A considerably large amount of taxes needs to be paid by some individuals these days to the Internal Revenue Service which was never allowed to happen before. People who are not able to pay for their taxes are in dire need of help and they would do anything to free them from the trouble that they are currently facing. There are a lot of instruments that the CPA, Enrolled Agent, or Tax Lawyer may use for the process of settling the liabilities that the clients have and some of them are Collection Appeal, Offer In Compromise, Collection Due Process and Installment Agreement, and Injured or Innocent Spouse Defense.
Among all of these instruments that were mentioned, the one that is commonly used these days is the Offer In Compromise since there is a possibility that the tax slate of the client will be reduced or might be even wiped clean. There are also positive and negative effects derived from this instrument even if it is considered as the most useful one as of today. Even if you are granted a discount with the use of an Office In Compromise software, the Internal Revenue Service will still require you a complete list of all the assets that you possess. All taxes are being monitored by the Internal Revenue Service’s machine that is why there is no way for you to lie about the total amount that you have to pay for. Since your client is expecting a lot from you, it is only proper to inform him of everything that progresses from his tax evasion case even if it means that the appeal is not being accepted, so that when someone from the Internal Revenue Services will come knocking at their door, they will not be alarmed. You may think that the Offer In Compromise is very advantageous, but what you don’t know is that only 20% of the total number of appeals will be accepted. With that being said, you need to know what it is exactly what you have to do so that you will belong to the 20% that is being accepted by the Internal Revenue Service. If you really want help in getting into that coveted 20% spot, you can purchase a tax resolution software logic that might be able to guide you with the correct analysis of the current situation that you have, and might just as well give you a diagnosis of this problem. It can also evaluate how much chance does the client have in being accepted in the 20%, as well as a form that may be filled up by the client.
According to a recent survey, there are still representatives who are still using a calculator, pencil, and their brains to have the cases for the Offer In Compromise done.