As I approach my 25th anniversary in the tax debt resolution world, my reflections have led me to identify the most common problem that plagues taxpayers who owe money to the IRS or state: not knowing what to do to start addressing the issue. Who do they talk to? Who can they trust? Should they try to call the IRS or the state to handle it on their own? Can they trust the big tax debt resolution firms cold-calling them day and night about it? Here are a few excerpts from my book that will give you a taste of my answers:

If you want to try handling it on your own...

“Dealing with the IRS and state over a past-due tax bill can be stressful. Depending on the mood of the agent who answers your call to the 800 number listed on the last collection notice received, you will see sunshine and rainbows, or it will rain cats and dogs. If you happen to be met by rudeness or doom and gloom when discussing your tax account with them, simply hang up the phone, wait a few hours, and then call back. At the state level, there are hundreds of agents who answer the phone lines. At the federal level, there are thousands of agents. The odds of you calling back hours later and ending up with the same person are 0.001%.”

“Talk to your accountant or CPA if you don’t want to handle it. Though their specialty is focused on tax planning and filing tax returns, they can handle calling the IRS or state and setting up a simple Installment Agreement on your behalf. You will have to pay them to do it, but if the idea of calling the tax agencies makes you break out into a cold sweat, paying them for the peace of mind would be worth it.”

For tax situations that are more involved or have a larger balance,...

“Consider this: to truly know how to efficiently and effectively navigate through the collection, examination, and appeal departments of the IRS and states and to understand how the resolution programs play out in all the different scenarios that can come about, it takes years of dedicated experience. You can’t take a weekend-long crash course in handling tax debt and claim to be knowledgeable enough to represent clients before the federal government. (You wouldn’t want an auto mechanic working on the engine of your 2015 Z06 Corvette if all they did was a weekend-long crash course, would you???)

Your accountant or CPA spends most of their time on the tax codes and laws related to income, investments, business financial activities, deductions allowed, special credits offered in certain circumstances, and all things related to individual and business tax returns. Unless your accountant or CPA is as brilliant as Albert Einstein, there is simply no possible way that they can be considered an expert in all areas of the tax world. There may be some out there, but not many!”

Thoughts on hiring a reputable tax debt professional...

“Do your research… Check out their website, any blogs posted, and even their social media activities. You want someone with a working, intimate knowledge of your tax debt scenario. Suppose they declare on their website, ‘We can handle anything and everything having to do with tax debt,’ but upon further review, you find that none of their blogs or social media activities share details focused on tax debt situations. In that case, they probably aren’t as experienced as they hold themselves to be.”

“Know that the IRS and state are relieved when a power of attorney for a reputable tax debt professional is received. Over the decades, I have encountered the same revenue officers for different taxpayers, often years apart, because I have represented clients nationwide over the last twenty-four years. The first phone call after I send over my power of attorney is typically met with, “It has been quite a while since I’ve had a case with you… how have you been???” Yes, revenue officers truly do talk like that to the right people!”

“If you display that you know the tax codes and laws surrounding tax debt collection and approach the negotiations from a cooperative yet unyielding position while advocating for your client, you earn the agent's respect on the other side of the negotiation desk.

This is the benefit of utilizing an experienced and respected tax debt professional to handle your tax account concerns.”

For more insight, guidance, and warnings about how to evaluate getting the right person involved, pick up a copy of my book “Tax Debt Rule #1: There’s ALWAYS a Solution” here.

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Trust. Protection. Wisdom.

Your future and your family deserve the right protection. Golden Lion Tax Solutions will be your advisor and confidant throughout the entire journey. We guarantee to offer you or your business best-case solutions for your tax debt. We are by your side every step of the way. Start now and get your life back.

For help with your tax debts, email contactus@goldenliontaxsolutions.com or call 833-LION-TAX (833-546-6829)

Disclaimer: There are requirements that must be satisfied in order to qualify for some of the tax solutions we discuss on our website. Not all of our services will be suitable for every client. Golden Lion Tax Solutions is here to help you find the most appropriate solution to fit your situation.