Have Tax Questions? Ask a Tax Expert for Answers ASAP
hi from just answer.
IRS only takes these extraordinary actions when they think the taxpayer is a tax cheat, which you admit to. They appear to have responded to your history by making your case difficult to process. Can you blame them?
I'm not taking their side, but you have no right to expect any favors from IRS. They seem to have used any technical issue they can to ram their position on you. Now, what can you do about it?
IRS can file a collection notice before you exhaust your appeal rights. They do it in SFR (substitute for return) cases, and after regular audits. It's a necessary step in the due process.
You have the right to go to Tax Court, and I suspect it's the only way you will be heard. Once IRS sees you are serious, and probably with another attorney to further show how serious, they will have to devote legal time to your case, and might be persuaded to save court time and settle.
Your claims about civil rights or about the quality of your legal representation are legal questions beyond what I can address for you.
I hope this response gives you cause about why your problem exists, and what you might have to do to fix it. If this answers your questions, please click Accept, and thanks from Just Answer.
It makes no sense that the IRS can arbitrarily decide what I owe without providing evidence to me, or allowing me to provide clear evidence that the examiner is wrong.
It is absurd that the IRS can arbitrarily decide what I owe and disallow properly allowed deductions. Sp, the IRS is also being a tax cheat!
When I received the RAR, it clearly stated that I had a right to disagree with the RAR and submit my reasons for disagreeing by a certain date, which I did. I also exercised whatever rights were available in the pubs to appeal the collection process. I have been ignored and not given any concrete explanations for disallowing my claims per amended returns, nor was the documentation submitted given proper consideration. How can going to Tax Court be cost effective, even if I win? That is why I strongly believe that the only area that is worthy of pursuing is if my civil rights were violated. Remember, the examiner said to my attorney and myself, that I could not appeal in NY because I live in NJ, when I disagreed with the RAR and requested that my case go to appeals in NY.
Let me tell you a story about an attorney i represented. He had a history of not paying in his payroll taxes, including one set of years I was able to successfully settle via Offer in Compromise. Well, he kept it up, and I suggested he change corporate form to cut his tax bill. He did it, but did not do it cleanly, doing things like using the old checking account until the new checks arrived, depositing receivables from the old corporation in the new one, etc. IRS was annoyed, and assessed an alter ego assessment, claiming that all the transfers meant he was playing games, and that they could collect all the taxes from him, the old corp or the new one.
When i tried to clean this up and make a deal, IRS wouldn't make it easy at all. They made me file a freedom of information act request to get the very documents they used to support their claim.
The lesson is that once IRS is annoyed or worse, they have no burden to asist, only to follow the law. You already disclosed they consider you a tax cheat, yet you do not appreciate that they will not assist you. Or your representative.
I would use the FOIA to get the IRS case, and get ready for Tax Court. If IRS is likely to lose, they may settle in advance of trial. However, they can make you go that far, and pay the tax attorney or CPA to represent you.
Thank you from Just Answer, and I hope I was able to answer your question. If so, please click Accept, and thank you.