- Do not assume an IRS notice is harmless.
- Do not ignore deadlines.
- Verify the amount claimed.
- Verify the tax years involved.
- Review your IRS account/transcripts.
- Determine whether returns are missing.
- Determine whether penalties were assessed.
- Determine whether interest has accumulated.
- Determine whether a lien exists.
- Determine whether levy activity is threatened or occurring.
- Don’t confuse a lien with a levy.
- A lien secures the government’s interest in property.
- A levy actually takes property to satisfy the debt.
- Payment plans may be available.
- An Offer in Compromise may be available to qualifying taxpayers.
- Collection may sometimes be temporarily delayed.
- Penalty relief may sometimes be available.
- Not every taxpayer qualifies for every option.
- Missing returns can limit available options.
- Interest and penalties may continue.
- A tax professional cannot simply erase a legitimate tax liability.
- Be skeptical of guaranteed outcomes.
- Be skeptical of urgent unsolicited “IRS relief” calls.
- Compare professional advice with information available directly from the IRS.
- The first step is usually understanding exactly what the IRS says you owe and why.
B. PREMIUM BUYER CHECKLIST
ACCOUNT
☐ Tax years
☐ Balance
☐ Tax assessed
☐ Penalties
☐ Interest
☐ Payment history
☐ Notices
☐ Filing status
COMPLIANCE
☐ All returns filed
☐ Missing returns identified
☐ Tax records gathered
☐ Income records gathered
☐ Deductions/supporting documentation gathered
COLLECTION
☐ Collection status
☐ Lien status
☐ Levy status
☐ Payment-plan eligibility
☐ Other resolution options
PROFESSIONAL HELP
☐ Credentials
☐ Engagement scope
☐ Fee
☐ Authorization
☐ Strategy
☐ Timeline
☐ Failure scenario
FINAL AUDIT
☐ I know what I owe
☐ I know which years are involved
☐ I have reviewed my IRS records
☐ I understand the next deadline
☐ I know what happens if I do nothing
☐ I know what options may apply
FINAL QUESTION
If I did nothing for the next 90 days, what could happen to my situation?
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