SOURCE: Fresh Start Tax, LLC

Fresh Start Tax, LLC

August 29, 2011 06:00 ET

Fresh Start Tax: How Tax Payers Can Resolve IRS Problems Caused by Late Returns, Unfiled Returns and Lost Tax Records

FORT LAUDERDALE, FL--(Marketwire - Aug 29, 2011) - Former IRS Agents Can Get You Back in the System, Quickly and Without Problems.

Filing late, past due or unfiled tax returns may not be as difficult as you think. Once a person does not file for a year they just stop filing and live in fear, hoping IRS does not come calling.

Fresh Start Tax LLC sees this time and time again. Taxpayers just do not know what to do. They want to do the right thing but are unable to do so because they do not know who to reach out to.

The process is quite simple whether you have your tax records or they are lost. Michael D. Sullivan co-founder of Fresh Start Tax LLC said the process of getting taxpayers back in the system takes less than two weeks. First, all available tax records are secured from the taxpayer, and then IRS transcripts are requested for the unfilled years. The tax returns are prepared based on those tax records and transcripts.

Also, being former IRS agents, Fresh Start tax will look to make sure the returns are audit proof as much as possible. This is a process where the taxpayer's bank records and monthly income and expenses are reviewed. From there it can be determined whether the tax returns will get by IRS security.

The process works like this:
1. A verbal review year by year of your income and expenses.
2. Review all records you may have pertaining to the tax year being filed.
3. Request all IRS information received from 3rd party sources that have been placed on the IRS computer system over the past 7 years.
4. If records are lost, there are easy and simple forms that can help the taxpayer reconstruct the tax return.
5. Prepare based on years of experience a "reconstructed" tax return that the IRS will accept and process.
6. All returns are reviewed for accuracy with the client and then sent to the IRS.

Tax Settlements:
IRS Tax Settlement Agreements can be in different forms:
a. Hardship Settlements. Cases usually go into a 3 year suspended status because of an inability to pay. This is also called currently noncollectable. Your case will go into a hardship status because you do not have the income coming in to meet your current expenses. The IRS will use the National Standards Program to assess hardship.
b. Payment Agreements. Cases can be closed with agreed upon monthly installment payments to the IRS. We will review the different programs the IRS uses for the lowest possible amount required.
c. Offer in Compromise. There are three types of OICs:
1. Doubt as to Collectability - Doubt exists that the taxpayer could ever pay the full amount of tax liability owed within the remainder of the statutory period for collection.
2. Doubt as to Liability - A legitimate doubt exists that the assessed tax liability is correct.

Possible reasons to submit a doubt as to liability offer include:
(a) the examiner made a mistake interpreting the law,
(b) the examiner failed to consider the taxpayer's evidence or
(c) the taxpayer has new evidence.
3. Effective Tax Administration / Exceptional Circumstances - There is no doubt that the tax is correct and there is potential to collect the full amount of the tax owed, but an exceptional circumstance exists that would allow the IRS to consider an OIC. To be eligible for compromise on this basis, a taxpayer must demonstrate that the collection of the tax would create an economic hardship or would be unfair and inequitable.

See our home page for more details about Fresh Start Tax LLC.

Contact Information

  • Contact:
    Steve Wilkinson