October 27, 2025 • 42 mins
TaxTalk4U.com Does the IRS scare you? Know the ins and outs of IRS Collections.
IRS letters and notices CP 14, CP501, CP503, CP504, CP523, CP2000, CP90. Collection Due Process Hearing (CDP) how to appeal IRS collection actions. Collection Appeals program. Federal Tax Lein, Federal Tax Levy, Wage Garnishment, Income Levy, Passport Actions IRA may Revoke passports. Levy Seizure of property and what property IRS my seize. Settling IRS debt.
Tax Talk 4 U is broadcast live Mondays at 10AM ET and Music on W4CY Radio (www.w4cy.com) part of Talk 4 Radio (www.talk4radio.com) on the Talk 4 Media Network (www.talk4media.com). Tax Talk 4 U is viewed on Talk 4 TV (www.talk4tv.com).
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IRS letters and notices CP 14, CP501, CP503, CP504, CP523, CP2000, CP90. Collection Due Process Hearing (CDP) how to appeal IRS collection actions. Collection Appeals program. Federal Tax Lein, Federal Tax Levy, Wage Garnishment, Income Levy, Passport Actions IRA may Revoke passports. Levy Seizure of property and what property IRS my seize. Settling IRS debt.
Tax Talk 4 U is broadcast live Mondays at 10AM ET and Music on W4CY Radio (www.w4cy.com) part of Talk 4 Radio (www.talk4radio.com) on the Talk 4 Media Network (www.talk4media.com). Tax Talk 4 U is viewed on Talk 4 TV (www.talk4tv.com).
Tax Talk 4 U Podcast is also available on Talk 4 Media (www.talk4media.com), Talk 4 Podcasting (www.talk4podcasting.com), iHeartRadio, Amazon Music, Pandora, Spotify, Audible, and over 100 other podcast outlets.
Become a supporter of this podcast: https://www.spreaker.com/podcast/tax-talk-4-u--6333550/support.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
The topics and opinions express in the following show are
solely those of the hosts and their guests and not
those of W FOURCY Radio. It's employees are affiliates. We
make no recommendations or endorsements for radio show programs, services,
or products mentioned on air or on our web. No
liability explicitor implies shall be extended to W FOURCY Radio
or its employees are affiliates. Any questions or comments should
be directed to those show hosts. Thank you for choosing
(00:21):
W FOURCY Radio.
Speaker 2 (00:28):
Barry G.
Speaker 3 (00:28):
Fouler EA brings you tax talk for you right here
on W four CY Radio and Talk for TV. As
an enrolled agent and a national leader in tax resolution
as well as Trucker bookkeeping and tax planning. With over
thirty years of experience, Barry will break down taxes, bookkeeping,
(00:49):
tax planning, and tax relief for individuals and businesses just
like you. So let's have some tax talk for you
with your hosts.
Speaker 2 (00:59):
Barry G.
Speaker 4 (01:02):
Welcome and good morning, another great Monday.
Speaker 2 (01:06):
Man.
Speaker 4 (01:06):
We had a great weekend this weekend. My wife and
I are celebrating our twenty fifth anniversary this year and
the church was doing a twenty fifth anniversary jubilee, which
was fantastic. We got to renew our vows. So we
had a great weekend with a bunch of other couples
(01:27):
and got to take some pictures with the Archbishop here
and the dioceses of Galveston Houston. So it was actually
a fun weekend. Really really enjoyed it. But now, you know,
we got to get onto the scary stuff. You know, hey,
what scares you more than an IRS letter that comes
(01:50):
in those IRS and notices. You just see the envelope
and it says Internal Revenue Service on it, and most
people don't want to open that letter at all and
read what the IRS is saying. You know, we know
IRS notices is official letter communicating what problems or what
(02:16):
information or potential issues changes actions that they could be
requiring concerning your taxes. You know, receiving an IRS notice
doesn't necessarily mean that there's a problem, but it does
require attention to ensure compliance and avoid possible penalties and
(02:37):
additional complications. So you kind of got up open that
letter to know what's going on with the IRS. So
what is an IRS notice and why am I receiving one?
You know, IRS notice is simply a letter from the
IRS notifying you something important that maybe related to your
(03:02):
tax return. It sounds scary, but it sometimes it's just
a way to keep you updated or ask for more information. Now,
there are several possible reasons that you're going to be
getting IRS notices. Of course, we all know you have
a balance due, so you owe money. You filed your
tax return and you owe them money. The IRS is
(03:24):
going to send you notice of balance due. Or the
IRS believes that you're going to owe additional tax. They'll
send you a notice. Maybe your refund changed. Your refund
amount could be either more or it could be less
than what you're expecting. They're going to send you a
notice explaining it. Then you can verify what's in the
(03:45):
notice and take actions as you're supposed to. The IRS
has a question maybe about your tax return. They need
clarification or additional information. They're going to send you, guess what,
a notice. Maybe the IO needs to verify your identity
to make sure you file the return and not someone else.
(04:06):
It's going to explain to you what you need to
do and what the process is to verify your identity
with the IRS. Now that brings up something real quick
here is that you know, getting an identity pin is
sometimes a great way to make sure that nobody else
is going to be filing a tax return for you.
(04:29):
When you do request that IDPIN, that change that pen
every single year, and you get notices of it every
single year. So I do recommend getting that id PIN
just to keep your tax account safe with the IRS.
The IRS will also send you notice if you have
delays in processing your return, or delays in handling your
(04:51):
tax return, or delays of processing information. So it's really
really important that you read the notice, is careful, follow
any instructions that are provided, and then reply to the
address that they're providing to you. Ignoring the IRRs and
(05:12):
IRS notice can lead to other enforcement actions, so it's
just additional interest, additional penalties. So you want to make
sure you're opening those letters and taking the appropriate action.
Now we know again those letters are scary, and many
people don't even open them because they're scared of what
(05:34):
the IRS is going to say, and the letter itself
isn't going to buy The letter itself isn't going to
do anything to you. Maybe give you a paper cut,
you know you're mishandling paper but other than that, the
letter itself does nothing. Now, it warns you and informs you,
it scares of the gv's out of you, but you
(05:56):
know it's something that's out there that is absolutely necessary
to start the collection process going forward. So you know
you want to make sure again you open that letter. Now,
when you owe the I R S, they send you
these letters and notices. You're going to receive various notices,
(06:18):
various letters with specific constructions and deadlines. So you know,
we're going to go through some common IRS notices and
what they mean, so that when you're sitting there opening
that letter, you're going to see in the upper right
hand corner it's going to have a notice and it's
going to have a notice number. So one of the
first notices you're going to get is a CP fourteen.
(06:40):
This is one of the most common notices. It tells
you guess what you owe money on your taxes such
as unpaid taxes, penalties, interest, just a simple reminder to
pay the IRS soon as possible to avoid more penalties,
(07:00):
more interest. So on this notice you're going to see,
it's going to tell you the exact amount do including
penalties and interest, and request payment within twenty one days. Hey,
if you can afford to pay it, pay it, get
it done, get it over with. Stop the penalties, stop
(07:21):
the interest, stop the collection notices, stop the scariness in
your life. You know, those things right there can be
very important. Maybe it's you know, if if you owe
for more than just this one year, or maybe you
owe quite a bit and you can't afford to pay it, well,
it's time to take some kind of action. And it
(07:41):
can be simple as getting an installment agreement in place.
It could be just getting a hold in place for
more time to get money together. Now, the hole isn't
going to stop penalties and interest. Those are still going
to accumulate. The only way you're going to stop those
penalties and interest is by paying of this tax debt off.
(08:02):
But if you ignore it, and then you ignore the
CP fourteen, guess what got that right? Irs? Sense another letter?
This is going to be a CP five oh one.
So if you don't pay after receiving the CP fourteen,
the I R. S Is going to send the CP
five oh one again that that notice numbers up in
the upper right hand corner of your notice, and again
(08:26):
it's going to inform you that you have a balance
due on one of your tax accounts. The notice indicates
that the I R S is now actively pursuing collection
and requires your immediate attention. This means wake up. This
means start addressing the problem before this gets worse. This
means put a installment agreement in place if you can
(08:51):
afford it, put a hold on it. Go get a
loan from the bank, Maybe get a loan out of
your four oh one K. Maybe as friends and family
to borrow some money to put this debt away so
that you don't have to continue paying penalties and interest.
(09:11):
I mean when penalties and interest continue to accrue on this,
it becomes very, very expensive, and depending on what penalties
you have on there, it could be adding twenty five
to fifty percent to the debt. Because you ignored paying
the tax, You didn't make your estimated tax payments, you
didn't pay the tax, and when it was due on
April fifteenth, you didn't pay it when you filed it.
(09:35):
All these things continue to add to your debt and
just makes matters worse. If you're well beyond that period,
sometimes the penalties have stopped and now you just make
it interest and interest continues to accrue. So what's the
next notice that you're going to get. Hey, we're going
to find out after this quick break.
Speaker 3 (09:53):
We have only scratched the surface of today's show. Please
stand by as Parry Chief Dower will be right back
with tax talk for you. If you own the IRS
or are going through an IRS audit, don't go at
it alone. Call Taxation Solutions Tax Relief at eight eight
(10:14):
eight nine three zero one zero one six. We are
your solution for IRS debts, audits, back taxes, garnishments, leans
and levees. Whether you're an individual or business, you need
a solution and a strong aggressive tax resolution. Don't let
(10:34):
the IRS walk all over you. Stop the IRS now
call eight eight eight nine three zero one zero one
six or go to Taxationsolutions dot net now for a
free no obligation consultation. Let's get back to tax stock
(10:54):
for you with more tax stock once again, here's your host,
Rag Fallon.
Speaker 4 (11:04):
You know the IRS is scary and dealing with the IRS.
As a taxpayer and somebody that owes money to the IRS,
this can be one of the scariest things in your family.
And these notices are are there to remind you. But
those notices can be very, very scary. So you know
you've received the CP fourteen, you ignored it, you've gone
(11:28):
beyond the twenty one days that they requested your payment.
You receive the CP five oh one, which is the
next letter after the CP fourteen, that again informs you
of your balance due and that the IRS is actively
pursuing you and your family for collections. Now that if
(11:49):
that wasn't scary enough, they're going to issue another letter
CP five before this service notice gives you a more
urgent reminder that your tax debt remains guess what, unpaid?
If you didn't know you missed it on the CP
fourteen and the CP five oh one, they're gonna send
(12:11):
you that CP five O three because stuck your head
in the sand and you ignored the first two notices
and they noticed that you guess what, didn't pay them.
They hadn't heard from you, and you still have an
unpaid balance on one of your tax accounts. This is
basically your third reminder that you still owe a balance
(12:34):
on your tax as if you didn't know that you
ignored the other two and you would forget within four
to six months, they send you this next notice. You
know you haven't received a payment. You haven't given them
a response. Now I'm gonna tell you responded to him.
You called them basically, you told them you couldn't afford
to pay. Basically told them maybe you got to figure
(12:56):
out a payment plan. They told you what they mount was,
and you said you got to think about it. They're
still sending you of this notice. You may have replied
to them. They're sending any of this notice. They're still
advising you that they know that this debt is still there.
You still owe them to get them paid. The IRS
(13:17):
wants their money, and they wants it now, So don't
ignore it. Get some activity on it, because guess what
if you don't put a payment plan in place, maybe
you don't put it a non collectible. Maybe you haven't
addressed what the issue is in this and you're owing money.
But you could fix it through maybe doing a mended return,
(13:38):
maybe doing a return correctly. Maybe it's something that you
got to fix on there. And then the IRS is wrong.
Guess what they're hitting you with the next notice and
this becomes your CP five oh four, your notice of
intent to levy. This comes from Internal Revenue Code Section
six three three one D. The notice that the IRS
(14:01):
intends the levey. Now, if you don't pay this amount
due immediately, the IRS can levy your income, your bank accounts,
seize your property or your right to property, including your
state income tax refunds, to pay the amount you owe
(14:21):
the IRS. So did you get this? This is your
notice of intent to levy. This is sent out as
it's required by the Internal Revenue Code section six three
one D. It's your final reminder telling you that the
IRS is intending to levey. Again, not to scare you,
(14:46):
but this should scare you. They're intending to levy your wages,
your bank account, state tax refund because you still have
that unpaid balance on your tax account. Now. It also
is going to tell you that they're going to begin
searching for other assets on which to issue a levy.
So to avoid this, you've got to start a dealing
(15:10):
with the amount you oh immediately now to scare you.
You know, the IRS does levies. They levy bank account
anything that has you're attached or if you're filed and married,
filing jointly, your wife's attached Social Security number too. It
so any account that you have bank I R A
(15:32):
four oh one k U five twenty nine plans, five
O three B plans, you name. It has a Social
Security number attached to it, with your solid security number
or wife's Solid Security number, UH, spouse's partners, whoever you're
filing with, it's going to get levy. You have kids
accounts and you're so security numbers on those kids accounts
with THEIRS, those accounts can be levy. So yes, it
(15:55):
should scare the gv's out here, scare you into some
kind of action immediately, because generally you have thirty to
forty five days and the IRS is going to levy. Now,
what makes matters worse? If you look at these levees,
it says right there high r s can levy your
income W two wages. They can send the levee to
(16:19):
your employer. If you're a contractor and you get ten
ninety nine income, IRS will look at everybody you're getting
income from in the levy against potential income you're receiving
from anybody you're doing contract work for before they pay you. Now,
difference between getting your wage levied and your income garnish
(16:41):
this contract work is wage levy has a limited amount
that they can pull out they're trying to still leave
you with what they consider they consider a livable wage.
When they levy against your contract work, they're taking one
hundred percent. They have to pay in one hundred percent
of your income up until it satisfies that levey. So
(17:06):
you've got to remember it is something you need to
address sooner rather than later, because if you're independent contractor
and you're working and they take one hundred percent of
your money, it's a bit hard enough to make your
bills meet when they're taking a percentage of your wages
versus taking one hundred percent of your income, and then
you've got other bills to pay, both business and personal.
(17:28):
So uh, and it's hard enough when they levy your
bank account and they take one hundred percent of your
money out of your bank account that you then have
to figure out how to meet your mortgage or your
legutility bills, or your car payment, or your food bills,
you name it, credit card payments, all these things become
impossible when there's nothing to pay out of your bank so,
(17:52):
you know, and then they're starting to look for any
other assets that they can attach to any issue the levy.
Now they can also the irs file it notice of
federal tax line if they haven't already done so. And
a lien is a public notice to your creditors that
the IRS has a right to your interest in your
(18:13):
current assets and any assets you acquire after they file
the lien, and it can affect greatly the ability to
get credit. You know, being able to get credits sometimes
is very difficult when you've got tax lines on you.
It brings your credit cards to credit scores down, and
(18:34):
it makes it almost impossible to go out there and
get a mortgage or new credit cards or any other
kind of loan until this IRS debt is satisfied. Now,
Also in this notice, it's going to explain the denial
or revocation of a United States passport. So the Fixing
(18:56):
America's Surface Transportation Act generally PIT prohibits the State Department
from issuing or renewing a passport to a taxpayer with
seriously delinkent tax debt. You can find more information on
the IRS website about passports and stuff. But you know,
(19:16):
if they pull your passport and you have to travel
for business or work, you're not going to be able
to travel anywhere. And I've seen some of our clients
that have these passports and had it revoked because they
were seriously delinkent in their tax debt and they have
to travel for business and it affected their jobs. So
(19:38):
you know, you kind of want to be aware of
the different things the IRS can do. And these letters
are scary, but you have to address them. Now. What
happens if I don't pay or contact the irs? And
those are things we're going to discuss right after this
quick break.
Speaker 2 (19:56):
We have only scratched the surface of today's show.
Speaker 3 (19:59):
Please stay as Barrygfowler will be right back with tax
talk for you. As an owner operator, you already spend
too much time away from your family. Trucker Tax Tools
handles all your bookkeeping and taxes.
Speaker 2 (20:15):
No matter what level trucker you are.
Speaker 3 (20:17):
Life on the road can be taxing, but that doesn't
mean that your wallet or time with your family should suffer.
Trucker Tax Tools makes your life run smoothly.
Speaker 2 (20:28):
Go to Trucker Tax Tools dot com for.
Speaker 3 (20:30):
A free guide that will give you the tools to
never worry about your taxes again. Call Trucker Tax Tools
eight seven seven nine sixty six two four seven seven,
or go to Trucker tax Tools dot com now and
let the experts keep you trucking. Let's get back to
(20:52):
tax stock for you with more tax stock once again,
here's your host, Barrygfower.
Speaker 4 (21:01):
You know, I know the scariness of owing the IRS
sometimes puts people into a panic. Sometimes it shuts people down.
Sometimes they just stick their head in the sand and
hope it's just going to go away. IRS doesn't go
away on their own. Yeah, it may seem like the
IRS is a little bit slow in collection activities today,
(21:24):
but part of that has to do with government shutdown.
Part of that has to do with knowing where the
economy is. But if they see that you're making money,
and they see that you've got the wherewithal the potentially
in their opinion, to pay, they're coming after you. Sticking
your head in the sand or ignoring the IRS doesn't work.
(21:46):
You know, we've talked quite a bit about the letters
and some of the things that they can do when
you don't contact them when you don't pay. But if
you know, if you don't pay the amount due to
the I R S within the timeframe of the notice
or immediately, or make payment arrangements and they file the
(22:08):
notice of Federal tax lean, you know that publicly establishes
priority with your creditors. And if the tax liane's in
place again, it's going to make it difficult to sell
or borrow against your property. The tax line is going
to greatly affect your ability to get credit, and of
course it's going to harm your credit ratings. And then,
(22:31):
of course the IRS can seize levy state tax refunds
to which you would be entitled if there's still balance
is due. After they seize your state tax refund and
take any federal tax refunds that you got coming in,
(22:51):
they're going to send you a notice of a right
to a hearing before the IRS Independent Office of Appeals.
If you haven't got such notice already, you would probably
be getting one shortly. They can also then seize or
take possession of your other property or rights to property,
(23:13):
which you know includes wages, real estate commissions and other income,
bank accounts, business assets, personal assets including your car, your home.
They can even levy against your Social Security benefits. Now,
if you don't believe me that the IRS will take
people's homes, business assets, cars, you can actually go to
(23:40):
the US Department Treasury and look on their website. They
have a auction place where they auction off assets so
that they have acquired or taken from taxpayers to satisfy
their tax debt. We had a revenue officer who really
going after one of our clients. Now, unfortunately for our
(24:04):
client and our client did everything they could to drag
their feet. They were not making anything easy. They broke
three or four different agreements with the IRS. This revenue
officer resorted several times into levying their bank accounts. Unfortunately
for our client, they decided they would stick their head
(24:27):
in the sand, they would ignore things. We actually had
them set up on an offering compromise and within months
they broke the offering compromise by choice. Now why, we
don't know. We couldn't get the answer. We told our
client point blank, they continue to do this. One, we
can't represent you because we're not going to continue to
(24:47):
go down this route. Two, they are going to take
the assets. They agreed with us. They were going to
actually sell their home themselves put it up on the market. First,
they put it up on unreason no price. Second, they
finally got a reasonable offer and that they agreed to
the price and had to sign contract. IRS agreed they
(25:10):
would take this money in an offer and be the
settlement for their debt, and the client decided they weren't
going to go through with the sale. IRS went and
took their home. Nothing we could do about it. We
even told the client at this point, we can't represent
you because you have done everything to fight us to
find ways to help you settle your tax debt and
(25:34):
get the resolution you needed for your life. So you know,
you got to be wary of what you're doing when
you're dealing with the IRS. Now. We always recommend if
you have an IRS problem, get help. Call Taxation Solutions,
tax Relief, Taxation Solutions dot Net. Call eight eight eight
nine three zero one zero one six again eight eight
(25:57):
eight nine three zero one zero one six get the
help that you need today to resolve your tax problem.
So get a resolution, do something to help yourself, settle
your tax debt and set this behind you. Some of
the other notices that you're going to get is you're
(26:18):
going to get something like a CP five two three.
If you receive the five two three, five two three
SP or sixty two three notice, the IRS is informing
you of an intent to terminate an installment agreement and
seize or levy your assets because you have defaulted. Now
you've got a little bit of time. You should be
(26:39):
contacting the IRS as soon as possible, but no later
than thirty days from the date of the notice. The
other notice you can be getting as a CP ninety.
Now remember that notice is CP ninety or any other
notice is going to be in an upper writing corner
of it. It's going to say notice number. You can
actually look up some of the notice numbers on the
(27:00):
IRS website and see what some of the meeting is
behind it and how much time you would have to
possibly respond. But the CP ninety notice is similar to
the five to two three. It warns that the IRS
plans to take action to collect what you owe, such
as seizing property, and you usually have thirty days to
(27:21):
resolve the issue before they take any action. They do
intend to levy certain assets for unpaid taxes, and that's
what they're informing you of and informing you right to
a collection due process hearing, and we're going to go
through the collection due process hearing here in just a minute.
(27:42):
It is something that you need to know of and
it's a way of addressing IRS problems. Another notice that
you're going to receive as well is letter ten fifty eight.
It's a final notice of intent to levy and you're
right to a hearing. It informs you that the IRS
(28:05):
is going to levy your assets, wages, bank accounts, business assets.
See do you notice what the IRS is continuing do
telling you here is what we are going to do
to collect the debt that they are owed because you're
not addressing the tax debt problem. It gives you thirty
(28:30):
days to figure out what you're going to do. You
have thirty days from this notice to request a hearing
to help explorer collection alternatives, or given appeal the proposed
levy action. You know your letter thirty one seventy two
notice a federal tax lane filing, and again your right
(28:53):
to a hearing, so you know, gives you the right
for appealing the lien discuss payment options. This is not
a notice of proposed lien, but a notice of a
lien that has already been filed with your local county recorder.
(29:13):
It puts the whole world on notice of your unpaid
tax balances, and guess what. Not only do you start
receiving those notices, but now you're going to be receiving
notices from different tax firms saying hey, you have this
lian on you on your property. Some of those are
some advertising scans scams you're going to get possibly phone
(29:37):
calls off of those liens as well. So it's best
to start taking care of the tax problem with a
reputable tax firm like Taxation Solutions dot Net, tax Relief
and a dealing with your tax problem here today before
it gets worse. Now, the IRS gives you ways of
(29:59):
dealing with this, especially if you disagree with the notice
and that is requesting a collection due process hearing. We're
going to go through collection, do process hearings and how
to request it right after the.
Speaker 2 (30:12):
Short break, we have only scratched the surface of today's show.
Speaker 3 (30:17):
Please stand by as Barry G. Fowler will be right
back with tax talk for you. As an owner operator,
you already spend too much time away from your family.
Stop spending time doing paperwork. Go to Trucker tax tools
dot com, a solution built specifically for truckers. Trucker tax
(30:39):
Tools dot Com makes your life run smoothly. Let's get
back to tax stock for you with more tax stock
once again, here's your host, Barrygfowler.
Speaker 4 (30:55):
Okay, so you disagree with all the notices the IRS
has sent you. Yeah, we all disagree with notices and't
being taxed, and we all feel we're taxed too much,
or maybe you feel like taxes were never approved or
validated and out of the constitutional Those things don't matter,
really don't, But you have good grounds. Let's say that
(31:21):
you've paid it. Let's say the IRS was absolutely wrong
in assessing this balance and you could get no action
on anything that you fil Now you can go to
taxpayer Advocate. You can file a Form nine to one
one and ask for them their help, and they will
give you some help on trying to resolve some of
(31:42):
the issues that you may be having. But you can also,
when you're disagreeing with that notice for cause, request a
collection due process hearing using Form one two one five
three Form one two one five to three to request
a collection process or equivalent hearing. Now, why should I
(32:05):
request a collection due process hearing? Well? CDP hearing. Collection
due process gives you the opportunity to appeal the intent
to levy and address any other issues you may have
with your tax situation. Now, you've got to understand what
your CDP rights are. So when you receive a final
notice of intent to levy ten P fifty eight notice
(32:26):
the Federal Tax Lane thirty one seventy two. You have
important rights under this CDP process, and the CDP procedures
gives you a safeguard that is put in place by
Congress that requires the IRS to follow a set of
procedures to ensure you, as a taxpayer, have protections when
(32:47):
facing IRS levey and actions. That includes the right to
have the CDP hearing within thirty days of the notice,
the opportunity propose alternative payment arrangements such as an installment
agreement or offering compromise, maybe even a partial pay installment agreement.
(33:08):
It also gives you the ability to dispute the underlying
tax liability in certain circumstances. It's going to give you
the right to a judicial review in tax court if
you disagree with the hearing determination. Now, during the CDP hearing,
you're going to have the IRS's quote unquote independent Office
(33:31):
of Appeals, and they're going to verify that all legal
procedural requirements have been met. Did they send out the
notices properly? Did they give them all within the proper timing? Now,
just because you didn't receive the notice because you didn't
go pick up the certified letter from the post office. Well,
it's constructive receipt when it hit the post office, so
(33:54):
you did receive it even if you didn't pick it up.
It's going to consider any legitimate issues raised about the
collection action. They're going to evaluate whether the proposed collection
action balances the government's need to collect taxes with legitimate
concern that it'd be no more intrusive than necessary. They're
(34:17):
trying to collect almost everything they'd done has been necessary.
Now you are allowed to represent yourself at an appeal hearing. However,
we do recommend you have a good tax attorney or
old agent somebody there to help you bring a better
understanding and knowledge of how to present information and evidence
(34:39):
to this feel hearing. You know, it becomes strategically important
when you're in a CDP hearing to know what you're
doing and how to do it, just like approaching how
to read and understand your IRS notices. Having that understanding
(35:00):
and having the professional qualifications is the same as hiring
somebody like a master electrician to come in and redo
electrical wiring in your house. You don't want to approach
that yourself, because if you do it wrong, house burns
down and you've got bigger problems. That's the same way
of approaching sometimes dealing with the IRS, whether it's an
(35:21):
appeal hearing, or even just dealing with the IRS letters.
Now let's back up. Let's talk about how I should
approach the IRS notices and letters that are being sent.
Reading and understanding an IRS notice. So when you receive
that IRS notice, it's important to approach it methodically, ensure
(35:43):
that you understand the issue and take the appropriate actions.
So what should you do? First? Read read the notice?
Carefully identify the notice type like we talked about all
the numbers or right hand corner has a notice, identify
fire it's going to say CP fourteen ZP five oh one.
(36:05):
Understand the reason. The notice often explains the reasons like
the balance to return changes. Request for additional information verifying
identify identity. Step two, compare with your records. Review your
tax return, check your original return for discrepancies, check supporting documentation.
Verify the notice details with W two's ten ninety nine
(36:29):
other records. Step three determine the required action, follow the insurrections,
respond as directed, providing documents making payments, contacting the IRS,
meet those deadlines, act promptly to avoid penalties or loss
of appeal rights. Step four payment options. Pay what you can.
(36:52):
If you owe, pay as much as possible. Explore IRS
payment plans if needed. Five Now, if you're trying to
do it, and do it yourself. Step five is contacting
the I R S if necessary. I think. Step five
is calling Taxation Solutions tax relief at eight eight eight
nine three zero one zero one six, Get us involved,
(37:16):
let us stop the IRS, whatever the reason, whether it's
clarifying doubts, and if you are going to do it yourself,
call the number on the notice for assistance. If you
get suspicious notice. If fraud suspected, contact the I R
S or use the I R s Isshing Reporting line
(37:38):
or reporting page and report suspicious activities. Steps six. Keep
your documents, get your documents in order, save the notices,
your responses, save the resporting supporting documents for future reference.
I'm gonna tell you by carefully reading, comparing records, rep
(38:00):
bonding timely appropriately to an IRS notice letter, you can
resolve issues efficiently and avoid further complications. Getting taxation solutions
tax relief involved assists you helps you steps into your
(38:20):
boots to provide the assistance to make sure that somebody
is there on your side, comparing records, responding appropriately, responding
timely to IRS notices to resolve your issues efficiently and
avoid that further complication. Now you ignore the letters, you
(38:43):
ignore the notices. The IRS notices that you receive can
be extremely intimidating, but it can lead to severe consequences.
Take the appropriate action avoid the problems escalating. Maybe you
can avoid you a crull of interest in penalties because
(39:04):
they're going to add interesting penalties to every amount you owe.
These taxes and charges of penalties and interests can make
the debt grow quickly, make it much higher than it
originally was. In ignoring those notices, this means that you're
going to have extremely extra costs. You have the power
(39:28):
to take action. You have the power to get somebody
on your side to represent you. That's going to be
the people that fight against the IRS. And whether it's
taxation solutions, tax relief, taxationsolutions, dot net or somebody else,
get a qualified enrolled agent in place to deal with
(39:52):
the IRS today and now, hey, back taxes is hard.
Call taxation solutions, tax reallyf if at eight eight eight
nine three zero one zero one six in eight eight
eight nine three zero one zero one six. Hey, we
brought a lot of information here to you. We brought
a lot of things to help you deal with the
IRS and deal with your tax problem. And that's what
(40:15):
we do here in Tax Talk for You. Don't miss
an episode of our show. Go to tax Talk number
four the letter you dot com and follow us there,
or follow us on Facebook. Go look us up at
tax Talk for You and be here every Monday at
ten am Eastern time on W four CY Radio W
(40:38):
four cy dot com. Don't don't miss these shows. We're
going to continue to bring you information to help you
deal with the scariness of the I R S, the
scariness of resolving tax issues, maybe audits. Maybe it's just
trying to find ways to lower those taxes and prevent
paying as much money on taxes. Maybe it's finding ways
(41:00):
to get through the system, keep more money in your
pocket and pay less than taxes. And that's what we
do again. Tune in here Monday's ten am Eastern time,
W four CY dot com, W four CY Radio Here
at tax Talk for You. Go to tax Talk number four,
Letter you dot com. But whatever you do, be here Monday.
(41:24):
Come with your armed with questions. We'll answer those questions
right here during the show for you. Have a great week,
have a god blessed, glorious week. Enjoy this wonderful day
that we have set forward with us. Stop the irs
now call Taxation Solutions at Taxation Solutions dot nev. We'll
(41:46):
see you next week. Have a god bless week.
Speaker 3 (41:49):
Are you an individual or business that wants to understand
taxes and how they affect you? Are you looking for
specific tax advice for self employed businessusiness owners and truckers.
Are you behind on taxes and your bookkeeping? Are you
dealing with dirs and ready to have some relief? Then
(42:10):
you need Tax Talk for You, hosted by tax and
trucker expert Barry g.
Speaker 2 (42:16):
Fouer EA.
Speaker 3 (42:17):
Tune in ten am Eastern Time every Monday right here
on W four CY Radio and Talk for TV.
Speaker 2 (42:25):
Don't forget to check.
Speaker 3 (42:26):
This and past episodes at tax TALKFORU dot com. See
you next week at W four cy dot com.
The topics and opinions express in the following show are
solely those of the hosts and their guests and not
those of W FOURCY Radio. It's employees are affiliates. We
make no recommendations or endorsements for radio show programs, services,
or products mentioned on air or on our web. No
liability explicitor implies shall be extended to W FOURCY Radio
or its employees are affiliates. Any questions or comments should
be directed to those show hosts. Thank you for choosing
(00:21):
W FOURCY Radio.
Speaker 2 (00:28):
Barry G.
Speaker 3 (00:28):
Fouler EA brings you tax talk for you right here
on W four CY Radio and Talk for TV. As
an enrolled agent and a national leader in tax resolution
as well as Trucker bookkeeping and tax planning. With over
thirty years of experience, Barry will break down taxes, bookkeeping,
(00:49):
tax planning, and tax relief for individuals and businesses just
like you. So let's have some tax talk for you
with your hosts.
Speaker 2 (00:59):
Barry G.
Speaker 4 (01:02):
Welcome and good morning, another great Monday.
Speaker 2 (01:06):
Man.
Speaker 4 (01:06):
We had a great weekend this weekend. My wife and
I are celebrating our twenty fifth anniversary this year and
the church was doing a twenty fifth anniversary jubilee, which
was fantastic. We got to renew our vows. So we
had a great weekend with a bunch of other couples
(01:27):
and got to take some pictures with the Archbishop here
and the dioceses of Galveston Houston. So it was actually
a fun weekend. Really really enjoyed it. But now, you know,
we got to get onto the scary stuff. You know, hey,
what scares you more than an IRS letter that comes
(01:50):
in those IRS and notices. You just see the envelope
and it says Internal Revenue Service on it, and most
people don't want to open that letter at all and
read what the IRS is saying. You know, we know
IRS notices is official letter communicating what problems or what
(02:16):
information or potential issues changes actions that they could be
requiring concerning your taxes. You know, receiving an IRS notice
doesn't necessarily mean that there's a problem, but it does
require attention to ensure compliance and avoid possible penalties and
(02:37):
additional complications. So you kind of got up open that
letter to know what's going on with the IRS. So
what is an IRS notice and why am I receiving one?
You know, IRS notice is simply a letter from the
IRS notifying you something important that maybe related to your
(03:02):
tax return. It sounds scary, but it sometimes it's just
a way to keep you updated or ask for more information. Now,
there are several possible reasons that you're going to be
getting IRS notices. Of course, we all know you have
a balance due, so you owe money. You filed your
tax return and you owe them money. The IRS is
(03:24):
going to send you notice of balance due. Or the
IRS believes that you're going to owe additional tax. They'll
send you a notice. Maybe your refund changed. Your refund
amount could be either more or it could be less
than what you're expecting. They're going to send you a
notice explaining it. Then you can verify what's in the
(03:45):
notice and take actions as you're supposed to. The IRS
has a question maybe about your tax return. They need
clarification or additional information. They're going to send you, guess what,
a notice. Maybe the IO needs to verify your identity
to make sure you file the return and not someone else.
(04:06):
It's going to explain to you what you need to
do and what the process is to verify your identity
with the IRS. Now that brings up something real quick
here is that you know, getting an identity pin is
sometimes a great way to make sure that nobody else
is going to be filing a tax return for you.
(04:29):
When you do request that IDPIN, that change that pen
every single year, and you get notices of it every
single year. So I do recommend getting that id PIN
just to keep your tax account safe with the IRS.
The IRS will also send you notice if you have
delays in processing your return, or delays in handling your
(04:51):
tax return, or delays of processing information. So it's really
really important that you read the notice, is careful, follow
any instructions that are provided, and then reply to the
address that they're providing to you. Ignoring the IRRs and
(05:12):
IRS notice can lead to other enforcement actions, so it's
just additional interest, additional penalties. So you want to make
sure you're opening those letters and taking the appropriate action.
Now we know again those letters are scary, and many
people don't even open them because they're scared of what
(05:34):
the IRS is going to say, and the letter itself
isn't going to buy The letter itself isn't going to
do anything to you. Maybe give you a paper cut,
you know you're mishandling paper but other than that, the
letter itself does nothing. Now, it warns you and informs you,
it scares of the gv's out of you, but you
(05:56):
know it's something that's out there that is absolutely necessary
to start the collection process going forward. So you know
you want to make sure again you open that letter. Now,
when you owe the I R S, they send you
these letters and notices. You're going to receive various notices,
(06:18):
various letters with specific constructions and deadlines. So you know,
we're going to go through some common IRS notices and
what they mean, so that when you're sitting there opening
that letter, you're going to see in the upper right
hand corner it's going to have a notice and it's
going to have a notice number. So one of the
first notices you're going to get is a CP fourteen.
(06:40):
This is one of the most common notices. It tells
you guess what you owe money on your taxes such
as unpaid taxes, penalties, interest, just a simple reminder to
pay the IRS soon as possible to avoid more penalties,
(07:00):
more interest. So on this notice you're going to see,
it's going to tell you the exact amount do including
penalties and interest, and request payment within twenty one days. Hey,
if you can afford to pay it, pay it, get
it done, get it over with. Stop the penalties, stop
(07:21):
the interest, stop the collection notices, stop the scariness in
your life. You know, those things right there can be
very important. Maybe it's you know, if if you owe
for more than just this one year, or maybe you
owe quite a bit and you can't afford to pay it, well,
it's time to take some kind of action. And it
(07:41):
can be simple as getting an installment agreement in place.
It could be just getting a hold in place for
more time to get money together. Now, the hole isn't
going to stop penalties and interest. Those are still going
to accumulate. The only way you're going to stop those
penalties and interest is by paying of this tax debt off.
(08:02):
But if you ignore it, and then you ignore the
CP fourteen, guess what got that right? Irs? Sense another letter?
This is going to be a CP five oh one.
So if you don't pay after receiving the CP fourteen,
the I R. S Is going to send the CP
five oh one again that that notice numbers up in
the upper right hand corner of your notice, and again
(08:26):
it's going to inform you that you have a balance
due on one of your tax accounts. The notice indicates
that the I R S is now actively pursuing collection
and requires your immediate attention. This means wake up. This
means start addressing the problem before this gets worse. This
means put a installment agreement in place if you can
(08:51):
afford it, put a hold on it. Go get a
loan from the bank, Maybe get a loan out of
your four oh one K. Maybe as friends and family
to borrow some money to put this debt away so
that you don't have to continue paying penalties and interest.
(09:11):
I mean when penalties and interest continue to accrue on this,
it becomes very, very expensive, and depending on what penalties
you have on there, it could be adding twenty five
to fifty percent to the debt. Because you ignored paying
the tax, You didn't make your estimated tax payments, you
didn't pay the tax, and when it was due on
April fifteenth, you didn't pay it when you filed it.
(09:35):
All these things continue to add to your debt and
just makes matters worse. If you're well beyond that period,
sometimes the penalties have stopped and now you just make
it interest and interest continues to accrue. So what's the
next notice that you're going to get. Hey, we're going
to find out after this quick break.
Speaker 3 (09:53):
We have only scratched the surface of today's show. Please
stand by as Parry Chief Dower will be right back
with tax talk for you. If you own the IRS
or are going through an IRS audit, don't go at
it alone. Call Taxation Solutions Tax Relief at eight eight
(10:14):
eight nine three zero one zero one six. We are
your solution for IRS debts, audits, back taxes, garnishments, leans
and levees. Whether you're an individual or business, you need
a solution and a strong aggressive tax resolution. Don't let
(10:34):
the IRS walk all over you. Stop the IRS now
call eight eight eight nine three zero one zero one
six or go to Taxationsolutions dot net now for a
free no obligation consultation. Let's get back to tax stock
(10:54):
for you with more tax stock once again, here's your host,
Rag Fallon.
Speaker 4 (11:04):
You know the IRS is scary and dealing with the IRS.
As a taxpayer and somebody that owes money to the IRS,
this can be one of the scariest things in your family.
And these notices are are there to remind you. But
those notices can be very, very scary. So you know
you've received the CP fourteen, you ignored it, you've gone
(11:28):
beyond the twenty one days that they requested your payment.
You receive the CP five oh one, which is the
next letter after the CP fourteen, that again informs you
of your balance due and that the IRS is actively
pursuing you and your family for collections. Now that if
(11:49):
that wasn't scary enough, they're going to issue another letter
CP five before this service notice gives you a more
urgent reminder that your tax debt remains guess what, unpaid?
If you didn't know you missed it on the CP
fourteen and the CP five oh one, they're gonna send
(12:11):
you that CP five O three because stuck your head
in the sand and you ignored the first two notices
and they noticed that you guess what, didn't pay them.
They hadn't heard from you, and you still have an
unpaid balance on one of your tax accounts. This is
basically your third reminder that you still owe a balance
(12:34):
on your tax as if you didn't know that you
ignored the other two and you would forget within four
to six months, they send you this next notice. You
know you haven't received a payment. You haven't given them
a response. Now I'm gonna tell you responded to him.
You called them basically, you told them you couldn't afford
to pay. Basically told them maybe you got to figure
(12:56):
out a payment plan. They told you what they mount was,
and you said you got to think about it. They're
still sending you of this notice. You may have replied
to them. They're sending any of this notice. They're still
advising you that they know that this debt is still there.
You still owe them to get them paid. The IRS
(13:17):
wants their money, and they wants it now, So don't
ignore it. Get some activity on it, because guess what
if you don't put a payment plan in place, maybe
you don't put it a non collectible. Maybe you haven't
addressed what the issue is in this and you're owing money.
But you could fix it through maybe doing a mended return,
(13:38):
maybe doing a return correctly. Maybe it's something that you
got to fix on there. And then the IRS is wrong.
Guess what they're hitting you with the next notice and
this becomes your CP five oh four, your notice of
intent to levy. This comes from Internal Revenue Code Section
six three three one D. The notice that the IRS
(14:01):
intends the levey. Now, if you don't pay this amount
due immediately, the IRS can levy your income, your bank accounts,
seize your property or your right to property, including your
state income tax refunds, to pay the amount you owe
(14:21):
the IRS. So did you get this? This is your
notice of intent to levy. This is sent out as
it's required by the Internal Revenue Code section six three
one D. It's your final reminder telling you that the
IRS is intending to levey. Again, not to scare you,
(14:46):
but this should scare you. They're intending to levy your wages,
your bank account, state tax refund because you still have
that unpaid balance on your tax account. Now. It also
is going to tell you that they're going to begin
searching for other assets on which to issue a levy.
So to avoid this, you've got to start a dealing
(15:10):
with the amount you oh immediately now to scare you.
You know, the IRS does levies. They levy bank account
anything that has you're attached or if you're filed and married,
filing jointly, your wife's attached Social Security number too. It
so any account that you have bank I R A
(15:32):
four oh one k U five twenty nine plans, five
O three B plans, you name. It has a Social
Security number attached to it, with your solid security number
or wife's Solid Security number, UH, spouse's partners, whoever you're
filing with, it's going to get levy. You have kids
accounts and you're so security numbers on those kids accounts
with THEIRS, those accounts can be levy. So yes, it
(15:55):
should scare the gv's out here, scare you into some
kind of action immediately, because generally you have thirty to
forty five days and the IRS is going to levy. Now,
what makes matters worse? If you look at these levees,
it says right there high r s can levy your
income W two wages. They can send the levee to
(16:19):
your employer. If you're a contractor and you get ten
ninety nine income, IRS will look at everybody you're getting
income from in the levy against potential income you're receiving
from anybody you're doing contract work for before they pay you. Now,
difference between getting your wage levied and your income garnish
(16:41):
this contract work is wage levy has a limited amount
that they can pull out they're trying to still leave
you with what they consider they consider a livable wage.
When they levy against your contract work, they're taking one
hundred percent. They have to pay in one hundred percent
of your income up until it satisfies that levey. So
(17:06):
you've got to remember it is something you need to
address sooner rather than later, because if you're independent contractor
and you're working and they take one hundred percent of
your money, it's a bit hard enough to make your
bills meet when they're taking a percentage of your wages
versus taking one hundred percent of your income, and then
you've got other bills to pay, both business and personal.
(17:28):
So uh, and it's hard enough when they levy your
bank account and they take one hundred percent of your
money out of your bank account that you then have
to figure out how to meet your mortgage or your
legutility bills, or your car payment, or your food bills,
you name it, credit card payments, all these things become
impossible when there's nothing to pay out of your bank so,
(17:52):
you know, and then they're starting to look for any
other assets that they can attach to any issue the levy.
Now they can also the irs file it notice of
federal tax line if they haven't already done so. And
a lien is a public notice to your creditors that
the IRS has a right to your interest in your
(18:13):
current assets and any assets you acquire after they file
the lien, and it can affect greatly the ability to
get credit. You know, being able to get credits sometimes
is very difficult when you've got tax lines on you.
It brings your credit cards to credit scores down, and
(18:34):
it makes it almost impossible to go out there and
get a mortgage or new credit cards or any other
kind of loan until this IRS debt is satisfied. Now,
Also in this notice, it's going to explain the denial
or revocation of a United States passport. So the Fixing
(18:56):
America's Surface Transportation Act generally PIT prohibits the State Department
from issuing or renewing a passport to a taxpayer with
seriously delinkent tax debt. You can find more information on
the IRS website about passports and stuff. But you know,
(19:16):
if they pull your passport and you have to travel
for business or work, you're not going to be able
to travel anywhere. And I've seen some of our clients
that have these passports and had it revoked because they
were seriously delinkent in their tax debt and they have
to travel for business and it affected their jobs. So
(19:38):
you know, you kind of want to be aware of
the different things the IRS can do. And these letters
are scary, but you have to address them. Now. What
happens if I don't pay or contact the irs? And
those are things we're going to discuss right after this
quick break.
Speaker 2 (19:56):
We have only scratched the surface of today's show.
Speaker 3 (19:59):
Please stay as Barrygfowler will be right back with tax
talk for you. As an owner operator, you already spend
too much time away from your family. Trucker Tax Tools
handles all your bookkeeping and taxes.
Speaker 2 (20:15):
No matter what level trucker you are.
Speaker 3 (20:17):
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Speaker 2 (20:28):
Go to Trucker Tax Tools dot com for.
Speaker 3 (20:30):
A free guide that will give you the tools to
never worry about your taxes again. Call Trucker Tax Tools
eight seven seven nine sixty six two four seven seven,
or go to Trucker tax Tools dot com now and
let the experts keep you trucking. Let's get back to
(20:52):
tax stock for you with more tax stock once again,
here's your host, Barrygfower.
Speaker 4 (21:01):
You know, I know the scariness of owing the IRS
sometimes puts people into a panic. Sometimes it shuts people down.
Sometimes they just stick their head in the sand and
hope it's just going to go away. IRS doesn't go
away on their own. Yeah, it may seem like the
IRS is a little bit slow in collection activities today,
(21:24):
but part of that has to do with government shutdown.
Part of that has to do with knowing where the
economy is. But if they see that you're making money,
and they see that you've got the wherewithal the potentially
in their opinion, to pay, they're coming after you. Sticking
your head in the sand or ignoring the IRS doesn't work.
(21:46):
You know, we've talked quite a bit about the letters
and some of the things that they can do when
you don't contact them when you don't pay. But if
you know, if you don't pay the amount due to
the I R S within the timeframe of the notice
or immediately, or make payment arrangements and they file the
(22:08):
notice of Federal tax lean, you know that publicly establishes
priority with your creditors. And if the tax liane's in
place again, it's going to make it difficult to sell
or borrow against your property. The tax line is going
to greatly affect your ability to get credit, and of
course it's going to harm your credit ratings. And then,
(22:31):
of course the IRS can seize levy state tax refunds
to which you would be entitled if there's still balance
is due. After they seize your state tax refund and
take any federal tax refunds that you got coming in,
(22:51):
they're going to send you a notice of a right
to a hearing before the IRS Independent Office of Appeals.
If you haven't got such notice already, you would probably
be getting one shortly. They can also then seize or
take possession of your other property or rights to property,
(23:13):
which you know includes wages, real estate commissions and other income,
bank accounts, business assets, personal assets including your car, your home.
They can even levy against your Social Security benefits. Now,
if you don't believe me that the IRS will take
people's homes, business assets, cars, you can actually go to
(23:40):
the US Department Treasury and look on their website. They
have a auction place where they auction off assets so
that they have acquired or taken from taxpayers to satisfy
their tax debt. We had a revenue officer who really
going after one of our clients. Now, unfortunately for our
(24:04):
client and our client did everything they could to drag
their feet. They were not making anything easy. They broke
three or four different agreements with the IRS. This revenue
officer resorted several times into levying their bank accounts. Unfortunately
for our client, they decided they would stick their head
(24:27):
in the sand, they would ignore things. We actually had
them set up on an offering compromise and within months
they broke the offering compromise by choice. Now why, we
don't know. We couldn't get the answer. We told our
client point blank, they continue to do this. One, we
can't represent you because we're not going to continue to
(24:47):
go down this route. Two, they are going to take
the assets. They agreed with us. They were going to
actually sell their home themselves put it up on the market. First,
they put it up on unreason no price. Second, they
finally got a reasonable offer and that they agreed to
the price and had to sign contract. IRS agreed they
(25:10):
would take this money in an offer and be the
settlement for their debt, and the client decided they weren't
going to go through with the sale. IRS went and
took their home. Nothing we could do about it. We
even told the client at this point, we can't represent
you because you have done everything to fight us to
find ways to help you settle your tax debt and
(25:34):
get the resolution you needed for your life. So you know,
you got to be wary of what you're doing when
you're dealing with the IRS. Now. We always recommend if
you have an IRS problem, get help. Call Taxation Solutions,
tax Relief, Taxation Solutions dot Net. Call eight eight eight
nine three zero one zero one six again eight eight
(25:57):
eight nine three zero one zero one six get the
help that you need today to resolve your tax problem.
So get a resolution, do something to help yourself, settle
your tax debt and set this behind you. Some of
the other notices that you're going to get is you're
(26:18):
going to get something like a CP five two three.
If you receive the five two three, five two three
SP or sixty two three notice, the IRS is informing
you of an intent to terminate an installment agreement and
seize or levy your assets because you have defaulted. Now
you've got a little bit of time. You should be
(26:39):
contacting the IRS as soon as possible, but no later
than thirty days from the date of the notice. The
other notice you can be getting as a CP ninety.
Now remember that notice is CP ninety or any other
notice is going to be in an upper writing corner
of it. It's going to say notice number. You can
actually look up some of the notice numbers on the
(27:00):
IRS website and see what some of the meeting is
behind it and how much time you would have to
possibly respond. But the CP ninety notice is similar to
the five to two three. It warns that the IRS
plans to take action to collect what you owe, such
as seizing property, and you usually have thirty days to
(27:21):
resolve the issue before they take any action. They do
intend to levy certain assets for unpaid taxes, and that's
what they're informing you of and informing you right to
a collection due process hearing, and we're going to go
through the collection due process hearing here in just a minute.
(27:42):
It is something that you need to know of and
it's a way of addressing IRS problems. Another notice that
you're going to receive as well is letter ten fifty eight.
It's a final notice of intent to levy and you're
right to a hearing. It informs you that the IRS
(28:05):
is going to levy your assets, wages, bank accounts, business assets.
See do you notice what the IRS is continuing do
telling you here is what we are going to do
to collect the debt that they are owed because you're
not addressing the tax debt problem. It gives you thirty
(28:30):
days to figure out what you're going to do. You
have thirty days from this notice to request a hearing
to help explorer collection alternatives, or given appeal the proposed
levy action. You know your letter thirty one seventy two
notice a federal tax lane filing, and again your right
(28:53):
to a hearing, so you know, gives you the right
for appealing the lien discuss payment options. This is not
a notice of proposed lien, but a notice of a
lien that has already been filed with your local county recorder.
(29:13):
It puts the whole world on notice of your unpaid
tax balances, and guess what. Not only do you start
receiving those notices, but now you're going to be receiving
notices from different tax firms saying hey, you have this
lian on you on your property. Some of those are
some advertising scans scams you're going to get possibly phone
(29:37):
calls off of those liens as well. So it's best
to start taking care of the tax problem with a
reputable tax firm like Taxation Solutions dot Net, tax Relief
and a dealing with your tax problem here today before
it gets worse. Now, the IRS gives you ways of
(29:59):
dealing with this, especially if you disagree with the notice
and that is requesting a collection due process hearing. We're
going to go through collection, do process hearings and how
to request it right after the.
Speaker 2 (30:12):
Short break, we have only scratched the surface of today's show.
Speaker 3 (30:17):
Please stand by as Barry G. Fowler will be right
back with tax talk for you. As an owner operator,
you already spend too much time away from your family.
Stop spending time doing paperwork. Go to Trucker tax tools
dot com, a solution built specifically for truckers. Trucker tax
(30:39):
Tools dot Com makes your life run smoothly. Let's get
back to tax stock for you with more tax stock
once again, here's your host, Barrygfowler.
Speaker 4 (30:55):
Okay, so you disagree with all the notices the IRS
has sent you. Yeah, we all disagree with notices and't
being taxed, and we all feel we're taxed too much,
or maybe you feel like taxes were never approved or
validated and out of the constitutional Those things don't matter,
really don't, But you have good grounds. Let's say that
(31:21):
you've paid it. Let's say the IRS was absolutely wrong
in assessing this balance and you could get no action
on anything that you fil Now you can go to
taxpayer Advocate. You can file a Form nine to one
one and ask for them their help, and they will
give you some help on trying to resolve some of
(31:42):
the issues that you may be having. But you can also,
when you're disagreeing with that notice for cause, request a
collection due process hearing using Form one two one five
three Form one two one five to three to request
a collection process or equivalent hearing. Now, why should I
(32:05):
request a collection due process hearing? Well? CDP hearing. Collection
due process gives you the opportunity to appeal the intent
to levy and address any other issues you may have
with your tax situation. Now, you've got to understand what
your CDP rights are. So when you receive a final
notice of intent to levy ten P fifty eight notice
(32:26):
the Federal Tax Lane thirty one seventy two. You have
important rights under this CDP process, and the CDP procedures
gives you a safeguard that is put in place by
Congress that requires the IRS to follow a set of
procedures to ensure you, as a taxpayer, have protections when
(32:47):
facing IRS levey and actions. That includes the right to
have the CDP hearing within thirty days of the notice,
the opportunity propose alternative payment arrangements such as an installment
agreement or offering compromise, maybe even a partial pay installment agreement.
(33:08):
It also gives you the ability to dispute the underlying
tax liability in certain circumstances. It's going to give you
the right to a judicial review in tax court if
you disagree with the hearing determination. Now, during the CDP hearing,
you're going to have the IRS's quote unquote independent Office
(33:31):
of Appeals, and they're going to verify that all legal
procedural requirements have been met. Did they send out the
notices properly? Did they give them all within the proper timing? Now,
just because you didn't receive the notice because you didn't
go pick up the certified letter from the post office. Well,
it's constructive receipt when it hit the post office, so
(33:54):
you did receive it even if you didn't pick it up.
It's going to consider any legitimate issues raised about the
collection action. They're going to evaluate whether the proposed collection
action balances the government's need to collect taxes with legitimate
concern that it'd be no more intrusive than necessary. They're
(34:17):
trying to collect almost everything they'd done has been necessary.
Now you are allowed to represent yourself at an appeal hearing. However,
we do recommend you have a good tax attorney or
old agent somebody there to help you bring a better
understanding and knowledge of how to present information and evidence
(34:39):
to this feel hearing. You know, it becomes strategically important
when you're in a CDP hearing to know what you're
doing and how to do it, just like approaching how
to read and understand your IRS notices. Having that understanding
(35:00):
and having the professional qualifications is the same as hiring
somebody like a master electrician to come in and redo
electrical wiring in your house. You don't want to approach
that yourself, because if you do it wrong, house burns
down and you've got bigger problems. That's the same way
of approaching sometimes dealing with the IRS, whether it's an
(35:21):
appeal hearing, or even just dealing with the IRS letters.
Now let's back up. Let's talk about how I should
approach the IRS notices and letters that are being sent.
Reading and understanding an IRS notice. So when you receive
that IRS notice, it's important to approach it methodically, ensure
(35:43):
that you understand the issue and take the appropriate actions.
So what should you do? First? Read read the notice?
Carefully identify the notice type like we talked about all
the numbers or right hand corner has a notice, identify
fire it's going to say CP fourteen ZP five oh one.
(36:05):
Understand the reason. The notice often explains the reasons like
the balance to return changes. Request for additional information verifying
identify identity. Step two, compare with your records. Review your
tax return, check your original return for discrepancies, check supporting documentation.
Verify the notice details with W two's ten ninety nine
(36:29):
other records. Step three determine the required action, follow the insurrections,
respond as directed, providing documents making payments, contacting the IRS,
meet those deadlines, act promptly to avoid penalties or loss
of appeal rights. Step four payment options. Pay what you can.
(36:52):
If you owe, pay as much as possible. Explore IRS
payment plans if needed. Five Now, if you're trying to
do it, and do it yourself. Step five is contacting
the I R S if necessary. I think. Step five
is calling Taxation Solutions tax relief at eight eight eight
nine three zero one zero one six, Get us involved,
(37:16):
let us stop the IRS, whatever the reason, whether it's
clarifying doubts, and if you are going to do it yourself,
call the number on the notice for assistance. If you
get suspicious notice. If fraud suspected, contact the I R
S or use the I R s Isshing Reporting line
(37:38):
or reporting page and report suspicious activities. Steps six. Keep
your documents, get your documents in order, save the notices,
your responses, save the resporting supporting documents for future reference.
I'm gonna tell you by carefully reading, comparing records, rep
(38:00):
bonding timely appropriately to an IRS notice letter, you can
resolve issues efficiently and avoid further complications. Getting taxation solutions
tax relief involved assists you helps you steps into your
(38:20):
boots to provide the assistance to make sure that somebody
is there on your side, comparing records, responding appropriately, responding
timely to IRS notices to resolve your issues efficiently and
avoid that further complication. Now you ignore the letters, you
(38:43):
ignore the notices. The IRS notices that you receive can
be extremely intimidating, but it can lead to severe consequences.
Take the appropriate action avoid the problems escalating. Maybe you
can avoid you a crull of interest in penalties because
(39:04):
they're going to add interesting penalties to every amount you owe.
These taxes and charges of penalties and interests can make
the debt grow quickly, make it much higher than it
originally was. In ignoring those notices, this means that you're
going to have extremely extra costs. You have the power
(39:28):
to take action. You have the power to get somebody
on your side to represent you. That's going to be
the people that fight against the IRS. And whether it's
taxation solutions, tax relief, taxationsolutions, dot net or somebody else,
get a qualified enrolled agent in place to deal with
(39:52):
the IRS today and now, hey, back taxes is hard.
Call taxation solutions, tax reallyf if at eight eight eight
nine three zero one zero one six in eight eight
eight nine three zero one zero one six. Hey, we
brought a lot of information here to you. We brought
a lot of things to help you deal with the
IRS and deal with your tax problem. And that's what
(40:15):
we do here in Tax Talk for You. Don't miss
an episode of our show. Go to tax Talk number
four the letter you dot com and follow us there,
or follow us on Facebook. Go look us up at
tax Talk for You and be here every Monday at
ten am Eastern time on W four CY Radio W
(40:38):
four cy dot com. Don't don't miss these shows. We're
going to continue to bring you information to help you
deal with the scariness of the I R S, the
scariness of resolving tax issues, maybe audits. Maybe it's just
trying to find ways to lower those taxes and prevent
paying as much money on taxes. Maybe it's finding ways
(41:00):
to get through the system, keep more money in your
pocket and pay less than taxes. And that's what we
do again. Tune in here Monday's ten am Eastern time,
W four CY dot com, W four CY Radio Here
at tax Talk for You. Go to tax Talk number four,
Letter you dot com. But whatever you do, be here Monday.
(41:24):
Come with your armed with questions. We'll answer those questions
right here during the show for you. Have a great week,
have a god blessed, glorious week. Enjoy this wonderful day
that we have set forward with us. Stop the irs
now call Taxation Solutions at Taxation Solutions dot nev. We'll
(41:46):
see you next week. Have a god bless week.
Speaker 3 (41:49):
Are you an individual or business that wants to understand
taxes and how they affect you? Are you looking for
specific tax advice for self employed businessusiness owners and truckers.
Are you behind on taxes and your bookkeeping? Are you
dealing with dirs and ready to have some relief? Then
(42:10):
you need Tax Talk for You, hosted by tax and
trucker expert Barry g.
Speaker 2 (42:16):
Fouer EA.
Speaker 3 (42:17):
Tune in ten am Eastern Time every Monday right here
on W four CY Radio and Talk for TV.
Speaker 2 (42:25):
Don't forget to check.
Speaker 3 (42:26):
This and past episodes at tax TALKFORU dot com. See
you next week at W four cy dot com.
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