A Tax Appeal is a request for independent review by a taxpayer that does not agree with an IRS or State taxing authority decision. The goal of the IRS Appeals Division is to “settle” disputes between the IRS and taxpayers.
If you disagree with any of the IRS’s determinations regarding taxes, you may request a tax appeal. The Appeals request must be submitted within a certain time frame and follow the State or IRS guidelines for a valid Appeal’s request. If a taxpayer doesn’t file their Appeal request correctly and on time, they may lose their opportunity to have an Appeals officer listen to their side of the story.
After submission, if the case cannot be resolved and is adequate for a review, then your case will be reviewed by the IRS Office of Appeals. You may represent yourself, or have a professional represent you. The representative must be an attorney, a certified public accountant, or an enrolled agent authorized to practice before the IRS.
To decide if you should appeal your tax dispute, you will need to be able to clarify and provide facts to support your appeal. Reasons for appeal may include:
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If you believe the IRS made an incorrect decision based on a misinterpretation of the law
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If you believe the IRS did not properly apply the law due to a misunderstanding of the facts
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If you believe the IRS is taking inappropriate collection action against you, or your offer in compromise was denied and you disagree with that decision
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If you believe the facts used by the IRS are incorrect
Appeals is not for you if ANY of the following apply:
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The correspondence you received from the IRS was a bill and there was no mention of Appeals.
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You did not provide all information to support your position to the examiner during the audit.
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Your only concern is that you cannot afford to pay the amount you owe.
Ensuring your documentation is in order and your case is solid is an area where having a seasoned tax professional can help. The Tax Man will work with you to collect all the necessary information so that your appeal has the best chance of being approved.