At Tax Armour Inc., we pride ourselves on being a full service- tax company, offering a wide range of tax related services for individuals and businesses. We perform the following steps for our tax representation process:
Our Tax Representation Process
Step 1: Consultation
A Tax Resolution Specialist will hear your case; review any letters received from the IRS/State to understand how much you owe, why you owed it, and provide you with a process expectation and a flat fee for getting a reasonable solution for your case.
Step 2: Investigation
The investigation process begins by filing a Power of Attorney Form 2848 with the IRS and/or the appropriate form for the State Taxing Authority authorizing us to obtain a complete record of your account. We discuss our findings with you to confirm and understand if any tax liability amounts can be reduced or disputed.
Step 3: Resolution
The Resolution Process begins by us gathering financial information and documentation from you in order to prepare a reasonable proposal for submission to the IRS and/or State. Our Team is here for you and our objective is for you to legally pay as minimum as possible.
Our Tax Resolution Services
Internal Revenue Services
- Offer In Compromise (OIC)
- Installent Agreement (IA)
- Partial Pay Installent Agreement
- Currently Not Collectible (CNC)
- Penalty Abatement
- Audit, Audit Reconsideration, Tax Examination
- Audit Appeals
- Lien Negotiations
- Levy and Wage Garnishment Releases
- Innocent Spouse Relief
- Current/Prior Tax Year Preparation
State Tax Agencies
- Franchise Tax Board https://www.ftb.ca.gov/
- Employment Development Department https://edd.ca.gov/
- State Board of Equalization currently known as the California Department of Fee and Administration https://www.boe.ca.gov/
Offer in Compromise (OIC)
The Offer in Compromise is for Taxpayers who are currently in financial hardship or would be placed on financial hardship if they started to pay their tax debt to the IRS. The Offer in Compromise is for Taxpayers with minimal or no assets and minimal disposable income. This program is a lengthy process, not automatic and requires quite a bit of work and intrusive financial documentation. If approved, the Taxpayer can settle the IRS tax debt for pennies on the dollar to be paid within 6 months and up to two years. There have been cases where the Taxpayer paid few thousand dollars for several hundred of thousand dollars tax liability.
Tax Armour Inc. has a high rate of OIC approval because taxpayers who qualify are only considered for this program. The OIC is not 100% guaranteed to be approved only high probabilities of approval.
Installment Agreement (IA)
A payment plan is another form of tax debt resolution that allows individuals and businesses to pay off their balance over a period ranging from 6 months to ten years. The amount of the payment depends on taxpayer’s ability, amount owed, negotiator, and statue of limiations.
Partial Pay Installment Agreement
Usually when an installment agreement is made, the IRS seeks a monthly payment plan that will allow the taxpayer to pay the full amount owed within a specific range of time but before the statute of limitations which is 10 years from the date the return was filed or the assessment was closed. However, if the taxpayer’s ability to pay is not within the payment amount that would pay off the tax liability, a partial pay installment agreement is set up regardless of what the IRS wants. The partial pay installment agreement is a good indicator that the Taxpayer may qualify for the Offer in Compromise.
Currently Not Collectible Status (CNC)
The Currently Not Collectible status is the same process as the installment agreement. Financial documentation is provided to the IRS for financial review. If the review shows that the taxpayer has zero ability to pay, the Taxpayer is placed on hardship. The hardship removes the Taxpayer from the aggressively active IRS collection list meaning that the Taxpayer has nothing to worry about with levies and garnishments. The hardship requires the Taxpayer to be compliant and file all required tax returns and report changes in income. If there is a change in income, the IRS request to be notified which will subsequently require another financial review.
Penalties can quickly turn a tax debt situation from bad to worse. With our penalty abatement assistance, the added penalties to tax obligations may be removed. Remember, a penalty abatement only applies to penalties. The IRS does not currently abate interest. To accomplish a penalty abatement, an individual can submit proof that they missed payments or filing deadlines or other noncompliant behavior for uncontrollable reasons. In addition, they must show that they are working to rectify the problem by filing any missing forms or returns and paying the required balances.
Audit, Audit Reconsideration, Tax Examination
If your individual tax return or business is being audited, Tax Armour Inc. can help. We review the categories being audited and ensure that the taxpayer does not miss any allowable expenses.
If the taxpayer fails to respond to the audit notices and the audit is closed without Taxpayer’s response or proper representation, an audit reconsideration may be considered. An audit reconsideration requires that proof of expenses be provided.
An audit appeal usually happens when the taxpayer fails to respond or the Taxpayer is not in agreement with the IRS findings, an appeal may be requested to the Appeals Office.
The lien negotiation consists of lien withdrawal, lien subordination, and/or lien release. Lien Negotiations are usually difficult to achieve but there are occasions that are allowable.
Levy and Wage Garnishment Releases
A levy is when the IRS/State Agency takes your money out of your bank account and a wage garnishment is when money is taking out of your paycheck. A levy can be removed. If you are experiencing a levy or garnishment, please contact Tax Armour Inc.
Innocent Spouse Relief
The innocent spouse relief can relieve you of paying tax, interest, and penalties if your spouse or former spouse improperly reported items or omitted items on your tax return without your knowledge. If there is an amount that qualifies for innocent spouse relief that amount will be collected from your spouse; not you.
Preparation of Prior/Current Tax Year Return
Before Tax Resolution is considered for any tax debt, the IRS/State require that the Taxpayer be compliant with all their tax filings.
We offer tax preparation of prior tax year returns. If you don’t have access to your prior years W2s, Tax Armour Inc. is able to get them from the IRS and fully prepare all of your back tax year returns making you compliant and ready for a tax resolution.
Services: Tax Resolution | Tax Preparation | Tax Audits IRS | Accounting/Bookkeeping
Serving clients across San Jose, San Francisco, Sacramento, Fremont, Milpitas, Newark, Hayward, Union City, Oakland, San Pablo, Richmond, San Mateo, Mountain View, Santa Cruz, Morgan Hill, Gilroy, Salinas, Monterey, Dublin, Livermore, Stockton, Tracy, Modesto, Fairfield, Vallejo, Woodland, Yuba City, and the surrounding areas.