Every month our team of tax attorneys and case managers work diligently to help resolve our clients tax issues once and for all. Resolving our clients tax issues can be a long process due to the amount of paperwork needed and how slow the IRS moves when trying to get approval. Each case we resolve has a unique story as well as a unique process. Here are just a few of the cases that show how the process works.
Case #1: When owning a business, it is important to keep your business’s finances separate from your personal finances as this can cause big problems if you are ever audited by the IRS. One of our clients unfortunately didn’t follow that rule. Our client owned an insurance office and would take money out of his personal bank account to pay for marketing and advertising expenses and then reimburse himself through his business account. Unfortunately, he did not keep the proper records for these expenses and when the IRS audited him, he had no way to prove these expenses occurred. Our client also switched accountants and the new accountant made errors on their tax return that triggered the audit. When this client came to us, the IRS was saying he owed hundreds of thousands of dollars in taxes and needed to pay. Luckily, our firm was able to fix the errors made by the previous accountant and comb through the company’s financials to try and provide substantiation for the expenses the IRS was trying to disallow. After negotiating with the IRS, we were able to get a new assessment that substantially lowered the amount of taxes our client owed. In the end, we saved him over $142,000 and settled his tax problem once and for all!
Case #2: Taking money out of your retirement account too early is one of the fastest ways to incur a large tax debt. This client for instance retired from being an airline pilot and took out of his retirement earlier than he was supposed to. Due to taking out of his retirement, our client incurred a large tax liability and was struggling to pay it off. At the time, our client was divorced and was living on disability and Social Security income. He finally came to us after the IRS started levying his Social Security check. Once we were able to get his financials together, we got the IRS to release his levy and set him up in a temporary Installment Agreement to help prevent further levies. We discussed the different tax debt relief options with our client and decided a Partial Payment Installment Agreement was best because our client couldn’t afford a large sum payment. Our team negotiated an affordable PPIA with the IRS, letting our client pay off some of his tax debt and save over $100,000!
Case #3: Our next client used to run a trucking business and fell behind on his taxes which created a tax liability of hundreds of thousands of dollars. Luckily, some of his balances expired due to time limits and he was able to get himself into Currently Not Collectible Status. This client came to us because he wanted to get rid of the liens the IRS had kept on his property when he went into CNC status. After going through our client’s financials, we realized after bills and expenses, our client had a monthly disposable income of $0. With that information, we submitted an Offer in Compromise to the IRS and waited. After a few months, the Offer Specialist tried to speak to our client, instead of us, to get financial information he could use against our client. Luckily, our client called us immediately and we contacted the Specialist. After some tough negotiating, we were able to secure an Offer for our client and saved him over $150,000!
If you need help settling your tax debt with the IRS or State, call Polston Tax Today! Our team of Tax Attorneys, CPAs, Case Managers and Tax Accountants will help you get the best resolution possible and solve your tax problems once and for all!
Call 405-801-2146 or click below to schedule a free consultation!