IRS

About IRS tax penalties, interest, and procedures.

When Should a You Use Form 8857 – Request for Innocent Spouse Relief? 

There are several different situations in which a taxpayer may request innocent spouse relief. One of these is the formal administrative process, which is commenced by filing Form 8857, Request for Innocent Spouse Relief.    What is IRS Form 8857?  Form 8857 is an IRS tax form used by taxpayers to file for relief from a …

When Should a You Use Form 8857 – Request for Innocent Spouse Relief?  Read More »

Challenging the Merits of an IRS Tax Assessment in a CDP Hearing 

Sometimes the IRS makes a mistake. Taxpayers are supposed to receive a notice of deficiency for tax liability before an assessment so they have an opportunity to dispute their tax liability, but sometimes taxpayers simply don’t receive this notice. In that case, the Internal Revenue Code affords those taxpayers an opportunity to challenge the merits …

Challenging the Merits of an IRS Tax Assessment in a CDP Hearing  Read More »

Signature Under Duress: Avoiding Joint and Several Liability for Tax Debt 

Innocent Spouse Relief is available to taxpayers who sign a valid joint tax return. A joint tax return is valid when it was signed voluntarily by both spouses. But what if the taxpayer signed the joint tax return under duress? In that case, the tax return is invalid and cannot be subject to innocent spouse …

Signature Under Duress: Avoiding Joint and Several Liability for Tax Debt  Read More »

How The IRS Is Different Than Your Typical Creditor

When it comes to federal taxes, a creditor-debtor relationship is created between the IRS and the taxpayer. The IRS is a government creditor, and its claim against the taxpayer for unpaid taxes is a form of debt. IRS Debt Collection  Debt collection by the Internal Revenue Service is different from that of a general creditor. …

How The IRS Is Different Than Your Typical Creditor Read More »

Why Does The IRS Even Want To Settle Tax Debt Through An Offer In Compromise?

As people facing IRS collections understand all too well, the power to tax involves the power to destroy. A cycle of bank levies, wage garnishment, offset tax refunds, and recorded tax liens can demoralize tax debtors. Worse yet for the government, that cycle of IRS collections can incentivize tax debtors to not comply with future …

Why Does The IRS Even Want To Settle Tax Debt Through An Offer In Compromise? Read More »