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  • in reply to: Keeping Track of the Facts of Status of Multiple Clients #44044

    I use a combination of both Tax Help Software (THS) and the primitive Excel spreadsheet. I really like the THS. It allows you to leave notes and/or set future tasks for each of your client accounts. It can automatically pull your client transcripts on a regular basis. You’ll also be able to see the notices submitted to your clients from the IRS. It gives a breakdown of the taxpayer’s payment options including if they’d qualify for an OIC.THS is very efficient software. I recommend at least giving it a try.

    in reply to: RO not responsive #43693

    Hi Mary Jo,

    If you’re still having difficulty getting in touch with the RO then I recommend filing a 911 request with your client’s local TAS office.

    Hi Brian,

    I would definitely prepare and file the 1040X to report the AUR income. ACS generally doesn’t accept the 1040X over the phone but you may be able to e-file the 1040-X in a few weeks instead of having to mail it in for processing.

    In the meantime, I recommend using OPA (the online service) to try setting up the installment agreement because the set up fee is usually lower. However, if your client is not in compliance then it may not work and then you’ll have to call in to figure out what’s needed.

    I recommend taking a look at her transcripts for the years that were SFR’d to determine if she had any federal taxes withheld on her income. If so, then there’s a possibility that filing an original tax return could possibly reduce her tax liability since the IRS doesn’t factor in credits and withholding on SFR tax returns.

    You can certainly request to have the case transferred back to the IRS. Since the debts occurred prior to her being married (and provided there’s no current joint debt), you can consider conducting a split financial analysis to determine her ability to pay based on her percentage of their joint income and expenses.

    in reply to: LLC Non-Filing Penalty #43682

    Hi Shawn,

    I take it that your client has an LLC that’s registered as an S-Corp for tax purposes. If this is the case, then the client is required to file an 1120-S for each tax year s/he’s in business regardless of how much income is generated. If $0.00 in income was made, then the 1120-S should reflect that. S/he may also have a responsibility to file payroll tax returns and can be assessed a failure to file penalty as well.

    The IRS can issue a first time penalty abatement of the failure to file penalty on the first year but the penalties for all other years will stick unless your client had a valid reasonable cause for not filing the tax returns.

    Hi Liz,

    Pardon my being tardy for this party. Generally, a CIS (form 433 series) is not required when a taxpayer’s balance is less than $10k and the taxpayer is either unemployed or solely receiving SS income (See IRM sec.

    Bear in mind, the CNC status is supposed to be reviewed annually. So, yes, if you tell the IRS that your client is unemployed or solely collecting SS income, they usually check the transcripts to confirm that. In the case of this year’s pandemic, some reps will just input the CNC without the CIS but when the transcripts come out the following year showing that they taxpayer generated taxable wages and/or self-employment income then the taxpayer will be contacted to provided an updated CIS or set up an IA.

Viewing 6 posts - 1 through 6 (of 6 total)