Thursday, April 8, 2010

With Tax Deadline Looming Remember the Newer Nastier IRS

/PRNewswire/ -- As taxpayers finish their 2009 returns, one tax resolution attorney has a warning: Today's IRS is nastier than ever.

"Those of us who fight the IRS every day know this is not true. The US Treasury is desperate for cash and the IRS has been told to get tougher in collecting old debts," says Anthony E. Parent, founder of IRS Medic, Wallingford, CT (www.irsmedic.com).

According to Atty. Parent, the IRS has three new scary tactics:

New Revenue Officers

The IRS has hired many new and forceful Revenue Officers who will come to people's home, businesses or even to a Rotary Club meeting to find delinquent tax payers. "These Revenue Officers tend to be overly aggressive because they think that this will impress their superiors and get them promoted," he cautions.

Seizures of Personal Residences

For the first time, taxpayers' primary residences are up for grabs by the IRS. "The IRS is now willing to seize a taxpayer's primary residence if they feel there is enough equity to satisfy the tax obligation. They can be convinced to back off if you offer a reasonable collection alternative. It's not easy, but it's possible," says Atty. Parent.

Seizures of Retirement Accounts

In the past, the IRS would not seize retirement accounts, but that too has changed. "The IRS is getting bolder," says Atty. Parent. "They can and will wipe out a taxpayer's entire retirement savings if they feel they can collect enough money. There are legitimate ways to prevent this, but you need to know what you're doing."

The moral is anyone owing money to the IRS needs to be proactive and not wait for the IRS to come to them. "We've had clients who came to us after the IRS has pursued them. That makes helping them a lot harder. If someone comes to us early in the game, we have more options. Don't ignore the IRS. They have to send you a certified letter before they levy or seize your property, but people refuse to pick up those letters. And when the IRS takes aggressive action against them -- like wiping out a bank account or levying wages -- they were surprised. You do not want to be surprised by the IRS. It won't be pleasant and the longer you wait, the more shocking it will be."

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