Written by Scott Allen

What does Tom Hanks and having an Arizona IRS Problem have in common?

Arizona and IRS Problems

Well if you haven’t watched the movie Castaway, you should.  Tom Hanks was fantastic and this movie is now firmly entrenched as one of my “Top Ten”.  Tom Hanks plays the role of Chuck Noland.  There is a quote from the movie that overwhelmed me with insight on how to deal with the challenges of life, like having a serious IRS tax problem.  To understand the quote, one would need to have some idea of what lead up to Chuck’s monologue.

Chuck and his girlfriend Kelly were deeply in love.  There was no doubt that they were planning to get married.  The last time they saw each other was shortly before Christmas.  Chuck gave Kelly a little present that was obviously an engagement ring.  Chuck worked for Fed Ex and was on his way to a location somewhere in the Pacific.  In route the Fed Ex jet crashed into the ocean.  All aboard were killed except for Chuck who miraculously climbed into a raft and eventually made his way to an uninhabited island.

Kelly assumed that Chuck was killed and eventually married and had a daughter.  Four years later, Chuck was able to escape the island and the barrier reef that surrounded it with the aid of a sail that was made out of two sides of a plastic portable-toilet that washed ashore.

Chuck went to Kelly’s home and after seeing that she was married and had a daughter, he knew that there was no possibility of marrying Kelly.  Kelly was also overcome with emotion at the realization that her life had progressed to the point that she no longer could be with Chuck.  They still deeply loved each other but each one had to accept that their love for each other could have no future manifestation.

After leaving Kelly’s home, Chuck went to the home of a friend to share his feelings about his situation.  Here is his dialogue from that visit.

We had both done the math

Kelly added it all up

Knew she had to let me go

I added it up

Knew I had lost her

Because I was never going to get off that island

I was going to die there, totally alone

I was going to get sick or get injured or something

The only choice I had

The only thing I could control

Was when and how and where that was going to happen, so

I made a rope

And I went up to the summit to hang myself

I had to test it, you know

Of course, you know me, and the weight of the log snapped the limb off the tree

I couldn’t even kill myself the way I wanted to

I had power over nothing

That’s when this feeling came over me like a warm blanket

I knew somehow that I had to stay alive, somehow….

I had to keep breathing

Even though I had no reason to hope

And all my logic said that I would never see this place again

So that’s what I did

I stayed alive

I kept breathing

Then one day that logic was proven all wrong

Because the tide came in and gave me a sail

And now here I am

I’m back in Memphis talking to you

I have ice in my glass

And I’ve lost her all over again

I’m so sad I don’t have Kelly

But I’m so grateful she was with me on that island

And I know what I have to do now

I have to keep breathing

Because tomorrow the sun will rise

Who knows what the tide could bring?

Oh, how I wish I could write lines like that.  I was awe struck with several key points that I have experienced in my own life.

First, life will eventually put us in a situation where we have to deal with something we are not prepared for or ever imagined could happen to us.  It may be the death of a loved one, a divorce, a substance abuse problem, a business failure, a serious IRS tax problem or just the awful realization of our physical limitations or emotional weaknesses and we feel we “have power over nothing.”

Second, when we have one of these experiences we have to eventually, do “the math.”  We have to accept what has happened.  We can wish and pray and cry, but time cannot be reversed and we have no option except to acknowledge and submit to our situation.    There is no route around or over or under it. There is no other way, than through our experience.  And dealing with the IRS is like that as well.  You have to do, “the math,” and realize that you need some professional IRS help.

Third, our situation may be so devastating that we conclude like Chuck Noland, that we are “never going to get off that island.”  We are absolutely convinced that our life can never be whole or the way we want it to be. It appears to us that all is lost and that we suffer our pain “totally alone.”  Every person that comes into Scott Allen E.A.’s office says, “I am afraid that I’m going to have this problem the rest of my life.”

Fourth, we may even face the question raised by Hamlet, “to be or not to be.”  Even though we cannot find any logical reason to go forward, we just need to keep breathing until our feelings of total and complete hopelessness will be “proven all wrong.”  The best way to do that with your IRS problem is to schedule a free consultation and have Scott Allen E.A. show you that he has the ability to prove to you that “you were all wrong” about your IRS problem—It can be fixed.

Five, eventually “the tide (will come) in and give (you) a sail.”  You will be “cast away” from your former situation and realize that you have no other choice but to move on and “to keep breathing.  Because tomorrow the sun will rise and who knows what the tide could bring?”  My message to you is that Scott Allen E.A is that “sail.”  He can fix your IRS matter and make it possible for you to have a tomorrow and see the sun rise again in your life.

The movie ends with Chuck Noland finding a new love in his life and all that he thought was lost would be restored in a way he never imagined and his new opportunity enlarged ability to love life.  His new life would no longer be controlled by a clock or a deadline as it was when he was an executive at Fed Ex.  He knew better than he did before he was Cast Away to that island, to have hope in his future and to accept the challenges of life and that sometimes we are Cast Away from what we thought was best for us or what we wanted at the time.

The same will be true for you.  Scott has seen many times that those who learn from their IRS problem go much farther with their lives, IF THEY LEARN FROM THAT EXPERIENCE, than if they never had their IRS problem.

If you are really serious about resolving your Phoenix AZ IRS problem, call Scott Allen E.A. for a free consultation at 480-926-9300.  He will provide you with plan that will get you off of the IRS Island and back into your own island without IRS harassment and able to see a way to end your Arizona IRS problem.

www.taxdebtadvisors.com

Print off this blog and bring it with you at the initial consultation and receive $55.00 off any IRS resolution work we do.  One blog offer per client.

 

Written by Scott Allen

I have Unemployment Tax Problems: Phoenix AZ IRS Tax Attorney?

Phoenix AZ IRS Tax Attorney for unemployment

No, unemployment tax problems are not a legal matter and does not require a Phoenix AZ IRS tax attorney.  Every Phoenix self-employed business is required to pay unemployment taxes to their state and the federal government.  These taxes go towards paying for unemployment benefits should you have to lay off an employee.  The taxes paid to the federal government are known as Federal Unemployment Taxes or FUTA, and your state unemployment taxes are known as SUTA.

There are severe penalties and interest if these taxes are not paid on time.  If you have missed deadlines in paying these taxes, you should immediately consult with an IRS unemployment tax specialist.  Scott Allen E.A. has the expertise to work out payment arrangements with your state or the IRS is you have gotten behind on paying your unemployment taxes.  If you have not used a payroll service to help keep you current, it is best to use one as payroll taxes and unemployment taxes rules are difficult for new business owners to become familiar with while operating their day to day activities.  If you need a free consultation regarding your unemployment taxes, contact Scott Allen E.A. at 480-926-9300 instead of a Phoenix AZ IRS Tax Attorney.

Thanks !

 

Written by Scott Allen

Do I Need a Gilbert AZ IRS Tax Attorney For Trust Fund Recovery Penalties?

Trust Fund and Gilbert AZ IRS Tax Attorney

The IRS is very aggressive in trying to collect on Trust Funds associated with payroll taxes withheld from employee’s paychecks.  However, this is not a legal matter and is not considered a criminal act and does not require the services of an Gilbert AZ IRS Tax Attorney.  Most employers that do not pay in their payroll tax withholdings are struggling with their business and try to keep the business afloat by “borrowing” these funds with the intent to pay them back at a later date when business improves.

Unfortunately most businesses do not improve enough to pay the taxes with the penalties added.  When the business closes, these taxes are eventually reassigned over to the individual(s) responsible for paying the taxes.  This will include the owners and anyone associated with payment of taxes.

There are two areas of IRS representation work that may be needed with regard to Trust Fund Recovery Penalties.  If you feel that the IRS is unjustified in targeting you for payment of the taxes and penalties, we are able to evaluate your responsibility or lack thereof.  This is usually a black and white matter, but the IRS takes a “shot gun” approach and tries to include as many people without really knowing who is truly responsible.

The second area is making a settlement with the IRS if you are in fact responsible for the payment of the tax and penalties.  There are several options available to settle with the IRS for less than the amount owed, depending on your financial ability to pay.

Scott Allen E.A. of Gilbert and Mesa AZ has expertise in both areas dealing with Trust Fund Recovery Penalties.  Call Scott today and schedule a free consultation at 480-926-9300 to get an evaluation of what your options are.  Scott Allen E.A. will put your mind at ease knowing that you are facing this serious IRS problem with a professional who has successfully negotiated many favorable settlements with the IRS on Trust Fund Recovery Penalties.  Please call Scott for a honest second opinion if you are determined to think you need a Gilbert AZ IRS Tax Attorney for IRS Trust Fund Recovery Penalties.

Thank you.

 

Written by Scott Allen

I am being audited and have lost my records: Help!

Do I need a Mesa Arizona IRS Attorney when I don’t have proof of deductions?

Often taxpayers know that they have legitimate deductions but when audited cannot provide proof of the deductions because their documentation is inadequate in the opinion of the IRS auditor.  For example a taxpayer may have a cancelled check but doesn’t have the receipt to prove the expense was a deductible item.  This is not a criminal issue and does not require the need for an IRS Tax Attorney in Mesa AZ.  This can often be reversed by using an Enrolled Agent such as Scott Allen E.A.  One example that actually occurred shows one of many ways to validate deductions without proof of the expense.  One of Scott’s clients was a truck driver who lost his gas receipts or never kept them—it doesn’t matter.  His client was paid per mile he drove his truck by his company.  It is known with a high degree of accuracy the miles per gallon the truck gets over a year’s time.  It is simple math to calculate the number of gallons of diesel needed to drive the miles he was paid.  Over a year’s time an average price per gallon can be estimated.  In this case the IRS auditor was unwilling to budge and allow the deduction.  However, it was allowed by the Appeals Officer when Scott requested an Appeals Hearing.  The IRS Appeals Office has much more latitude of allowing deductions than auditors.

If you have a situation where an IRS auditor disallows deductions because you cannot provide them adequate documentation, contact Scott Allen E.A. at 480-926-9300 for a free consultation to determine what options are available in your case.  Using a Mesa AZ IRS Attorney in this situation is not warranted and will only cost you more in legal fees to get your IRS matter resolved.

 

Written by Scott Allen

IRS Tax Tempe AZ Attorney Not Necessary For Extension Of Time To Pay Taxes

IRS Tax Tempe AZ Attorney

Don’t confused IRS form 4868 which is an extension of time to file your return, with IRS form 1127 which is to request an extension of time to pay your taxes.  Here are some of the differences:

* IRS form 4868 gives you an additional six months to file your return.  You do not have to give any explanation.  It is automatic.  Here in Arizona it also extends the time to file your Arizona return.  IRS form 4868 must be filed by April 15.

*IRS form 1127 Allows you to delay paying your taxes until August with interest but no penalties.  But the guidelines for this delay have strict requirements.  This form must be filed by April 15th.

IRS form 1127 requires you to provided complete details of your assets and liabilities at the end of the previous month and an itemized list of money your have received and spent over the last three months.  The IRS wants to verify that your are unable to pay and the reasons why you are unable to pay.  You will have to provide documentation that you are unable to pay the money.  It must be legitimate “undue hardship,” not just an inconvenience.

It is important to know that the failure to pay penalty is 1/2% per month (form 1127), and the failure to file penalty is 5% per month initially (form 4868).  Taking this into consideration, it is 10 times more important that you file IRS form 4868 than IRS form 1127.  Even though it is possible to delay paying your tax liability, take into consideration the additional cost (1/2% per month) with the chances the effort needed to file IRS form 1127 and the chance that the IRS District Director might deny your request.

To appropriately evaluate your situation, consider a free consultation with Scott Allen E.A. at 480-926-9300.  It is doubtful that an Tempe AZ IRS Tax Attorney would even know what your are talking about if you inquire about filing IRS form 1127.

 

Written by Scott Allen

My IRS Debt Keeps Going Up. Do I Need an IRS Tax Attorney (Gilbert, AZ)?

IRS Tax Attorney Gilbert AZ

Tax clients think that they will have to pay on their tax debt until their last breath.  IRS tax debts have a statute of limitations.  In other words there is a date when the tax debt will go away.  This is called the Collection Statute Expiration Date.  On this date your tax debt goes away.  Generally the IRS has 10 years from the date of assessment to collect the tax due.  You do not need to take any legal action thru a Gilbert AZ IRS Tax Attorney to get this information.  There are also many tax settlement options that can reduce or eliminate the tax debt before the statute runs out.

To evaluate your options, contact Scott Allen E.A. with Tax Debt Advisors, Inc. for a free consultation at 480-926-9300 to see where you stand.  You may find that you can move forward in your life much sooner than you previously thought.

The most important thing to remember in letting your IRS debt expire is to file and full pay your current and future taxes on time.  As a tax professional Scott can file any and all tax returns to keep the IRS off your back until your IRS debts expire.  An IRS Tax Attorney Gilbert AZ typically isn’t the best option for tax preparation as their line of work is on legal matters.

www.getirsoffmyback.com

 

Written by Scott Allen

IRS Tax Penalties: Can they be removed?

Be Leery of Promises of Tempe AZ IRS Tax Attorneys to remove IRS Penalties

The only penalties that always get removed or lessened occur automatically when you file an amended return that shows a lower balance due or when you file a return to correct an IRS substitute for return and the tax due is lower.  You do not need any resolution work to lower the penalties.  If a taxpayer has had a “track record” of always filing on time and has a good reason for missing a filing deadline such as an illness, the taxpayer can request that the penalties be removed after any tax liability has been paid in full.  If the taxpayer has a habit of filing late, it is unlikely the IRS will removed penalties.

To remove penalties, the taxpayer files IRS form 843 and requests a refund of the penalties previously paid.  The IRS will want to see that there was a reasonable cause and not willful neglect.  Other probable causes for requesting a refund of penalties paid could include hospitalization, incarceration, severe depression, or serving in the military and out of the country during the time the return or the extension needed to be filed.  A Tempe Arizona IRS Tax Attorney can do this work but it is not necessary.  An Enrolled Agent or a Certified Public Accountant can file the necessary paperwork for you if you need assistance.  It is always best to consult with a professional before filing the paperwork to determine if you have a unique enough case to get penalties removed.

Other than the reasons mentioned, it is unlikely to get penalties removed.  This is especially true for returns that are filed years after the due date.  Most legitimate reasons would apply to the current year only.  In seeking penalty abatement, it is not necessary, nor will it increase your chances of success to use an IRS Tax Attorney in Tempe AZ.  If you would like a free consultation to see if your penalties can be removed, call Scott Allen E.A. at 480-926-9300.  He will be able to provide additional information not included here that will increase your chances of getting penalty abatement for legitimate reasons.

 

Written by Scott Allen

My IRS tax payment plan is too high: What are my options?

Do I Need a Phoenix AZ IRS Tax Attorney if I Cannot Afford My IRS Payment Plan?

Often times a taxpayer negotiates, on their own, a payment plan known as an IRS installment arrangement that is more than they can afford, or their income has gone down and they can no longer afford the agreed payment.  This is not a legal matter that requires a Phoenix Arizona IRS Tax Attorney.  Scott Allen E.A. has the expertise to get your IRS installment arrangement lowered or eliminated depending on your financial ability to pay.

Scott Allen E.A. is an Enrolled Agent qualified in all 50 states to renegotiate IRS payment plans.  Scott Allen E.A. is available for a free consultation at 480-926-9300 and can tell you what he is able to renegotiate for you after you provide him the financial information he requests.  Scott Allen, E.A. and Tax Debt Advisors, Inc. are not IRS Tax Attorneys in Phoenix AZ or a law firm.  We are a tax preparation company who specializes in negotiating IRS debts.

 

Written by Scott Allen

IRS Lien has ruined me credit score: Now what!?

Do I Need a Chandler Arizona IRS Tax Attorney to Save My Credit Due to an IRS Lien?

An IRS tax lien will definitely lower your credit score and can prevent you from buying a home or purchasing a vehicle.  Banks will charge you a higher rate of interest on loans if you have a tax lien or not make the loan at all.  Those that will loan you money will charge you “loan shark” rates of interest.

If an IRS tax lien notice is filed, you have 30 days to file a Collection Due Process Appeal to explain why the tax lien should never have been filed.  If you miss this deadline, you always have the option of doing an IRS lien subordination.  This IRS procedure is usually done in conjunction with taxpayers who have equity in a home and want to get a loan from a bank.

Whatever your situation, contact Scott Allen E.A. for a free consultation at 480-926-9300 to see what options you have to deal with an IRS tax lien.  You can count on Scott’s expertise in this area to provide you with all of your options and help you choose the one that is best.  If you have already met with an IRS Tax Chandler, AZ Attorney please consider me for a second opinion.  If you haven’t met with a Chandler, AZ IRS Tax Attorney yet please call me FIRST for you second opinion.

 

Written by Scott Allen

IRS Tax Debt and Confidentiality

Do IRS Tax Attorneys in Gilbert Arizona Provide a Higher Level of Confidentiality?

All IRS resolution experts are required to keep confidential any information disclosed to them whether they be a Gilbert AZ IRS Tax Attorney, Enrolled Agent (E.A.) or CPA?  The only time this becomes critical is in the matter of criminal cases.  An IRS Tax Attorney in Gilbert, AZ has “attorney client privilege.”  This means that if you have committed a criminal act, the IRS Tax Gilbert Attorney is allowed to keep information confidential.

The problem comes when less than 1 out of 10,000 clients that we have seen over the last 45 years has committed a criminal act and should retain the services of a Gilbert, AZ IRS Tax Attorney.  Yet when our clients have talked to a Gilbert Tax Attorney, the attorney always mentions that they have attorney client privilege as if that is needed in your case—which is almost never.  So why pay two or three times as much for something you don’t need.

If you scheduled a free consultation with Scott Allen E.A. at 480-926-9300 he can tell you if you have committed a criminal act and need the services of an IRS Tax Attorney in Gilbert, AZ.  If that is the case, he will be able to refer you to a Tax IRS Attorney Gilbert, AZ that specializes in the tax representation area you require.

Scott Allen, E.A. works with the company Tax Debt Advisors, Inc.

www.stopIRSaction.com

 

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