Straight answers to the questions we hear most often. None of this is legal advice for your specific situation; it is the general framework, so that when we talk, you already know the vocabulary.
Read the letter for two things: the notice or letter number (usually in the upper right corner — CP14, CP504, LT11, Letter 1058, Letter 2205, and so on) and any response deadline. Those two items tell us what stage your case is at and what rights are attached to it. Do not ignore it, and do not call the IRS to "explain" before you understand what the letter is asking for. Send us a copy; the first review is free.
For most matters we quote a flat fee after the initial review, once we know the scope. The fee depends on the type of matter — a penalty abatement request is a different engagement from a field audit or an Offer in Compromise — and on the number of tax years involved. You will have the number in writing before you decide.
Yes, after it follows the required procedure. Before most levies, the IRS must send a Final Notice of Intent to Levy and give you 30 days to request a Collection Due Process hearing. That hearing request, filed on time, generally stops the levy while your case is reviewed. If a levy has already been served, it can be released on a showing of economic hardship or when a collection alternative is put in place. See Tax Liens & Levies.
A lien is a legal claim that attaches to your property and, when filed publicly, affects your ability to sell or borrow against it. A levy is the actual taking of property — money from a bank account, a portion of wages, accounts receivable. A lien is a cloud; a levy is a seizure.
It depends on your financial facts, not on how much you owe. The IRS accepts an offer when it concludes the amount offered is at least what it could collect from you over the remaining collection period. We calculate that figure before filing anything. Some taxpayers qualify; many do not, and for them an installment agreement or hardship status is the right tool. See Offer in Compromise.
Often, yes, if the request is made correctly. First-time abatement is available administratively to taxpayers with a clean three-year history and requires no explanation. Reasonable cause abatement is available where the failure was due to circumstances beyond your control, and requires a documented written request. See Penalty Abatement.
With the transcripts. We determine which years the IRS is looking for, whether it has prepared substitute returns for any of them, and what income it has on record. Then we prepare and file accurate returns for the required years. Filing compliance is a precondition to almost every collection alternative, so this is usually the first step whatever the ultimate goal.
Generally ten years from the date of assessment, subject to extensions for periods during which collection was suspended — for example, while an Offer in Compromise or a Collection Due Process hearing was pending, or during bankruptcy. Knowing the exact collection statute expiration date on each year is essential to choosing the right strategy, and we pull it from the transcripts at the start of every case.
CPAs and enrolled agents can represent taxpayers before the IRS and many do it well. Two differences matter. First, communications with an attorney are protected by attorney-client privilege, which is broader than the limited practitioner privilege under §7525 and, unlike it, applies in criminal matters. Second, only an attorney can represent you in the United States Tax Court and in federal district court if a case goes that far. For a routine return, a CPA is the right professional. For a dispute with the IRS, an attorney is.
No. Representation before the IRS is a matter of federal practice, and we represent clients wherever they are located. Our office is in Cedarhurst, in Nassau County, and most of our work with the IRS is done by correspondence, telephone, and secure document exchange regardless of where the client lives.
You tell us what the IRS has sent you and what you are worried about. We explain what the notices mean, what your deadlines are, and what the realistic options look like. If we think we can help, we tell you what the engagement would involve and what it would cost. If we think you do not need a lawyer, we tell you that too.