 Houston, Texas December, 2007
Offers in compromise Offers can be a lot harder to get through the IRS then you or your representative may anticipate. What you think is evidence for the value of an asset is often less than what the offer division will accept. It even gets worse. I had a case last year where the offer division wanted an extra $100,000 beyond what the financial statements showed the taxpayers should pay. My client took out an additional mortgage six years ago to use to pay business expenses. This helped them generate income, which the IRS was happy to tax and collect. Now the IRS saying that since the mortgage lowered the remaining equity in the house, it prevented them from collecting more to settle the offer! As if to say that the mortgage was taken out six years ago in contemplation of lowering their assets to get a lower amount offered in settlement! I've had other cases of similar proposals from the IRS. My point? Make sure that you hire someone (the person actually presenting your case to the IRS) who has a lot of knowledge and experience in this area. Contact me with questions if you are considering hiring someone to represent you before the IRS.  www.taxproblem.org support@taxproblem.org |
