Our client who is an attorney hired us after his prior Power of Attorney failed to file a timely appeal on his rejected Offer in Compromise. We were able to successfully get a $35,043 offer in compromise accepted on his $150,000 balance. Now that his IRS debt is behind him, his longtime girlfriend agreed to marry him!
When our client hired us he was commingling and continued to commingle for years, using his corporation to pay personal expenses. When we finally straightened him out and he stopped commingling we filed an Offer in Compromise. After months of negotiations about the taxpayer’s income, expenses and assets we successfully got our client a $12,616 offer accepted on his $180,000 balance. When I called my client to give him the news he told me stories about his shoes and pants having holes in them, not leaving his apartment because he had no funds to use for entertainment, he said he was finally able to breathe a sigh of relief now that his IRS troubles are behind him.
The Offer in Compromise appeals officer determined that our client had the ability to $18,680, which our client could not afford to pay. After a thorough review of the appeals officer’s analysis and our client’s financial information, we were able to get an offer accepted for $5,183. Our ecstatic client is borrowing the money from a family member to full pay his offer.
When we started reviewing our clients financials to determine a case resolution everything was a mess, he is self-employed and his income varied a lot, he had a lot of expenses not being paid and a lot of what the IRS considers not allowable expenses. Before hiring us our client never made estimated tax payments so he owed a substantial amount to the IRS for 7 years straight until our tax preparation team guided him on making estimated tax payments – he is now current. After a lot of negotiations, the revenue officer ended up allowing a lot of expenses that either were not being paid or were not allowable expenses and we set up a part pay installment agreement for $3,000.00/month on his $360,000 balance.
Levy & Associates is available for free initial consultations. We’re happy to answer any questions you have about the audit process or address any concerns about your specific situation.
There’s never a good time to be audited, and the time-consuming process will take away from your business or family if you try to face it alone. Let us handle and coordinate communication, so you can return to your daily life.