Challenges
- Debt exceeding $50,000 across two tax filings.
- Levy imposed on the primary bank account by the Revenue Officer.
- Taxpayer disputes the accuracy of initially filed returns, leading to inflated tax liability.
- Urgent need for a resolution to prevent another levy on the account within the next few weeks.
Benefits one
Simplification of the tax dispute process.
Benefits two
Potential reduction in the overall tax liability if inaccuracies are corrected.
Benefits three
Avoidance of further financial disruption through additional levies on the taxpayer’s account.
Problem:
The taxpayer is in debt for more than $50,000 across two tax filings, and the Revenue Officer has already imposed a levy on the primary bank account of the individual. The taxpayer contends that errors in the initially filed returns have led to an inflated tax liability. Without a resolution in the coming weeks, the Revenue Officer intends to impose another levy on the account.
Solution:
Upon securing power of attorney for the taxpayer, we assumed responsibility for all interactions with the Revenue Officer. Utilizing information from the business’s bank and credit card statements, we prepared and submitted corrected returns for the disputed tax years, along with a new return for the latest tax year. This action reduced the owed amount to less than $45,000. With the debt now below $50,000, we were able to arrange a streamlined payment plan of approximately $700 monthly for 72 months. Additionally, this resolution led to the removal of the lien and levy on the taxpayer’s account, clearing the way for the taxpayer and their fiancee to proceed with purchasing a home together.
