If you disagree with the IRS’ decision on the amount of taxes you owe, there is a recourse to help resolve the dispute without taking it to the Tax Court. You can file an appeal with the Office of Appeals which is an independent organization within the IRS. An IRS tax appeal helps you request an additional investigation into your taxes which may lead to a reduced tax bill if the investigator finds any error or anomaly. This blog will answer popular questions people ask about Appeals. Please read on.
When can you file an appeal?
You can file an appeal if you receive a letter from the IRS explaining your right to appeal against its decision. You are, however, not eligible to file a tax appeal if the letter you receive from the IRS is a bill and there is no mention of appeals, or if you had failed to provide complete information to the examiner during the audit. When filing an appeal, the reason for disagreement should be within the scope of stipulated tax laws.
What are the different types of appeals?
There are three types of IRS appeals:
- Collection Appeal Request
- Request for a Collection Due Process (or equivalent hearing)
- Application for Taxpayer Assistance Order
How can you file an appeal?
A taxpayer can make a Collection Appeal Request before the IRS files a lien or a levy. They can even file if they already sent a levy to the bank account before issuing a final Notice of Intent to levy or to your employer to garnish your wages while there is already a pending instalment agreement in place.
The Request for a Collection Due Process or equivalent hearing, on the other hand can be used to resolve nearly every tax dispute.
Lastly, if a tax dispute is taking a long time to resolve, The Application for Taxpayer Assistance Order helps the taxpayer receive additional help from the IRS Taxpayer Advocate Service.
The Bottomline
Dealing with an IRS tax dispute can be overwhelming. Your finances can be at stake if the issue is not addressed in the right manner. That is the reason it is important to seek the help of an IRS tax attorney. If you are looking for professional assistance to resolve any IRS tax debt problems, the Law Office of Nick Nemeth can help. To schedule a free, no-obligation consultation with one of our IRS lawyers, simply call (972) 426-2553 or fill out our contact form and we will take it from there.