IRS tax debts can become a big worry for businesses and individuals alike, who find themselves in trouble (audit or collections) with the IRS. Tax lawyers of Goldburd McCone LLP often get asked a lot of questions about tax debt problems. This is why the firm organized a Q&A session recently, where the lawyers discussed some common problems plaguing people and business establishments, and even took some questions from the audience to dispel common myths and bring to light the real facts. The session opened with the most common question – why should one hire a tax professional and where to find a competent person to offer tax help. The speaker - Steven Goldburd, emphasized why the chosen person needs to be a tax attorney, an Enrolled Agent, or a CPA (Certified Public Accountant), and went on to say that these are the only professionals allowed to practice before the IRS (Internal Revenue Service). Steven continued to explain how attorneys and CPAs are limited to practicing in the states where they are licensed, while Enrolled Agents can practice in any state. He also shared some tips on how one can find a competent tax professional to get the much needed tax help on time.
Next up was Benjamin A. Goldburd, who while answering how tax debt problems can be solved with the help of an attorney, stressed that one can expect from his/her lawyer to:
• Represent him/her in front of the IRS, or other State taxing Agency, and handle all correspondence and communications, thus allowing the person to continue on with his/her life.
• Handle relevant matters so that the person is generally not required to visit or speak with an IRS agent or officer.
• Solve state and IRS tax audit or collection problems.
Benjamin continued to talk in detail about how the IRS is a Federal Agency, which is segregated into 4 major centralized functions across the nation. He emphasized that based upon which region of the country a person’s case is worked in, the manner in which the local IRS District Office will resolve the matter would be dictated. He explained it further by talking about how some IRS District Offices approve an Offer in Compromise or agree to a payment plan, while some others believe that the desirable way to collect taxes is to seize the assets of the taxpayer in question. He finished by talking once again why one should hire tax lawyers to reach a speedy settlement for the IRS or other tax debt problem.
In the last leg, Shammai Bienenstock fielded questions from the audience and shared some of his experiences to enlighten the present group about tax debt problems and their resolution methods.