Category: Tax Debt Relief

I can’t pay my tax bill: Are there any options for me at this late date?

It’s October. My favorite time of the year. The holidays are coming fast and will be here before you know it. The cooler weather should be here soon. Plus, October is the month that I first met my wife, now a long, long time ago (but she still looks as beautiful as the day I met her).

October is also the last month of the official tax filing season. The extension for individuals expired Oct. 15. Of course, many people who finish their tax returns at this time of the year owe money. Yes, that sucks for them. It sucks even more when they do not have the money to pay that tax bill.

This can happen for many reasons. I will give you a few examples of how people get into this pickle:

  • They changed employers and their new Form W-4 did not have enough federal withholding taken out.
  • They could have changed employers and now they work for someone who pays them on a 1099-NEC as an independent contractor (this is a whole separate issue on whether this is appropriate or not). Therefore, there is usually not any federal withholding paid into the IRS.
  • Business could have been doing well before and now it is not when the tax is coming due.
  • They are selling a property with a large taxable gain, but not getting any cash out at the sale.

So, what is a person (or business) to do? Well, fortunately there are many options to choose from; however, please note that the options can only apply if your facts and circumstances allow for it.

Most people will fit into the bucket that allows them to fully pay their tax, penalties and interest over a payment plan. This is typically paid over 72 months. Depending on the dollar amount you owe, you may not have to provide any forms or documents to set this up.

It may be that you can pay some payment but not the full payment that allows to pay it in full. The IRS can allow you to enter into a partial payment plan. If this is the case, the IRS is going to need Form 433-A for individuals or 433-B for businesses along with A LOT of documentation. They are going to vet and confirm the information you provide, so please be honest.

If you do not have any (or much) equity in assets and you do … Continue reading

IRS People First Initiative

Webinar Replay: IRS People First Initiative – Collections Response to COVID-19 Pandemic (Plus 2-hour Q&A)

This 50-minute webinar, which turned into three hours after the unintended 2-hour Q&A, covers information that CPAs, Enrolled Agents, and tax attorneys need to know in regard to IRS Collections Division actions during the coronavirus situation. This webinar includes technical guidance, marketing suggestions, and tasteless jokes for your entertainment.

Recorded: March 27, 2020. Information was accurate as of the date of recording, but may be grossly outdated by the time you actually watch this. Replay not eligible for CPE.

To learn more about growing your taxpayer representation practice and working IRS Collections cases, visit

March 27, 2020

Current Status of IRS customer service phone lines

As of 8:00am PDT, May 11, 2020

Practitioner Priority Service (866-860-4259): OPEN
Individual ACS (800-829-7650): OPEN
Business ACS (800-829-3903): OPEN
Main taxpayer assistance line (800-829-1040): CLOSED
Business/Specialty Tax Line (800-829-4933): CLOSED
Tax Exempt/Government Entities hotline (877-829-5500): CLOSED
e-Services Help Desk (866-255-0654): OPEN
Centralized Lien Unit (800-913-6050): OPEN

CAF Units are still closed.

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Full text of the IRS People First Initiative News Release

Reposted for archival and informational purposes. Original news release at

IR-2020-59, March 25, 2020

WASHINGTON — To help people facing the challenges of COVID-19 issues, the Internal Revenue Service announced today a sweeping series of steps to assist taxpayers by providing relief on a variety of issues ranging from easing payment guidelines to postponing compliance actions.

“The IRS is taking extraordinary steps to help the people of our country,” said IRS Commissioner Chuck Rettig. “In addition to extending tax deadlines and working on new legislation, the IRS is pursuing unprecedented actions to ease the burden on people facing tax issues. During this difficult time, we want people working together, focused on their well-being, helping each other and others less fortunate.”

“The new IRS People First Initiative provides immediate relief to help people facing uncertainty over taxes,” Rettig added “We are temporarily adjusting our processes to help people and businesses during these uncertain times. We are facing this together, and we want to be part of the solution

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