible (CNC) status.

“My experience with your company was more than I had expected,” claimed Mr. Brown. “Roni’s team was so helpful and pleasant to talk to. My IRS problems were quickly taken care of, and it took a lot of weight off my shoulders. I would recommend your team of tax lawyers to everyone, and I have already had two or more people I know call your company.”

“Mr. Brown retained our law firm for placement on the IRS’s CNC status,” notes tax resolution attorney Ryan Carrere. “After communicating with the IRS, it was determined that the taxpayer had a missing tax return. The good news was that although Mr. Brown was non-compliant, the IRS had previously “shelved” his account, which allowed him time to prepare and file his missing tax return. Once the missing tax return was filed and posted, our law firm presented financials to the IRS arguing for placement on CNC status due to the financial hardship on all outstanding balances. The IRS approved the request a short time thereafter.”

Stressed Taxpayer Hired Roni Deutch After Seeing Her TV Commercial

Posted 1/30/2009 1:28:41 PM

Mr. and Mrs. Johnakin of Columbia, SC did not know where to turn when the IRS notified them that they owed multiple years worth of back taxes. Fortunately, after seeing one of Ms. Deutch’s television commercials they decided to retain our law firm.

“The Johnakins were originally hoping to negotiate an Installment Agreement with the IRS in the amount of $250 per month,” notes attorney Sean Chi. “Unfortunately, there were some issues that prevented the case from being quickly resolved. First of all, the client needed to file a few years of tax returns. Secondly, the Installment Agreement amount they desired did not seem possible due to a considerably higher income than we originally expected. Fortunately, the client understood these issues and agreed to a higher payment amount so we could quickly resolve the account. Once we got the green light from the client, we were able to set them up on an Installment Agreement marginally higher than what they originally hoped to pay.”

“I have had a very positive experience dealing with Roni Deutch ‘law firm,” notes Mrs. Johnakin. “I was extremely stressed out when I was first notified by the IRS of how much I owed in back taxes. I felt I was at the end of my rope, with nowhere to turn. Then I saw your ad on TV. At the time there were three companies (including yours) that were running ads. After comparing what was being offered, and the prices of each company, I chose your company. I’m so glad that I did! I have never had the pleasure of dealing with such a great group of professionals that make sure everything one does is acknowledged. I hope never to be in this spot again but believe me if I ever run across anyone needing the type of expertise that your company provides, you will be my “only” recommendation to them! Again, thank you from the bottom of my heart!”

Nation’s Largest Tax Resolution Law Firm Helps Disabled Washington Taxpayer

Posted 1/30/2009 1:28:18 PM

From Prindiville Sr. of Colbert, WA:

“I had a positive experience with your law firm. I’ve been disabled since 1975. They took a blood clot out of my brain, and I was paralyzed on my right side. For 30 years I had to learn to walk, talk and read. I was right handed and had to learn to write with my left. I was an artist. I’ve had a good experience with your law firm phone wise and mail wise. I would highly recommend your services to anyone in need of help with IRS back tax debts.”

Law Firm Helps Virginian Client Hoping to Become a Homeowner

Posted 1/30/2009 1:27:59 PM

From Mrs. Dickerson of Richmond, VA

“Dear Mrs. Deutch, I would like to thank you from the deepest part of my heart, for helping me to lift a humongous pain and burden on my husband who is a heart patient. We can now dream of becoming homeowners again, and building a future for our grandchildren.

“I frequently talked with Diane and on the day I got my confirmation letter I cried like a baby on my knees thanking the Lord for another chance to be self reliant. I have already verbally praised your firm and given your number and address to several people. Thank you, God bless you.”

Law Firm Negotiates IRS Relief for Taxpayer in Under 2 Months

Posted 1/30/2009 1:27:39 PM

Mr. Tidwell of Canton, OH hired our law firm to help negotiate an Installment Agreement with the IRS. Fortunately, he had previously been set-up on a payment plan, so the IRS allowed our law firm to get the prior agreement reinstated. This also reduced the fee Mr. Tidwell had to pay the IRS to process his application.

“I retained Roni Deutch’s law firm to handle a very serious and frightening problem I had with the Internal Revenue Service,” remembers Mr. Tidwell. “I am very pleased with the professional and courteous manner in which they handled this problem. Roni’s assistant got busy with our problem right away and has been very helpful and informative.”

“Mr. Tidwell’s case was started and finished in less than two months,” notes John Wetenkamp, the attorney who represented Mr. Tidwell. “There were virtually no problems along the way. The client was compliant with the filing of back tax returns, so no delays there. He returned the Fee Agreement and Power of Attorney forms right away, which enabled us to get started on his case right away. The negotiation itself was smooth. The IRS agreed to reinstate his previous Installment Agreement—instead of setting up an entirely new one—which helped speed up the overall process.”

6 Ways to Avoid Owing an IRS Tax Debt

Posted 1/23/2009 2:21:50 PM

A tax debt is one of the worst kinds of debt that you can get into, as the IRS often assesses high penalties and fees that can drastically increase your total liability. Thankfully, with a little bit of organization and observation, there are ways that you can avoid ever getting into the situation in the first place.

1. Adjust Withholdings
An individual taxpayer can change their withholdings at anytime by filing a new IRS Form W-4 with their employer. It is usually a good idea to take advantage of what we call the “Goldilocks” approach to withholdings—not too much and not too little. Too much, and you are giving the federal government an interest free loan. Too little, and you are going to have to cut a fat check, and possibly pay a penalty, come April 15th.

2. Estimated Tax Payments
Estimated tax payments are essentially a substitute for withholding taxes for the self-employed. Unfortunately, the historical failure of small business owners to timely and accurately pay estimated tax payments has led the IRS to shift its gears and focus on small business owners when it comes to audits. If you are required to make estimated tax payments, then it is now more important then ever to make sure you make them on time.

3. Follow the Rules
The worst possible mistake you can make while filing a tax return is claiming a deduction you do not qualify for. A lot of taxpayers make the mistake of assuming that they qualify for credits and exemptions they do not actually qualify for. One good example of this is the child tax credit – while it seems like anyone with a kid can get one, there are a lot of qualifications you may not be aware of. Always double, and triple check any large exemptions or credits.

4. Cover Debt
If you are unable to pay your full tax bill by the due date, act fast to set up an alternative payment method. By calling the IRS, or having a tax specialist do so, you can set up an Installment Agreement with the IRS which will let you pay your debt off in monthly payments. This is a much better choice than tax evasion, which could result in hefty fines and penalties.

5. Seek Professional Help
Before sending in your final tax return, have a professional tax preparer or someone knowledgeable in taxes to look over it. You may have accidentally claimed a deduction you did not qualify for, forgotten to include a big expense, or even made a simple math error. It may well be worth the extra expense to have a professional tax preparer review your returns to reduce the likelihood of receiving an additional tax bill or audit notice. A professional tax preparer will also be able to review you return for any credits and deductions you have overlooked.

6. File Your Return – Even if You Don’t Think You Will Owe
Almost all individuals are required to file an income tax return if their gross income exceeds the standard deduction plus one personal exemption (i.e. valued at 8,950 in 2008). That is the case even if you do not believe you will owe any taxes. Failing to file your return puts you at risk of having the IRS file a return on your behalf, better known as a Substitute for Return. With a Substitute for Return, the IRS will claim single filing status and the standard deduction for the taxpayer—often leaving thousands of dollars in possible deductions and credits unclaimed. This often results in taxpayers being assessed a larger tax liability than they would have had they filed their own return. Finally, even if you are not required to file a return, you may want to if you are eligible for credits that could result in a refund to you.

Nationwide Law Firm Ends IRS Collection Against Clients Collectively Owing Over $2 Million

Posted 1/23/2009 1:33:14 PM

Roni Lynn Deutch, and her team of experienced attorneys, were able to negotiate IRS relief for clients owing the IRS over $2 million in the month of December 2008. The law firm’s clients were from all over the country, and each owed the IRS a different amount, but they all had one thing in common: they could not afford to repay their IRS tax liabilities. This made them candidates for placement on the IRS’s Currently Not Collectible status. Being placed on CNC status suspends all IRS collection activity until the taxpayer’s financial situation improves such that the IRS believes the taxpayer has the ability to repay some or all of his or her tax liability or the time period for the IRS to collect expires..

Tax Resolution Law Firm Negotiates Payment Plans for Clients Owing A Combined $2.3 Million to the IRS

Posted 1/23/2009 1:32:47 PM

During the month of December 2009, the tax resolution lawyers of Roni Lynn Deutch, A Professional Tax Corporation negotiated Installment Agreements with the IRS for a group of clients who collectively owed the IRS over $2.3 million. Part of the group, owing $1.0 million in aggregate, was placed on Streamlined Installment Agreements, which are designed for taxpayers owing the IRS under $25,000. The rest of the clients were placed on traditional Installment Agreements. To learn more about the different types of Installment Agreements, as well as the other tax debt resolution programs offered by our law firm, check out our services page.

The Tax Lady and her Team of Attorneys Helped Clients Owing the IRS $1.2 Million Find Relief from IRS Collections

Posted 1/20/2009 3:29:22 PM

Roni Deutch and the attorneys at her law firm negotiated Installment Agreements for clients collectively owing the IRS $1.2 million during the month of November 2008. Installment Agreements enable these clients to repay their IRS tax debts through manageable monthly payments as well as halt IRS collection activity so long as the taxpayer makes the installment payments. Each client’s monthly payment amount varied depending on their specific financial situation, but many were as low as a few hundred dollars per month.

Tax Lawyers Negotiate Streamlined Installment Agreements for Clients Owing the IRS Over $1 Million in Aggregate

Posted 1/20/2009 3:28:56 PM

Our highly trained tax lawyers were able to bring tax relief to a group of taxpayers owing the IRS over one million dollars by negotiating Streamlined Installment Agreements with the IRS. The clients owed the IRS on average just over $14,000, which was reduced to an average monthly payment of around $260.

Nation’s Largest Tax Resolution Law Firm Ends IRS Collection Activity Against Taxpayers Owing the IRS $1.3 Million

Posted 1/20/2009 3:28:31 PM

In the month of November 2008, the experienced attorneys at Roni Lynn Deutch, A Professional Tax Corporation successfully ended collection activity against clients collectively owing the IRS $1.3 million through placement on the IRS’s Currently Not Collectible (CNC) status. Generally, unless a taxpayer’s financial situation changes, the taxpayer’s account will remain on CNC status until the taxpayer’s tax liability expires. Conversely, if the taxpayer’s financial situation does improve, the IRS may remove the taxpayer from CNC status. For more information on Currently Not Collectible status check out our Currently Not Collectible page in our Services section.

The Tax Lady and her Team of Attorneys Helped Clients Owing the IRS $1.2 Million Find Relief from IRS Collections

Posted 12/23/2008 9:40:56 AM

Roni Deutch and the attorneys at her law firm negotiated Installment Agreements for clients collectively owing the IRS $1.2 million during the month of November, 2008. Installment Agreements enable these clients to repay their IRS tax debts through manageable monthly payments as well as halt IRS collection activity so long as the taxpayer makes the installment payments. Each client’s monthly payment amount varied depending on their specific financial situation, but many were as low as few hundred dollars per month.

Tax Lawyers Negotiate Streamlined Installment Agreements for Clients Owing the IRS Over $1 Million in Aggregate

Posted 12/23/2008 9:40:05 AM

Nation’s Largest Tax Resolution Law Firm Ends IRS Collection Activity Against Taxpayers Owing the IRS $1.3 Million

Posted 12/23/2008 9:37:28 AM

In the month of November, 2008, the experienced attorneys at Roni Lynn Deutch, A Professional Tax Corporation successfully ended collection activity against clients collectively owing the IRS $1.3 million through placement on the IRS’s Currently Not Collectible (CNC) status. Generally, unless a taxpayer’s financial situation changes, the taxpayer’s account will remain on CNC status until the taxpayer’s tax liability expires. Conversely, if the taxpayer’s financial situation does improve, the IRS may remove the taxpayer from CNC status. For more information on Currently Not Collectible status check out our Currently Not Collectible page in our Services section.

6 Reasons to Hire a Tax Lawyer to Resolve Your IRS Tax Debt

Posted 12/5/2008 4:49:52 PM

Negotiating a tax resolution with the Internal Revenue Service (IRS) on your own can be stressful and difficult. In this situation, the right person to turn to is an experienced tax lawyer who will be able to negotiate directly with the IRS on your behalf. If you want your tax liability settled quickly and correctly then you should consider hiring a tax lawyer for the following reasons:

1. Experience
Tax lawyers have the education, training, and experience to help you solve your tax troubles. A competent tax lawyer will be knowledgeable about the IRS’ complicated tax code and therefore, better suited to help you resolve your tax debt.

2. IRS Defense
As you may already know, the IRS can be aggressive in their collection efforts. If you feel the IRS has treated you unfairly, then it is in your best interest to hire someone who has experience in dealing with the IRS and won’t be intimidated.

3. Privileged Communications
When you communicate with a tax lawyer or his or her staff, you can rest assure that what you tell them will remain confidential. Like all lawyers, tax attorneys are required to keep your communications confidential. They will only discuss with the IRS your financial information in order to resolve your tax debt.

4. Ethical Standards
Tax lawyers are licensed and regulated by their state bars. They are required to complete a minimum amount of continuing legal education to remain up-to-date on their profession. They are also required to be honest in their communications. To do otherwise, would be to risk disciplinary sanctions by their state bar.

5. Skills of Negotiation
A tax lawyer’s negotiation skills and experience come in handy when negotiating with the IRS to resolve your debt. A tax lawyer can negotiate a manageable tax resolution since they have the experience and negotiation skills necessary to deal with the IRS.

6. Not intimidated be the IRS
Most people are intimidated by the IRS and the IRS knows this. On the other hand, tax lawyers are not intimidated by the IRS because they know what the IRS can and cannot do. Competent tax attorneys will not back down in their negotiations with the IRS until they have done the best they can for their clients.

Confused Client Gets Help From Experienced Attorneys

Posted 11/25/2008 11:48:46 AM

Ms. Rivera of Canoga Park, CA hired our law firm to negotiate an Installment Agreement with the IRS. During collections, the IRS issued a lien on Ms. Rivera’s property. However, once the IRS accepted her Installment Agreement all collection activity ended.

“Ms. Rivera hired our law firm to resolve her back tax liabilities and protect her income and assets from full remission to the IRS,” notes Christian Montgomery, the attorney who represented Ms. Rivera. “By working with Ms. Rivera to obtain a complete review of her financial situation and holdings, our law firm was able to negotiate a minimal payment plan with the IRS that was affordable to her, and protected her assets and income from the IRS.”

In October Roni’s Team of Attorneys Ended IRS Collections Against Taxpayers Owing the IRS $2.4 Million

Posted 11/25/2008 11:48:22 AM

The experienced tax lawyers at Roni Lynn Deutch, A Professional Tax Corporation assisted a group of taxpayers owing the IRS in aggregate over $2.4 million through placement on the IRS’ Currently Not Collectible Status. Each client owed the IRS on average almost $50,000, but they could not afford to fully repay their IRS debt. To learn more about the Currently Not Collectible Status and whether it is an appropriate resolution for your tax situation, check out our Currently Not Collectively page in our Services section.

Law Firm Helps Taxpayer Living Off Social Security Resolve His Back Tax Debts

Posted 11/25/2008 11:47:57 AM

Mr. Lewis of Caseyville, IL retained Roni Lynn Deutch, A Professional Tax Corporation after the IRS began taking funds from his social security checks.

“I was deep in debt, and the IRS didn’t have any mercy,” claims Mr. Lewis. “They began to take money out of my social security checks even though I could not afford it. Fortunately, Roni’s law firm gave me expert counsel and good advice.”

“Mr. Lewis’ case had many of the common issues that arise during representation and is an excellent example of how these issues can be resolved when the client is as responsive and patient as Mr. Lewis,” notes attorney Sean Chi. “It is not entirely uncommon for a client, once they have provided all their documentation, to have underestimated the amount of income they had when they first contacted us. After receiving all of Mr. Lewis’ documentation, his income was higher than he first reported to us. He was then saddled with a levy on his social security income. However, he was responsive to the letter we sent to him regarding his financial status and we were able to make adjustments to account for his fluid financial satiation.”

“As a result, we were able to get him placed on Currently Not Collectible status and have his wage garnishment lifted while we continued to work towards filing his Offer in Compromise (OIC),” continued Chi. “Mr. Lewis continued to be responsive during the OIC process, providing answers and documentation as requested. When issues arose, he was able to provide accurate information and documentation to support our position. Because of his cooperation, we were able to get his offer approved. Mr. Lewis was a pleasure to have as a client.”

Law Firm Negotiates Installment Agreements for Clients Owing the IRS Over $3.2 Million in Aggregate

Posted 11/25/2008 11:47:20 AM

By negotiating Installment Agreements with the IRS in October, 2008, our law firm’s experienced tax attorneys were able to settle the tax problems of a group of clients owing the IRS in aggregate over $3.2 million. Some taxpayers owed the IRS less than $5,000.00 while others owed close to $650,000.

Law Firm Negotiates Installment Agreement For PA Resident

Posted 11/25/2008 11:47:02 AM

Ms. Arnold of Philadelphia, PA hired our law firm to assist her with negotiating an Installment Agreement with the IRS. Ms. Arnold had multiple years of unfiled returns, that once filed brought her total liability to just over $25,000. She was also dealing with an IRS levy that we were able to get released shortly after she retained our law firm.

Although Ms. Arnold could have qualified for a regular Installment Agreement, paying her debt down to under $25,000.00 made her an excellent candidate for a Streamlined Installment Agreement. Through negotiating with the IRS our tax lawyers were able to set Ms. Arnold up on a plan of $450.00 per month.

“Ms. Arnold retained our office to negotiate an affordable Installment Agreement with the IRS,” notes attorney Ryan Carrere. “Prior to retaining our office, the IRS was asking Ms. Arnold to make monthly payments of $3,433. Given Ms. Arnold’s financial situation and the amount of her liability, the IRS’ position was clearly unreasonable. By negotiating with the IRS, I was able to get Ms. Arnold approved for an Installment Agreement in the amount of $450.00 per month—almost $3,000.00 per month less than what the IRS was initially demanding.”

“I was frustrated and financially unable to pay the monthly payment set by the IRS,” claimed Ms. Arnold. “I contacted Roni Lynn Deutch’s law firm and they successfully negotiated with the IRS on my behalf. They were able to have my monthly payments reduced by over $3,000.00. I am and will be eternally grateful to Ms. Deutch’s law firm for settling my problem with the IRS.”

Attorney Brett Adams Reviews Accounts of Taxpayers from Across the Country in October of 2008

Posted 11/25/2008 11:46:39 AM

Brett Adams, one of the experienced attorneys at Roni Lynn Deutch, A Professional Tax Corporation, assisted dozens of clients from across the country with their tax problems this month by providing specific information about the status of their IRS account. To learn more about the service our law firm provided to these clients, check out the Tax Account Review page in our Services section.

Confused Client gets Relief through Placement on CNC Status

Posted 10/20/2008 4:07:37 PM

Mr. Fusco of Mountainside, NJ owed the IRS close to $1 million when he called our law firm for help. Mr. Fusco had not worked during 2004 and 2005, and therefore, did not file tax returns for those years. In 2006, Mr. Fusco accumulated an unpaid tax liability. He then began to receive letters from the IRS, but was confused and did not know what to do. After calling our law firm, we were able to help Ms. Fusco by getting him placed on the IRS’s currently not collectible status.

“Mr. Fusco’s case required patience, expertise, and persistence given the large liability owed to the IRS and the assignment of his case to its various collection branches,” recalls Christian Montgomery, the attorney who worked on Mr. Fusco’s case. “Because of the assignment of Mr. Fusco’s liabilities among several collection branches, many negotiations were required to successfully resolve his outstanding liabilities. But we were able to get it done.”

“Thank you for your hard work, allowing me the status of having a non-collectable status,” notes Mr. Fusco.

Louisiana Resident Struggles with IRS Debts for Eight Years

Posted 10/20/2008 4:07:01 PM

From Mr. Guidroz of Hammond, LA

“My Installment Agreement was handled very efficiently and professionally. My payment amounts were lower than the projected amounts. After over eight years of fighting the IRS, my $23,000 tax liability was finally settled for a payment plan that I could afford. I am pleased with $374 a month, which seems reasonable for five years. Thank you very much for your services and I won’t hesitate to refer anyone that may need help with IRS back taxes.”

Taxpayers Call Roni Deutch After Unsuccessfully Trying to Negotiate a Settlement Directly with the IRS

Posted 10/20/2008 4:06:24 PM

Mr. and Mrs. Resse of Wichita, KS called our law firm after seeing one of Roni Deutch’s television commercials. They had been dealing with IRS collections since 2005 and were desperate to get their tax problem solved.

“Our tax liability dated back a few years,” recalls Mrs. Reese. “We had tried to negotiate a settlement with the IRS on our own, but it was disastrous. I wasted hours on the phone with IRS agents, only to find no success. Thankfully, I had the exact opposite experience when I called Roni Deutch’s law firm. Life feels so much better now that our tax problems are settled. And the amount we pay each month is what we can afford so we do not have to worry as much anymore. As long as we get our payment in on time we will be fine!”

“Working on Mr. and Mrs. Reese’s case was fairly simple,” notes the Reese’s attorney Sean Chi. “They had the foresight to file all their tax returns, so we knew exactly how much they owed and were able to inform them well ahead of time of an accurate approximation of how much they would need to pay the IRS on their Streamlined Installment Agreement. They were so responsive that the only issue holding up their case from being resolved earlier was simply waiting for the IRS to process the Power of Attorney.”

Once the Power of Attorney was processed, attorney Chi was able to contact the IRS and set up a payment plan that was $20 lower than the $220 per month they had already agreed to pay. “Once the SIA was set up for $200 and the payment arrangements were set according to the Reese’s preferences, I contacted the Reese’s and informed them of the good news,” stated attorney Chi. “They were ideal clients and I was happy to help them alleviate the tax burdens that had been weighing on their shoulders.”

“Working with Roni Lynn Deutch was a great experience,” notes Mr. Reese. “The law firm kept us informed with every step that they were doing. They were able to set us up with a payment plan with the IRS that I could afford to pay back. I would recommend Ms. Deutch’s law firm to anyone that is having problems with the IRS.”

Law Firm Negotiates Monthly Payment Plan for Chicago Taxpayer

Posted 10/20/2008 4:05:38 PM

Ms. Davis of Chicago, IL originally hired our law firm to prepare and file an Offer in Compromise on her behalf. But after months of effort, it was rejected. Undaunted, Ms. Davis worked closely with our legal staff a second time to negotiate an Installment Agreement with the IRS that lets her repay her tax debt through manageable monthly payments.

“We represented this client on two separate occasions,” notes Ms. Davis’ attorney John Wetenkamp. “She initially hired us for an Offer in Compromise, which took several months to prepare and file. This client was diligent in responding to the IRS requests during our representation. It is not always easy for clients to stay on top of things because the IRS typically demands various documents and substantiation, and allows very little time to respond. Unfortunately, Ms. Davis’ offer was rejected because the IRS valued her business assets at an amount higher than the client claimed and the client could not disprove the valuation. Thus, the IRS believed that her collection potential was higher than what she was offering and declined to accept her submitted Offer in Compromise.”

When we represented Ms. Davis a second time, it was to set up an Installment Agreement. Again, Ms. Davis was cooperative and diligent in responding to our request letters. She was also quick to respond to the analysis letter we sent to her wherein we explained to her how the IRS would be viewing her income, expense, and asset situation. She was willing for us to negotiate with the IRS for a monthly payment of $627.

“Her break came when I contacted the IRS to negotiate the IA,” stated Mr. Wetenkamp. “We got an IRS representative that really knew what she was doing. She agreed to $500 per month based on the assessed balance. The case was resolved in less than seven months. This client was very patient and persistent, especially given all the time we spent on the Offer in Compromise the first go-around.”

Ms. Davis could not have agreed more. “Well it has been a long process and the experience was good for one reason: Roni Deutch’s law firm kept the IRS off me until we came to an agreement,” claimed Ms. Davis. “I now realize I could have handled things differently, and could have slowed down a little on my spending. But thank you for your help and making a breakthrough with the IRS. I will continue to do the right thing with my taxes, and will tell everyone how helpful Ms. Deutch’s staff was.”

As long as Ms. Davis continues to make her monthly payments she will not have any more problems with IRS collection agents.

Nation’s Largest Tax Resolutions Law Firm Negotiates IRS Payment Plans for Clients Owing the IRS $2.1 Million in Aggregate

Posted 10/8/2008 2:29:40 PM

By negotiating Installment Agreements with the IRS, The Tax Lady’s team of attorneys were able to help solve the tax problems of families across the country who collectively owed the IRS a total of $2.1 million. Each client owed on average a little more than $22,000 to the IRS. By negotiating with the IRS, the attorneys at Roni Lynn Deutch, A Professional Tax Corporation were able to get these clients on monthly payment plans as low as $50 per month, with an average monthly payment of just under $350.00.

Skilled Attorney Christian Montgomery Helps End Collection on Clients Owing Over $600,000 to the IRS

Posted 10/8/2008 2:28:45 PM

Christian Montgomery, one of the attorneys of our law firm, successfully negotiated an end to IRS collection activity for 24 clients in the month of September 2008. These clients collectively owed the IRS over $600,000. Some clients owed the IRS as much as $88,000, but the average liability amount was slightly above $27,000. Mr. Montgomery was able to end IRS collections by getting the clients placed on IRS Currently Not Collectible status, which is one of the many services our law firm provides.

Law Firm Ends Collection on Taxpayers Owing Approximately $2.1 Million through placement on IRS Currently Not Collectible Status

Posted 10/8/2008 2:28:25 PM

In the month of September 2008, the tax attorneys of Roni Lynn Deutch, A Professional Tax Corporation successfully ended collections against a group of taxpayers owing the IRS $2.1 million in aggregate. These clients each owed the IRS $31,000, on average, but were unable to meet necessary living expenses, let alone make huge tax payments to the IRS.

Tax Resolution Companies: the Good, the Bad, and the Ugly

Posted 10/2/2008 3:23:54 PM

If you owe the IRS back taxes and cannot afford to make your tax payments, then you may qualify for one of the IRS’s settlement programs. However, negotiating a resolution with the IRS can be hard to understand and very time consuming. As such, many taxpayers seek help from a tax resolution company. In doing so, it is important to avoid unscrupulous companies that might take your money and provide little in return. To help those of you out there researching a potential company to hire, we have put together this list of some good, bad, and ugly characteristics exhibited by tax resolution companies.

Good:
1. Successful Track Record
If the tax resolution company is legitimate, then they should be able to provide evidence of recent cases they have successfully settled. If you cannot find any testimonials or successful resolutions on their website then you might want to ask a representative for a list of recently accepted settlements.

2. Free Tax Analysis
A good tax resolution company will provide you with some type of free analysis or financial review before you hire them. Based on this information, they should explain to you what type of resolution you are likely to qualify for (Offer in Compromise, Installment Agreement, etc.).

3. Friendly & Helpful Associates
Hiring a tax resolution company is a big deal, so you should feel free to ask as many questions as needed to make a proper decision. Employees from a good tax resolution company will understand this and welcome your inquiries.

Bad:
1. Traveling Sales People
Be wary of tax resolution companies that have traveling sales people or temporary offices. When you are speaking to a tax resolution company be sure to ask who will be in charge of your case, where will the work be performed, and the contact information for that location.

2. Guaranteed OIC Acceptance
There are never any guarantees when it comes to negotiating a settlement with the IRS. If a tax resolution company promises you that your Offer in Compromise (OIC) will be accepted, then they are probably not worth hiring. Although you might make for an excellent candidate for an OIC, there is no guarantee that the IRS will accept it.

3. Demanding Full Payment Upfront
Although you are likely going to have to pay some sort of retainer or initial payment at the time your hire the company, you should avoid tax resolution companies that demand full payment upfront. Most good companies will provide other payments options, such as payment plans so you can afford their services.

Ugly:
1. Immediate Push for Hiring
If a company’s representative pushes you to hire them within a few minutes into the initial call, then you should probably hang up. Likewise, you should avoid companies who want you to hire them without first collecting financial information about you. Think about it, how are they going to determine whether you might qualify for a particular IRS settlement program without knowing your financial history?

2. Confusing Price Structures.
Before hiring a tax resolution company you should have a full understanding of their price structure and the amount you will be expected to pay. You need to inquire whether there will be any additional charges not previously discussed.

3. Difficult to Contact
Getting your case resolved with the IRS is a big deal so you need to feel comfortable about the level of customer service the company you hire is going to provide to you. A short hold time is to be expected when contacting a company. However, if you are put on hold for close to a half-hour when you contact a company about their services, then you should probably take that as an indication of the level of customer service that you are going to receive from that company once you hire them. If you are frustrated by the hold time, then consider contacting another company.

Client Hires Law Firm After Bad Experiences with a Competitor

Posted 9/17/2008 2:41:52 PM

Mr. Flohr of Falling Waters, WV had been working with another tax settlement company for months before he hired our law firm. While the other company was able to reduce his total liability, the settlement proposed was not one that Mr. Flohr could afford. No other options were given.

Shortly thereafter, he contacted and then retained our law firm for Currently Not Collectible (CNC) status. CNC status protects a taxpayer from Internal Revenue Service (IRS) collections. It demonstrates to the IRS that a taxpayer cannot afford a monthly payment to the IRS, let alone to full pay their back tax liability.

“Mr. Flohr hired us for CNC,” notes attorney John Wetenkamp. “When we needed information from him he provided it right away without the need for multiple requests. Once we had all the financial information we needed to move forward, I was concerned because it looked like he was not going to qualify for the service he hired us to perform. We sent him an analysis letter in which we explained how the IRS would view his financial situation based on the information he provided to us. Mr. Flohr obviously took the time to go through the letter carefully, and he responded to all the pertinent questions.”

In the time that passed since Mr. Flohr had last communicated with the IRS, his financial information had dramatically changed. His business income had significantly decreased and he had sold one of his automobiles.

“He identified some changes that needed to be made based on financial changes that occurred in his life,” continued Wetenkamp. “We incorporated the changes in his financial statement based on his response to the analysis letter. Once more it looked like he would qualify for CNC status. I called the IRS and disclosed the financials. The case was forwarded on to an IRS manager and approved some time later. Mr. Flohr was patient throughout the entire process. We resolved his case without any major problems.

I think the key to success on this case was that Mr. Flohr was persistent and willing to really read the analysis letter and give a thoughtful response. Sometimes clients get an analysis letter [which examines their financial situation and may inform them that they currently do not qualify for the service they retained the firm for because their finances had changed] and they throw their hands up in the air and just give up. They fail to realize that the analysis letter is not the end of the road, it is just a request for updated/different/additional information and a request to make a decision as to how the client wants to proceed.”

“Everyone at Roni’s law office was nice and helpful,” claimed Mr. Flohr. “I am so relieved to have finally settled my tax problems.”

We could not have done it without you.

Clients Owing the IRS $1.1 Million get Relief through Installment Agreements with the IRS

Posted 9/17/2008 2:41:19 PM

In August 2008, The Tax Lady Roni Deutch and her team of skilled attorneys helped several taxpayers across the country that, on average, owed nearly $50,000 to the IRS. Ms. Deutch’s law firm negotiated Installment Agreements for clients who owed over $1.1 million to the IRS in aggregate. The agreements that were negotiated allow the taxpayers to pay their owed back taxes through manageable monthly payments ranging from as low as $50 per month.

New Mexico Client Finally Can Get Sleep

Posted 9/17/2008 2:40:44 PM

From: Mr. Martinez of Albuquerque, NM

“Finally, I can sleep at nights. Your firm did a very outstanding job on my behalf and were able to negotiate a very fair, equitable, and affordable agreement with the IRS. I am very satisfied with the accomplishment of your firm regarding my situation. I will recommend the ‘Roni Deutch Corporation’ to anyone requiring tax assistance with the IRS. Thank you very much and God bless.”

Law Firm Ends Collections Against Taxpayers Owing the IRS Over $1.3 Million in August, 2008

Posted 9/17/2008 2:40:23 PM

Through placement on the IRS’s Currently Not Collectible Status, the attorneys at Roni Lynn Deutch, A Professional Tax Corporation were able to successfully cease IRS collections against a group of taxpayers owing the IRS over $1.3 million. To learn more about placement on the IRS’s Currently Not Collectible Status check out it’s entry in our glossary.

IRS Errors Cause Arkansas Clients to Lose Sleep

Posted 9/17/2008 2:39:35 PM

Mr. and Mrs. Marts of Altus, AR were approved for placement on the IRS’ Currently Not Collectible (CNC) status last month. Unfortunately, the IRS had determined that the Marts were not compliant with their tax returns. However, they actually were already compliant. Fortunately our law firm was able to help get things sorted out, and was able to successfully get them placed on CNC status.

“Mr and Mrs. Marts retained the law firm to negotiate CNC,” notes attorney Ryan Carrere. “Our law firm collected the taxpayer’s financial information and attempted to negotiate CNC. However, at the initial attempt a compliance issue arose. The IRS indicated the taxpayers had missing tax returns that must be filed. After communicating with the client, it was determined that the IRS was incorrect. The taxpayer’s had no filing requirement for the years the IRS was requesting tax returns. Our law firm contacted the IRS against and informed them that the taxpayer had no filing requirement for the years in question and was therefore compliant. Upon further review, the IRS agreed the taxpayer was compliant. With the compliance issue resolved, our law firm proceeded to provide a financial statement and requested CNC for the taxpayers. Shortly thereafter the IRS granted the request for CNC due to a financial hardship alleviating our clients from the stress and worry of enforced collections.”

“Only the freedom of a debt hanging over your head,” claimed Mrs. Marts. “It is such a relief to bed at night and sleep instead of laying awake all night and worrying about the IRS.”

We are happy to get you and your family the relief you deserved.

Law Firm uses Offers in Compromise to save Taxpayers Approximately $1.7 million in IRS Taxes in July 2008

Posted 9/17/2008 2:39:04 PM

In July 2008, our law firm successfully negotiated Offers in Compromise on behalf of several clients. These clients owed the IRS, collectively, $1.9 million. Because of their Offers in Compromise, they only paid $164,000, which is a savings of $1.7 million. On average, these taxpayers paid $6,500 on IRS tax debts that averaged $74,000. For more information, please see the attached document.

Streamlined Installment Agreement for Connecticut Taxpayers

Posted 9/17/2008 2:38:33 PM

From Mr. and Mrs. Gebo of Dayville, CT:

“We have had nothing but positive experiences with your law firm. The associates were very thorough and courteous every step of the way. If we forgot to mail something, they would politely remind us and walk us through the steps every inch of the way. If we ever needed your assistance again, we would not hesitate to call your firm. Thank you for your courteous and positive help through the whole experience.”

Team of Attorneys Resolve Over $5.5 Million in IRS Tax Liability through Currently Not Collectible Status in 2nd Quarter 2008

Posted 9/17/2008 2:38:03 PM

One team of attorneys at our law firm – John Wetenkamp, Christian Montgomery, and Sean Chi – had an incredibly successful 2nd Quarter of 2008. On behalf of our clients, they were able to resolve, collectively, $5,54 million in IRS tax liability through use of Currently Not Collectible (CNC) status. CNC protects a taxpayer from IRS collections by demonstrating that the taxpayer’s allowable monthly expenses exceed his or her gross monthly income. Altogether, the firm resolved over $8.5 million in IRS tax liability for 149 clients through CNC status in the months of April, May, and June 2008. For more information, please see the attached document.

In 2nd Quarter of 2008, Roni Deutch and her Tax Attorneys use Offers in Compromise to Help Over 50 taxpayers

Posted 9/17/2008 2:37:37 PM

Taxpayers owing the IRS over $2 million were able to get their back tax liability resolved through accepted Offers in Compromise (OIC). These individuals collectively paid less than $200,000 on their IRS tax liability. On average, the taxpayers owed $37,000 and ended up paying only $3,400, which resulted in an average savings of $33,000. For more information, please see the attached document.

Nation’s Largest Tax Resolution Law Firm Assists Taxpayers Understand their Outstanding Obligations to the IRS

Posted 9/17/2008 2:37:14 PM

In the Second Quarter of 2008, our law firm was able to assist over 57 clients with their IRS account. These individuals either did not understand how much they owed, what years needed to be filed, or whether or not the IRS had filed tax liens against their property. Some also found out the date on which their IRS tax debt was going to expire – meaning they would no longer owe the government those unpaid taxes. By hiring the law firm for a Tax Account Review, the clients were able to get a better understanding of their outstanding obligations and the risk they ran in not addressing them. For more information, please see the attached document.

Colorado Taxpayer Struggled to Afford Basic Living Expenses

Posted 9/17/2008 2:36:43 PM

Mr. Hopkins of Aurora, CO found himself with a hefty tax liability and was struggling to afford basic living expenses when he called our law firm. Fortunately, he was a good candidate for an Offer in Compromise (OIC), which lets taxpayers settle with the IRS by making an affordable one-time payment.

“After his Offer in Compromise was filed, Mr. Hopkins became the ideal client. This was key to his offer being accepted because an offer is not typically accepted on its face. Rather, Mr. Hopkins had to really stay on his feet and respond promptly to our letters [so we could, in turn, respond promptly to the IRS requests]. Without Mr. Hopkins’ diligent effort, his offer would not have been accepted.”

“I felt like there was no help for me and that I was going to be paying the IRS for the rest of my life,” notes Mr. Hopkins. “I couldn’t sleep at night. I was stressed out and depressed all the time and then I saw a Roni Deutch commercial and decided to give it a try. They took a lot of pressure off me by handling everything. I want to thank everyone at Roni Deutch’s law firm, you did a marvelous job!”

No – thank you, Mr. Hopkins.

Team of Attorneys Resolves Almost $500,000 of IRS Tax Debt through Installment Agreements

Posted 9/17/2008 2:36:05 PM

One team of attorneys – John Wetenkamp, Christian Montgomery, and Sean Chi – was able to resolve $500,000 in IRS tax liability through Installment Agreements in May 2008. Installment Agreements are based upon a comparison of the taxpayer’s gross monthly income and allowable monthly expenses, whereas Streamlined Installment Agreements are based upon the amount of the tax liability. For more information, please see the attached document.

Through Streamlined Installment Agreements, Law Firm Resolves Almost $900,000 in IRS Past Due Taxes

Posted 9/17/2008 2:35:36 PM

In May 2008, the nation’s largest tax resolution law firm was able to negotiate monthly payment plans for several clients who collectively owed the IRS $900,000. On average, each monthly payment plan was $270. For more information, please see the attached document.

Tax Relief for Kentucky Family

Posted 9/17/2008 2:35:00 PM

From Mr. and Mrs. McKinney of Winchester, KY:

“[My husband] and I would like to thank you for keeping us up to date with what was going on with the IRS. It was nice to know we could call your firm and someone could help us with paperwork and tell us what we needed to do and [we could] fax your firm each time with paperwork. We would be glad to advertise for your firm. Thanks again.”

Attorney Bret Adams Resolves over $400,000 in Back Taxes through Installment Agreements

Posted 9/17/2008 2:34:31 PM

Attorney Bret Adams was able to secure monthly payment plans for a group of clients owing, in aggregate, over $400,000 to the IRS in the month of April 2008. The payment plans, also called Installment Agreements, are negotiated based upon an analysis of taxpayers’ gross monthly income to their allowable monthly expenses. On average, these individuals owed $50,801.38 each. Mr. Adams was able to get them onto payment plans averaging $443 per month. When we added the clients Mr. Adams helped resolve through Streamlined Installment Agreements – monthly payment plans based solely on the amount the taxpayer owes – in April 2008, Bret’s resolved client tax debt exceeding half a million dollars. For more information, please see the attached document.

Law Firm Resolves Approximately $3.6 Million in IRS Liability through Currently Not Collectible Status

Posted 9/17/2008 2:33:48 PM

In the month of April 2008, our team of attorneys resolved $3.6 million in IRS tax liability for our clients by placing their accounts into Currently Not Collectible (CNC) status. This group of clients owed, on average, roughly $60,000. Attorney John Wetenkamp resolved over $1.5 million in IRS liability by himself. For more information, please see the attached document.

Seeking IRS Tax Relief: Why Does It Take So Long?

Posted 8/25/2008 11:27:14 AM

When you have a back tax liability with the Internal Revenue Service (IRS), getting relief is an urgent matter. You will want to establish a resolution with the IRS as quickly as possible in order to avoid enforced collections or to stop the enforced collections already in place. Alternatively, if the IRS is already engaging in enforced collections, you will understandably want to do whatever it takes to stop the collection.

However, it is important to note that the IRS is not on the same timeframe as you when it comes to resolving tax debt or releasing a taxpayer from IRS collections.

Hiring Representation

At first glance, hiring representation may seem like it will only delay tax relief. It is just another layer between you and your goal – either tax debt resolution or IRS collection relief. In reality, having a knowledgeable attorney serve on your side may make the end result better for you. In case you did not know, the IRS has very specific rules and regulations that they must abide by when resolving back taxes or releasing levies, liens, and garnishments of taxpayers. A competent attorney will know these IRS guidelines, and the best way to try to get you the tax relief you are seeking.

An attorney will know what information is going to be needed early on in the process to prove your case. For example, did you know that releasing an IRS wage garnishment will require proving income and necessary living expenses? Did you know that getting an Offer in Compromise accepted will require all missing tax returns to be filed? An attorney knows these requirements and understands the nuance of the negotiations that work hand-in-hand with the evidence. Lastly, having an attorney will allow you to focus on other aspects of your life while they are trying to get you the tax relief that you need.

Power of Attorney

If you decide to hire an attorney to help resolve your IRS tax problem, the first thing you will need to do is authorize the attorney to discuss your personal tax matter with the IRS. This can be accomplished by completing IRS Form 2848 and filing it with the IRS. Without an active Power of Attorney on file with the IRS, the IRS will refuse to discuss your case with anyone, but you. The power of attorney requirement is a safeguard for you, because it prevents unauthorized individuals from discussing your personal tax matters with the IRS. Completing and filing the IRS form is easy. However, sometimes there is difficulty in the IRS processing the form. Sometimes, it can take weeks for the IRS to process. However, this delay can oftentimes be overcome by having your attorney file the Power of Attorney at the same time that he or she enters into negotiations with the IRS.

Now that there is an active Power of Attorney on file with the IRS, the case is ready to be solved right? No! A common misconception is that the attorney simply has to call the IRS and the case will be solved. Getting tax relief is not that simple. Instead, like any dispute, your attorney has to prove your case with the use of evidence.

Evidence & Documentation

Before requesting tax relief from the IRS, you and your attorney will need to collect and review your current financial information. You will also need to provide your attorney with documentation that substantiates the financial information you communicated to him/her. The documentation may include paycheck stubs, current bank statements, and proof of payment for your mandatory expenses. After you send these documents to your attorney, they will be reviewed and analyzed before contact is made with the IRS. Once necessary income and expense information is supplied to your attorney, he or she will then present it to the IRS in the light most favorable to your case. This is the same process that is used for all forms of IRS tax debt resolution – such as Offer in Compromise, Installment Agreement, and Currently Not Collectible status – and is also used to end IRS collections.

Keep in mind that changes to your financial situation will inevitably change your case. An increase in income or a decrease in expenses can result in changing the type of resolution that the IRS will accept. Because changes to your financial situation can significantly effect your resolution, it is important that you always keep your representative informed of any changes that occur. You will also need to provide your representative with updated paycheck stubs, bank statements and other financial documents since the IRS will generally not accept any documents that are more than 90 days old. The IRS can and likely will request copies of your documents. Once all of the necessary evidence has been collected and your representative has prepared a strong case, then IRS negotiations can begin.

Negotiation with the IRS

You and your attorney quickly gathered your financial information and have submitted it to the IRS. You are now hoping for a quick response from the IRS to resolve your tax debt problem. Unfortunately, a common misconception is that once your attorney contacts the IRS and submits your financial information that IRS collections will immediately end and/or your back tax issue will be immediately resolved. In fact, that rarely occurs – the IRS does not make decisions that quickly. Regardless of the type of resolution you are seeking, the IRS takes time to review your case and the evidence presented. The main goal of the IRS is to collect the debt owed and, consequently, it can take time for them to determine whether they can collect the debt owed more profitably via another method – i.e. continued collections. It can take the IRS anywhere from 2-6 weeks to respond for an Installment Agreement or Currently Not Collectible Status and up to 3 months for an Offer in Compromise. Oftentimes, the IRS will request updated financial information and documentation to verify that income has stayed the same. If the IRS believes that it they can collect more from a taxpayer than what was submitted, the IRS may delay the case and seek additional information or reject it.

Two of the most important things to remember when seeking IRS tax relief is that you must remain patient and must play by the IRS’s rules. Because the IRS provides options that are beneficial to the taxpayer, they have established a very strict set of standards and regulations that dictate the available forms of tax relief for a taxpayer. The IRS has established these regulations in order to ensure that these benefits are not abused.

The length of time it can take to get IRS tax relief can vary greatly from case to case. However, please keep in mind that a competent attorney will do everything in his or her power to get your case resolved as quickly as possible.

The 8 Most Common Tax Resolution Programs

Posted 8/14/2008 1:51:31 PM

Everyone in the country knows the IRS has a reputation for being aggressive in the collection of owed taxes. However, they do offer a few different settlement options to help taxpayers that honestly cannot afford to fully repay their taxes. Although anyone can represent one’s self before the IRS, many taxpayers seek representation from an attorney or accountant due to the complexity of the tax laws. Whether you need assistance or not, below are the 8 most common tax resolution programs and a brief explanation of how each works to resolve your IRS tax liability.

1. Full Payment
The fastest way to resolve owed back taxes is by paying them in full. This includes paying the interest and penalties that have been assessed by the IRS back. These penalties and interest can quickly add thousands of dollars to your tax liability as they are constantly accruing. If you intend to fully repay the IRS then you should try to do so as soon as possible to avoid additional expenses.

2. Installment Agreement
By negotiating an Installment Agreement (IA) with the IRS, you can repay all, or part, of your total back tax liability through manageable monthly payments. The specific monthly payment is based upon how much you owe and how much you can afford to pay. However, negotiating your payment will require a full disclosure of your and your spouse’s financial information. Additionally, as with all IRS tax relief programs, you can only enter into an agreement if you have filed all your necessary federal income tax returns.

3. Streamlined Installment Agreement
This is a special type of Installment Agreement. Again, the Streamlined Installment Agreement (SIA) is just a monthly payment paid to the IRS to address your back tax liability. The difference is how it is calculated. An IA is based upon a comparison of income to expenses. An SIA is based upon how much you owe. So long as you owe less than $25,000 and the tax liability will not expire in less than five years, you qualify for this payment plan.

4. Placement on CNC Status
If you cannot afford to pay on your IRS back taxes at all, then you might qualify for placement on the IRS’ Currently Not Collectible (CNC) status. However, you will need to prove to the IRS that your monthly necessary living expenses exceed your monthly income.

5. Offer in Compromise
The final settlement program offered by the IRS is an Offer in Compromise (OIC). With an OIC you submit an offer to the IRS detailing what you can afford to pay in a lump sump. If the IRS accepts then by submitting payment you will resolve your tax debts. However, submitting an OIC requires disclosure of extensive financial information in order to prove that you could not repay your taxes fully over the next 4 or 5 years even if the IRS forced the sale of all assets that you currently own.

6. Just Wait
If your back tax liabilities developed a while ago then you may not need to do anything at all to resolve your back taxes. The statute of limitations on the collection or tax debts is 10 years, which means the IRS only has 10 years to collect back taxes from the date on which they were assessed. So if you have back taxes or unpaid taxes from a decade ago, the IRS may no longer be able to collect them. But remember that there are events that can occur that will extend this timeframe, such as bankruptcy, etc.

7. Innocent Spouse
This is a very limited form of tax debt resolution. It is only applicable when one’s spouse files a joint tax return which accrues a tax liability without any knowledge on the part of the other spouse of what caused the underlying IRS tax liability. Although it is very limited, it is one in the best forms of tax debt resolution because it completely eliminates the debt, interest, and penalties from the innocent spouse’s IRS account. However, the “non-innocent” spouse still needs to seek a different form of resolution.

8. Bankruptcy
As a last resort, you could resolve your back taxes through filing for bankruptcy. However, there numerous factors to consider before you attempt to get your back taxes discharged in bankruptcy. Typically, recent tax liabilities and business-related payroll back taxes cannot be discharged in bankruptcy. Nevertheless, if you are seriously considering bankruptcy, you should speak with an experienced bankruptcy attorney as soon as possible.

Trio of Attorneys Resolves Over $3.7 Million in IRS Tax Liability Through Payment Plans in the First Quarter of 2008

Posted 8/14/2008 1:50:02 PM

One team of attorneys had a prolific first quarter when it came to establishing monthly payment plans, also known as Installment Agreements (IA). Bret Adams, Ryan Carrere, and Jane Stecklein resolved $3.8 million in IRS tax liabilities through IAs and Streamlined Installment Agreements (SIA) from January 1, 2008 to the end of March. Not including SIAs, the trio resolved $2.5 million in IAs alone.

Tax Review Leads to IRS Payment Plan

Posted 8/14/2008 1:49:12 PM

From Mr. Hilla of Virginia Beach, VA:

“I paid for a tax review service and you came through as you mentioned. I gained my trust in you after talking with your representatives a couple of times on the phone. Now I hired you to help set-up a payment plan with IRS to settle my debt. I am so relieved [and] I feel your company will help me out. I appreciate your help and considerations. Thank you.”

GA Client Converts Service and Gets Better Resolution than Expected

Posted 8/14/2008 1:48:21 PM

Mr. Braddy of Arabi, Georgia originally hired Roni Lynn Deutch, A Professional Tax Corporation to pursue an Offer in Compromise. However, shortly thereafter, the IRS changed the rules concerning Offers in Compromise, which negatively affected Mr. Braddy’s potential offer. Consequently, Mr. Braddy became a perfect example of a situation that arises occasionally in the course of our representation of our clients: service conversion.

“When we first spoke to Mr. Braddy, we thought he would be an excellent candidate for an Offer in Compromise,” notes Ryan Carrere, the attorney that worked on Mr. Braddy’s case. “However, once our legal staff reviewed more detailed financial information and documentation provided by Mr. Braddy, it became apparent that he was better qualified for placement on the IRS’ Currently Not Collectible status. This would immediately stop IRS collection activity and could lead to his liability expiring completely.”

Based upon all of the information Mr. Braddy provided during the initial telephone interview, it appeared that he could qualify for an Offer in Compromise because between his business expenses and his vehicle payment and insurance, Mr. Braddy barely had sufficient funds to meet his necessary living expenses. However, shortly after Mr. Braddy retained our law firm, the IRS updated some of its maximum allowable standard expense guidelines. Because of this update, Mr. Braddy had a net available income that would be calculated as part of his minimum Offer in Compromise. This, coupled with some available equity in assets, made the minimum Offer in Compromise an amount Mr. Braddy could not afford.

“As a result, Mr. Braddy first elected to pursue an Installment Agreement rather than submit an Offer,” continued Carrere. “However, when I contacted the IRS, I also conducted a review of the account and found that the Client’s account could be placed into Currently Not Collectible status. Once the resolution took effect, it virtually ended all collection activity against Mr. Braddy.”

“All my questions were answered in timely manner,” notes Mr. Braddy. “The attorneys were able to give me correct information on my tax problem. If my financial status changes and I need to hire another tax firm I will not hesitate to contact Roni Deutch.”

Tax and Stress Relief for Mr. Belvins from Ohio

Posted 8/14/2008 1:47:50 PM

From Mr. Blevins of Dayton, OH:

“I would like to personally thank the law firm of Roni Lynn Deutch for their help in dealing with the IRS. I had a very trying time in dealing with the IRS. After hiring your law firm things were so much better. The firm handled all the intimidating letters that I was getting from the IRS. After hiring the firm my stress level went way down. I thought that I was in a nightmare, until I hired the firm of Roni Lynn Deutch. When the IRS finally accepted my Offer in Compromise the nightmare was over! I want to thank the entire staff for their help in settling my case. If you ever want to do another commercial, give me a call!”

Streamlined Installment Agreement for Client in California

Posted 8/14/2008 1:47:21 PM

Mr. and Mrs. Pangelinan were living off of very limited means when they became victims of aggressive IRS collections. Within a few weeks, the IRS had placed a levy on the Pangelinans’ retirement benefits, which was their only source of income. The IRS was taking so much from their accounts that they could barely afford basic living expenses.

“After the Pangelinans hired our law firm, it was clear that they would be great candidates for a Streamlined Installment Agreement,” noted Ryan Carrere, the attorney that worked on the Pangelinans’ case. “While a Streamlined Installment Agreement can be processed much faster then a standard Installment Agreement, it still requires some documentation. Fortunately, the Pangelinans were very cooperative and responsive to our legal staff, and supplied all the necessary documents so that we could begin work on their case.”

Because the Pangelinans were fully compliant with all of their tax return filing obligations and owed the IRS less than $25,000, Mr. Carrere was able to negotiate a Streamlined Installment Agreement that established an affordable payment plan for them to repay their tax debt.

“We were able to negotiate a release of all levies and establish a monthly payment plan of only $105 for the Pangelinans,” concludes Mr. Carrere. “The payment amount left our clients with ample flexibility to pay their living expenses and address their tax liability. Most importantly, we were able to conclude their case in less than 6 weeks, getting the IRS out of their life in the process.”

“I myself want to thank Roni Lynn Deutch, A Professional Tax Corporation for their help in solving this past due problem,” notes Mr. Pangelinan. “If anyone needs help with tax problems I would urge them to call you. Since the first day I contacted the law firm they have been very understanding and helpful with letters and phone calls. Again, thank you.”

Law Firm Quickly Negotiates An Average Streamlined Installment Agreement of $265 per Month for Over 50 Clients in March 2008

Posted 8/14/2008 1:45:27 PM

Streamlined Installment Agreements (SIA) are a special form of monthly payment plan, based solely on a taxpayer’s balance due. As a result, the law firm is able to quickly establish this form of resolution on behalf of qualifying taxpayers. In March alone, the firm successfully resolved IRS back tax liabilities totaling over $800,000.

Top 7 Taxpayer Debt Collection Rights

Posted 8/14/2008 1:43:56 PM

The IRS is the ultimate creditor. It has dozens of special rights when it comes to collecting past due taxes on behalf of the federal government. These special rights account for the multiple and aggressive collection techniques they have at their disposal. However, taxpayers have their own respective rights. It is important to understand them if you owe back taxes to the IRS. To stay prepared, please enjoy the list below of the top 7 taxpayer debt collection rights.

1. Representation
First and foremost, you have the right to represent yourself before the IRS to dispute any unpaid taxes or additional fees. Alternatively, you have the right to seek help from a professional to represent you before the IRS. However, the person must be a person allowed to practice before the IRS, such as a tax attorney, certified public accountant, or IRS enrolled agent.

2. Protection of Rights
According to the IRS’ code, all employees must explain and protect your rights throughout all contacts and negotiations.

3. Confidentiality
The IRS is not allowed to disclose information given to the IRS to anyone, except as authorized by law. Additionally, you have the right to know how the information will be used, and what happens if the requested information is not provided.

4. Records of Contacts
Although the IRS is allowed to contact third parties about your IRS debt without your consent, you do have the right to request a list of all the people contacted.

5. Meeting Companion
Taxpayers also have the right to have someone accompany them during interviews with IRS representatives. You can even make audio recordings of any meetings for your records.

6. Good Faith
If you can show that you acted reasonably and in good faith and/or relied on bad advice from an IRS representative, you have the right to request all that all penalties assessed by the IRS be waived.

7. IRS Appeals Office
If you disagree with the IRS on the amount of the tax liability or collection actions taken by the IRS, you even have the right to ask a court or the IRS Appeals Office to review the case.

Attorney John Wetenkamp Saves Clients Almost $600,000 in Accepted Offers in Compromise in March 2008

Posted 8/14/2008 1:42:44 PM

One of Roni Deutch’s attorneys had an extremely successful March 2008 for Offer in Compromise (OIC). John Wetenkamp successfully saved his clients over a half a million dollars in IRS back tax liability through accepted OICs in a single month. John’s independent savings representing over half of the entire law firm’s production in the month. Clients whose tax liability was settled through an OIC in March – on average – paid $2,415 on an average tax liability of $58,462. This represents a savings of 95%.

Happy Client Recommends us to Friends and Family

Posted 8/14/2008 1:41:42 PM

From Mr. and Mrs. Kozlowski of Freeland, PA:

“[Roni Lynn Deutch, A Professional Tax Corporation] and all of the people I was involved with helped me and my wife start our lives over again. They were very highly professional people who helped us if we called or sent letters to settle our back taxes. On our behalf, I would highly recommend to family and friends to use the law [firm] of Roni Lynn Deutch because you and all your workers are very professional and courteous and helped us out so much. Thank you for all the help and God Bless.”

MI Client Has Questions Answers and Taxes Resolved

Posted 8/14/2008 1:39:07 PM

From Mr. VanZile of Sturgis, MI:

“I would like to let the assistants and lawyers of Roni Lynn Deutch, A Professional Tax Corporation know how happy and pleased I am for what you’ve done for me. Whenever I’ve called and had a question they were very kind and answered my questions even if it might seem sort of silly on my part. They would always tell me that if I had any questions all I needed to do was call. Your firm has really been good to me and I will tell others of your services and how well you treat people. You make them feel special even if the question [they] ask may sound dumb. Thank you.”

In March 2008, Law Firm Negotiates Currently Not Collectible Status for Clients Collectively Owing $1.9 Million in IRS Back Tax Liability

Posted 8/14/2008 1:38:16 PM

Roni Deutch’s team of tax attorneys were able to negotiate with the IRS to place over 60 clients into a Currently Not Collectible status in the month of March. Currently Not Collectible (CNC) status protects a taxpayer from any IRS enforced collection efforts, such as wage garnishments or bank levies. While technically, it is a temporary form of resolution, taxpayers can remain in this protected CNC status if their income, expense, and asset situation remain the same from year to year. Collectively, the clients whose cases were placed into CNC owed the IRS $1.9 million in IRS back tax liability.

First, Get into Compliance; Second, Use Strong Argument for Client with Equity Issues

Posted 8/13/2008 11:44:17 AM

When Mr. Datray contacted Roni Lynn Deutch, A Professional Tax Corporation, he did not know anything about the severity of his and his wife’s IRS tax predicament. They had just received a Notice of Intent to Levy from the IRS, but did not know why. That is because they had not filed taxes since 1993.

“Luckily, by working with our office, Mr. Datray was instructed to immediately file all past due tax returns to come into compliance,” notes Christian Montgomery, the attorney who worked on their case. “That is because before the IRS will resolve a tax debt, the taxpayer must be fully compliant.”

After getting the Datrays into compliance, Mr. Montgomery began to address the unique equity issues that their case presented. Without a knowledgeable tax attorney, these issues may have resulted in the IRS demanding full payment of the IRS tax liability as opposed to being placed into Currently Not Collectible status.

“The Datrays’ case required detailed preparation and a strong argument to be made regarding their specific financial condition,” continued Mr. Montgomery. “Their case was unique because of the specific equity issues presented in his case. Although it appeared that they had equity they could use to pay down the IRS tax liability, in reality, the equity was already being used by them to supplement their income. The Datrays were living solely off Mr. Datray’s social security and pension that, standing alone, could not pay for all of their family’s basic living expenses.”

“Resolving the Datrays’ debts required precise knowledge of the collection techniques and procedures utilized by the IRS,” concluded Mr. Montgomery. “In the end, we were able to protect the Datrays and resolve their tax liability.”

“I have to say that I am more than pleased with the service we received from Roni Lynn Deutch, A Professional Tax Corporation,” claims Mr. Datray. “I was worried we were going to lose everything we owned but thanks to Roni Deutch our debt with the IRS was resolved.”

“Thank you for helping us with our tax problems,” continued Mr. Datray. “I have told a lot of people about this law firm. Words cannot express the appreciation we feel for you. All I can say is thank you and God bless you.”

Top 10 Reasons People get into Debt with the IRS

Posted 8/13/2008 11:43:32 AM

Although the specific details regarding how someone gets into debt with the IRS will vary widely from case to case, there are a few common reasons that we have seen over the past few years. If you do not already owe back taxes to the IRS then remember these 10 reasons when you prepare your next tax return.

1. Failure to File a Return
If you made any money during the year then you will need to file an income tax return with your state and federal government. If you had enough taxes withheld from your paycheck, then you may not need to pay anything else. However, if you do owe the IRS more money then you will need to pay it as soon as possible.

2. Filed a Return, But Did Not Pay
If you filed a tax return that showed you owing money to the IRS then you need to pay it before the April 15th. Once the IRS processes your return and sees that no payment was included you will be in debt to the IRS. Also, if you miss the deadline, then the IRS is going to begin assessing interest and penalties on top of what you already owe.

3. Incorrect Withholdings on Your Wages
It is absolutely essential to have the correct information and withholdings on your W-2 form if you work as a wage-earning employee. These forms are used to determine the amount of taxes your employer will deduct from your paychecks. If the amount is wrong, then you could end up owing hundreds or thousands in unpaid taxes at the end of the year. Additionally, if this goes unnoticed for a few years, you could be looking at a huge tax liability.

4. Gambling Winnings
All money and prizes won from gambling – or any contest or lottery – must be treated as income. If you win anything valued at over $600, then it must be included in your tax return. Usually casinos and contest sponsors send their data to the IRS, who will know that you did not claim your prize and assess the necessary tax liabilities.

5. Excessive Exemptions, Deductions or Credits
Although you may get away with it at first, taking excessive deductions or credits is a sure-fire way to land into debt with the IRS. Although no one knows for sure how the IRS determines what returns to audit, taking too many credits will raise a huge red flag. Then, if you are audited, the IRS will determine if you owe more then you paid and assess the resulting back taxes.

6. Incompetent Tax Return Preparation
Sometimes taxpayers find themselves with owed tax liabilities even when they did everything right. Just because you take your tax returns to a professional does not mean that they did everything accurately. Make sure to review everything before signing it to ensure the preparer did not forget any of your income sources or take too many deductions on your return.

7. Unpaid Payroll Taxes
Hiring employees means paying federal and state payroll taxes. Even if the employee is a household employee, such as a nanny or maid, you will still need the necessary payroll taxes. This causes a lot of new business owners to get into IRS tax debt, as they do not realize the tax laws surrounding payroll and employees.

8. Failure to Make Estimated Tax Payments
If you are self-employed, or own a small business, then you need to make estimated tax payments at least four times per year. If you do not, then you will not only owe taxes from all your earnings, but you will also have to pay an additional penalty for not making quarterly payments.

9. Deceitful Spouse or Former Spouse
Married couples filing their tax returns together are technically both responsible for the other’s tax liabilities. When one spouse is deceitful with their money, the IRS will come after both taxpayers. Even if the marriage ends in divorce, the IRS still has 10 years to collect on the taxes they are owed.

10. Penalties for Early Withdrawal from Retirement
The federal government offers different tax benefits to taxpayers that plan for retirement. With some accounts, such as a Roth IRA, you pay taxes on the funds before they are placed in the account and after you retire you can collect the money and accrued interest without paying taxes on it. However, if you have to withdraw funds from these accounts early, you will have to pay associated penalties that can easily add up if left unpaid.

Quick Help For Client In Las Vegas

Posted 8/13/2008 11:34:25 AM

From Mr. Grigore of Las Vegas, NV:

“I am retired and 77 years old. Years ago, I worked as a private consultant and accumulated thousands in IRS back taxes. The IRS sent me letters all the time demanding that I give them my money. But I could not afford it. So I went to a Roni Deutch Tax Center® in Las Vegas and was informed that your law offices might be able to help. And they were right.

Your legal staff was very helpful. I never had any problems with your law firm. I submitted all my information quickly and the process went very smoothly. I am now on Currently Not Collectible status, which means the IRS, can no longer harass me. I intend to keep contact with your law firm in the future. You have done a good job and I am very happy that I do not have to worry about the IRS back taxes any more.”

Confused Client Forced To Fight Aggressive Collection Agent

Posted 8/13/2008 11:33:44 AM

Mr. Ryan of Pembrooke Pines, FL is a classic example of a taxpayer that thought he was doing everything correctly, but ended up getting stung by the IRS because of a corrupt accountant.

“Years ago I had a crooked account that said he was doing things that he didn’t,” Mr. Ryan said. “And I did not find out about it for six years. I was in good shape and thought everything was fine, then I got a letter informing me that the IRS was investigating me. I found out my accountant had never filed my returns. Even though I had even signed them.”

Unfortunately this happens to thousands of taxpayers every year. Unscrupulous accountants and tax preparers are frequently the cause of IRS back taxes and headaches. However, Mr. Ryan’s situation was even worse since he had lost all his records in a move and could not prove his case to the IRS.

“Dealing with the IRS on my own was lousy,” Mr. Ryan claims. “I tried to not let it get to me. When you’re 83 years old you do not care. Then a friend told me about your law firm and the services that you provide. Overall, everyone was helpful and soon I was placed on currently not collectible status. I am very satisfied with the results your law firm achieved for me. I have already recommended you to two other people. I am truly happy with the end result.”

According to Bret Adams, the attorney who primarily worked Mr. Ryan’s case, “Mr. Ryan also had the misfortune of dealing with an overly aggressive IRS Revenue Officer. Though Mr. Ryan suffered a serious heart attack not too long ago, he was able to work part time to supplement his social security income. This allowed his family to make ends meet. Mr. Ryan was also able to build up an Employee Stock Ownership Plan (ESOP) to about $110,000, which would provide his family the ability to continue to meet their monthly expenses when he stopped working. However, Mr. Ryan also had about the same dollar amount in IRS liabilities. The IRS levied his social security benefits and demanded Mr. Ryan liquidate his ESOP.”

“Fortunately our law firm was able to negotiate with the IRS and get them to reduce their demands. We were able to get the IRS to accept a 20% liquidation of his ESOP in exchange for protected status and a release of the levy on his social security benefits.”

“Roni Deutch and her associates were outstanding in solving my tax problem,” Mr. Ryan continued. “I will admit there were times I didn’t understand the negotiating system, but the people were great in helping me understand the process.”

Roni Deutch Helps Client Owing Thousands At A Discounted Rate

Posted 8/13/2008 11:33:10 AM

Mr. Sullivan of Burnsville, MN is a perfect example of someone who qualified for placement into Currently Not Collectible (CNC) status. He was in financial hardship when he contacted our law firm. His only income was from social security disability, and he could barely pay for basic living expenses, let alone huge tax payments.

“Back in 1995 I had several health problems along with a divorce and I just was not able to pay my taxes,” claimed Mr. Sullivan. “I am now living on Social Security disability and I got a feeling that I should file taxes last year. That must have sent up a red flag because I was soon under IRS collections. They said they were going to pursue collections but before I could do anything, the IRS had already taken $1,100 from my checking. Then I saw one of Roni’s commercials and decided to make the call. It was the best decision I could have made.”

After hiring our law firm, Mr. Sullivan was quick to provide all of his information and documentation so that our attorneys would begin work on his case. After an initial review of his case, it was clear that he would be an excellent candidate for CNC status, which ceases all collection activity by the IRS. But just qualifying for a resolution is not enough – the IRS needs information and documentation to support the request. Fortunately, Mr. Sullivan was quick, responsive, and cooperative throughout the process.

“I had a very positive experience with your law offices,” Mr. Sullivan stated. “Working with your legal staff was great. They went way out of their way to help me.”

“Even with their legal fees,” continued Mr. Sullivan. “Originally, I setup a payment plan, but it turned out I couldn’t even afford that. When I called in to ask to reduce my payments by 50%, the representative said he would see what he could do and call me back. [When he called me back,] he told me that they would continue to represent me free of charge.”

Fortunately by that time, most of the work on Mr. Sullivan’s case had already been completed. The office had already made the negotiation attempt and provided the documentation. Essentially, we were just waiting to hear a response from the IRS. This allowed us to reduce his fees to fit into his budget. Our law firm is dedicated to our clients. We want to help them any way we can. If it is finding fee structures that are affordable, so be it.

“I don’t even know how many thousands of dollars Roni Deutch saved me. I came to her owing several thousands to the IRS with no way to pay it back. You guys took on my case and when I realized that I couldn’t pay your fee you finished my case anyway, free of charge. Never in my life have I heard of a law firm doing that. Even my friends and family were surprised. You have no idea how good it feels to have this problem finally settled. I don’t know anyway to say thank you except to just say it.”

Law Firm Helps Client Owing Nearly $500,000

Posted 8/12/2008 2:24:59 PM

From Mr. Samaroo of Fond du Lac, WI:

“I had been dealing with IRS problems for over a decade because of a company I had worked at. I was the controller, but I was not the one making the financial decisions. The president of the company was. Over the years the tax liability had increased to nearly $500,000.00 because of interest and fees. But I never really owed those taxes to begin with.

Yet, this did not keep the IRS from harassing me. For over a year, the IRS sent letters to me and eventually, the IRS assessed a penalty against me – although I did not believe I was responsible for the debt. They issued levies against my bank accounts and took every penny I had. They left me broke, sick, and scared.

I was over-stressed and depressed. In June 2001, I suffered a stroke. I had been ill, but I believe the IRS harassment was the final straw. When I suffered the stroke I lost my job, my car, everything.

I spoke with a few different tax advisors and one of them mentioned Roni Lynn Deutch. So I called the 800 number and finally asked for help. I had total assistance and full support from everyone I spoke with at your law firm. They were all so nice and helpful. Eventually, they were able to secure Currently Not Collectible status for my liability.”

Welcome to the RoniDeutch.com Tax Relief Blog

Posted 8/12/2008 2:22:35 PM

Hello and welcome to RoniDeutch.com Tax Relief Blog, sponsored by Roni Lynn Deutch, A Professional Tax Corporation. In this blog, it is our goal to educate the world on IRS back taxes, and tax debt settlement. We will be featuring advice articles from attorneys at the nation’s largest tax resolution law firm, as well as personal stories from taxpayers who have gone through the process of tax debt settlement.

As the economy continues to get worse, more and more innocent families are finding themselves owing money to many creditors that they cannot afford to pay back. Often, families neglect to prioritize and fail to resolve their debt with the most powerful of all creditors – the IRS. Many people do not understand that the IRS has a variety of collection tools that it can use to get the money it feels it is owed. One tool is levies that can tap into a taxpayer’s bank account, paycheck, benefits, or accounts receivable. Additionally, the IRS can file liens on homes or other valuable property, which can eventually lead to asset seizure. The IRS’s use of these tools can have a devastating effect on the personal, professional, and financial lives of many of our clients. Our blog will provide insight on how people have gotten behind on their IRS tax debt obligations.

Fortunately, our law firm knows how to handle the IRS. We know how to get the IRS to stop aggressive collections so that our client’s have time to resolve their back tax liability. On our blog, we will show people that there is hope in resolving their IRS tax debts. We will identify the dozens of options available to address IRS tax problems. We will share the steps we take along with our clients to make IRS tax debt resolution a reality. We will also discuss how resolving your IRS tax debt is often the initial major step towards confronting the other issues that disrupt our clients’ personal, professional, and financial lives.

The process of resolving tax debts can be stressful and difficult. But you are not alone. Thousands of people across the country have to go through it every year, and that is why we created this blog – to help them and you.

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