Case 4: Currently Non Collectible on $10,045.02 in debt
A Taxpayer called in with an IRS debt of $8,000.00. She was seeking our help as she was having her wages garnished by the IRS, they IRS had assessed her a balance for not filing and not paying taxes on time.
We proceeded with the Investigation Phase of the program and after a thorough study was completed by our tax team, it was determined that the total amount of tax debt was $10,045.02
Our tax team contacted the IRS with the signed Power of Attorney. We requested taxpayer’s master file from and a Stay of Enforcement was granted for 30 days. A Stay of Enforcement halts the collection process for the approved amount of time. After the investigation was completed it was determined that compliance work was needed for tax years 2014, 2015 & 2016. We couldn’t proceed with a resolution until the returns were filed.
During this phase our tax team requested the taxpayer’s wage and income information from the IRS. The tax team proceeded to file the missing tax returns 2014, 2015 & 2016. Once the returns were posted, a thorough review was also done on the taxpayer’s finances. It was determined that the taxpayer was going through major hardship and had more expenses than income on a monthly base. A report was provided by our tax team and a recommendation for placing the taxpayer’s account in Currently Not Collectible (CNC). While the account is in CNC status, the IRS will not generally engage in collection activity and as long as taxpayer’s financial situation remains the same they won’t have to proceed with monthly payments.
The tax team contacted the IRS with financial information for the taxpayer. We shared with the IRS her current financial circumstances and they requested proof of all clients income and expenses. After several conversations between our tax team and the IRS agent the case was forward for manager’s approval. The account was finally approved to be placed in Currently not Collectible status. Therefore the garnishment was released. The tax team contacted the taxpayer’s employer to inform them of the garnishment release. The taxpayer will not have to make monthly payments and will maintain in the CNC status until her financial situation changes or the debt reaches a CSED date.
CNC was set in place with the IRS as follows:
Total amount owed: $10,045.02
Resolution: Currently Non-Collectible
Monthly Payment: $0.00
Phases worked: Investigation, Compliance, and Resolution
This example is an actual example of a client who enrolled in the tax program. Every case is unique and this is not an extension that you will receive the same resolution as they will. Your situation is unique, as are all tax cases. The team has extensive experience, has former IRS employees, special officers, enrolled agents, tax attorney, and CPA’s. Our tax team will work diligently with a flat fee to solve the tax issue you have for the best possible resolution for you. That means doing all possible to ensure you pay the lowest amount of taxes legally required based on your situation, allowable deductions, finances, and other factors.