Taxation & Estate Planning

Tax Appeals ? How Do They Work?

By Darrin Mish

When you have tax disputes, one option you have to help solve this IRS Problem is to use your right to appeal a decision.  Using IRS Appeals is a way to settle tax disputes without going to Tax Court.  It is much more informal than an actual trial.

Appeals Criteria

You must meet both of these requirements:

?    IRS correspondence has been received explaining your right to come to Appeals due to a dispute with an IRS decision
?    You have received an agreement form that you do not agree with and will not sign

You will need to decide if the IRS has made an incorrect decision because of misinterpretation of the law.  Publications discussing your issue can be found on the IRS website, http://www.irs.gov.  If you are disputing the fact that the IRS improperly applied a law due to a misunderstanding of the facts, you will need to be able to back this up by clarifying your position.  You can also ask for appeals if you believe the IRS is taking inappropriate collection action against you or if you have been denied an offer in compromise.
You will also need to explain why you disagree before the appeals hearing. You will need to have your records and other documentation organized and available to support your position.  Your reason cannot be for moral, religious, political, constitutional, conscientious objection, or similar grounds.
You may not a candidate for appeals if your only concern is that you cannot afford to pay the taxes you owe or if you have received a bill from the IRS that makes no mention of Appeals.

What to Expect at an Appeals Conference

An IRS Appeals Officer will do a fair and impartial review of your case and conduct the conference either by correspondence, phone, or in person.  They will explain your rights, and the actual Appeals process.  They will work with you to help resolve your dispute in a timely manner.  With your dispute resolved, you avoid a court trial.

You can help the process by carefully listening to the Appeals Officer?s information and giving a statement that you understand the information and the law.  You need to list all the issues you disagree with and why you disagree.  Additional information or documentation may be presented within the specified timeframe.  Inform the Appeals Officer of your recommended method of resolution.  Make sure to indicate when and how you can be contacted.

If Appeals is your next step in trying to resolve your IRS Problems, contact our office for assistance.  We can answer your questions and guide you through the Appeals process.  Call us today tollfree at (888) 438-6474.

Full post as published by IRS Problem Solver Blog on January 21, 2008 (boomark / email).