Construction Industry Conference - Virtual-2 - Wolfe - Effective Tools In Today’s Environment with the IRS

2 - Wolfe - Effective Tools In Today’s Environment with the IRS

Pdf Summary

The presentation provides practical guidance for tax professionals handling IRS collection matters, particularly delinquent employment taxes and construction businesses. Its central advice is to act early: recognize warning signs such as cash-flow problems, unpaid payroll taxes, late filings, and missed payments; keep clients compliant; and respond promptly to every IRS notice.<br /><br />Practitioners are encouraged to obtain powers of attorney, help clients establish ID.me accounts, review account transcripts, maintain detailed case histories, and request relevant IRS files and workpapers through direct release before resorting to FOIA. The Internal Revenue Manual (IRM) is presented as an important guide to IRS procedures and taxpayer protections.<br /><br />The materials explain payroll-tax risks, including federal tax liens and levies, and the Trust Fund Recovery Penalty. That penalty may be assessed against people deemed responsible for collecting or paying withheld taxes who willfully failed to do so. Practitioners should examine the facts, IRS workpapers, and deadlines, and challenge proposed assessments when appropriate.<br /><br />The presentation details installment agreements, currently-not-collectible status, offers in compromise, collection statutes, and penalty relief. It emphasizes staying current with required filings and payments, documenting financial circumstances, and monitoring how agreements or appeals may affect collection actions and deadlines.<br /><br />A major focus is preserving appeal rights. Notices must be read carefully and answered within their specific deadlines. Form 9423 is used for the Collection Appeals Program, including certain lien, levy, and installment-agreement disputes; Form 12153 requests a Collection Due Process hearing and may suspend certain collection actions when timely filed. Formal protests should clearly state the disputed issues, supporting facts, and applicable authority.<br /><br />The presentation also covers taxpayer contact procedures, third-party contact notices, identity theft, Taxpayer Advocate assistance, passport certification for seriously delinquent debts, private debt collection, and IRS payment and support resources. Its overall message is to document communications, understand procedural protections, request appropriate case records, and resolve matters at the lowest feasible level.

Keywords

IRS collection

delinquent employment taxes

Trust Fund Recovery Penalty

tax liens

tax levies

installment agreements

Collection Due Process

Form 12153

Form 9423

Internal Revenue Manual