The work of an Enrolled Agent tax preparer can entail representing individuals with IRS problems even during the busy tax preparation season. Different departments of the IRS are responsible for administering matters that are separate from processing of income tax returns. For example, when a clash between the IRS and a taxpayer isn’t resolved, the Appeals division at the IRS is utilized.
Taxpayers who don’t agree with an IRS determination become Enrolled Agent jobs for taking the matter to Appeals. As an independent branch of the IRS, Appeals provides people with opportunities to obtain revised decisions about their cases. Matters reaching Appeals are focused on disputed application of tax law. The mission of Appeals is settlement of disagreements in a fair and impartial manner that averts a formal trial in court.
Representation in the Appeals process by a tax expert with Enrolled Agent certification typically results in superior preparation and handling of the request. Most EA tax practices are arranged to accommodate troubled individuals with Appeals in addition to conducting general tax return preparation.
The initial step executed by an Enrolled Agent of behalf of someone planning to utilize Appeals is review of the IRS collection letter. A successful appeal requires identification of the tax rule under dispute. This is the juncture where deep tax knowledge from an Enrolled Agent study course is crucial. The appeal request should state the unresolved legal factor and the taxpayer’s interpretation of it.
The most common type of appeal is the Collection Appeals Program, which is generally quick and easy. This avenue permits resolution of a broad range of collection actions. However, decisions under this program are final. Taxpayers are not allowed to file lawsuits when disagreeing with a decision using the Collection Appeals Program.
The Collection Appeals Program applies to instances where an individual has received a notice of tax lien, levy, or seizure as well as denial or termination of installment agreement. Appropriate responses begin by contacting the IRS to state disagreement with the agency’s decision. A solution is offered to a Collections manager before making a case for Appeals.
Solution proposals and appeal requests are given directly to any Revenue Officer that has already dealt with the taxpayer. A representative with Enrolled Agent training should know that a collection appeal request on Form 9423 is submitted within two days of the conference with a Collections manager.
Collection Due Process is available for other types of notices along with levies and liens. Taxpayers who disagree with an IRS decision may resort to this path. Sometimes Enrolled Agents will encourage their clients with sound arguments to pursue this course as an alternative to a lawsuit.
IRS Circular 230 Disclosure
Pursuant to the requirements of the Internal Revenue Service Circular 230, we inform you that, to the extent any advice relating to a Federal tax issue is contained in this communication, including in any attachments, it was not written or intended to be used, and cannot be used, for the purpose of (a) avoiding any tax related penalties that may be imposed on you or any other person under the Internal Revenue Code, or (b) promoting, marketing or recommending to another person any transaction or matter addressed in this communication.