How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask socrateaser Your Own Question
socrateaser
socrateaser, Lawyer
Category: Tax
Satisfied Customers: 37951
Experience:  Retired (mostly)
10097515
Type Your Tax Question Here...
socrateaser is online now
A new question is answered every 9 seconds

I have a tax question concerning an offer in compromise for

Resolved Question:

I have a tax question concerning an offer in compromise for the state of Utah.
In making an offer in compromise to the IRS the IRS allows one to use IRS allowed standards without providing proof of actual expenses. How does the state of Utah work? If a family has 4 members can they elect to use IRS allowed expenses for the state of Utah OIC for items like food, medical, etc? Or does the state of Utah require actual expenses?
Submitted: 4 years ago.
Category: Tax
Expert:  socrateaser replied 4 years ago.
You appear to have asked this question twice. Are you looking for a second opinion?
Customer: replied 4 years ago.
Strange. The question I thought I had typed was whether or not a dependent's social security income had to be counted as part of the taxpayer's income.
Expert:  socrateaser replied 4 years ago.
I'll take that as a "yes."

I have searched substantially all of the Utah Code, case law, Administrative Code and Tax Administration publications, bulletins, etc., and I cannot find a single word about the use of the IRS allowed expenses tables in constructing an offer in compromise. The state tax booklet on OICs suggests that each expense must be accompanied by a statement justifying that expense. It would seem to me a pretty reasonable justification that the expense is no more than what the IRS would allow in its own OICs. However, the "justification" language also suggests that Utah tax examiners are willing to entertain justifications that would not meet the IRS requirements -- otherwise, the booklet would flatly state that the IRS allowed expense requirements must be followed.

Hope this helps.

NOTICE: My goal here is to educate the public about the law. Please help me in this effort by clicking Accept for my Answer to your Question. If you have a subscription account, clicking Accept does not create any additional charge. It merely gets me credit for my Answer.

And, if you need to contact me again, please put my user id on the title line of your question ("To Socrateaser"), and the system will send me an alert. Thanks!

Please Click the following link for IMPORTANT LEGAL INFORMATION.

socrateaser and other Tax Specialists are ready to help you

Related Tax Questions