Tax Problems FAQ
1.Q: Once we begin work with GPIT, do I have to communicate with the IRS?
A: No. As soon as we send a signed Power of Attorney to the IRS, the IRS is under obligation to communicate with the Tax Professional handling your case.
2.Q: Do you accept payments for your services?
A: Yes. We require a deposit upfront and then will spread out the rest of our fees over the life of your case. We can take payments with cash, check, ACH, credit, debit or Paypal.
3.Q: How long will this take?
A: It depends on the complexity of your case. Typical cases are usually resolved in 6-12 months.
4.Q: Don’t I need a tax attorney to solve my tax problem?
A: No. Most cases can be solved without the help of a tax attorney. If your case requires one, we have several that we work closely with, that we can bring on if needed.
5.Q: Do you charge by the hour?
A: No. Our tax resolution cases are charged by the engagement. You’ll have a free consultation with us, and if we decide to take your case, we’ll outline what needs to be done and present you with a flat fee upfront. A deposit is required before work starts, then the rest of the fee can be paid in monthly installments.
6.Q: Can you solve my problem faster than other tax professionals?
A: IRS tax problems are complicated partly because of dealing with the IRS. They move at the same pace for everybody and tend to drag their feet. GPIT has put processes in place to streamline the work that needs to be done, and our staff has the experience to get your issues solved more quickly than our competitors. You’ll also ALWAYS know where you stand, as we keep all our clients updated on the status of their case at all times.
7.Q: What’s an Enrolled Agent?
A: An Enrolled Agent is a tax practitioner who has a lot of technical expertise in the field of taxation. This is the highest credential that the IRS awards. As an Enrolled Agent, I can represent clients across the country before all administrative levels of the IRS – examination, collection, and appeals.
8.Q: What IRS issues can you help with?
A: Any and all IRS issues! CA FTB issues too.
9.Q: What areas do you service?
A: I have offices in The Central Valley in CA and Eastern Texas, in Big Sandy. If you’re in another state, we can still help you. We use secure portals and all the latest secure technology, so can get all things done without ever meeting in person.
10.Q: Will the IRS revoke my passport?
A: The IRS has the ability to report delinquent accounts (upwards of $51,000) to the State Department. The State Department can deny a new or renewal passport application. If your debt is resolved (i.e. Offer in Compromise, Payment Plan, Currently Non-Collectible) the IRS may take you off the list of delinquent accounts.
11.Q: Is there a way to prequalify me for the Offer in Compromise before I send in the application fee and all the paperwork?
A: There is an online prequalification tool that the IRS has made available. It is not a guarantee though. Our staff at GPIT can assist you with checking your eligibility, and we will do whatever it takes to get you the best resolution to your tax issues.
12.Q: What will happen if the IRS rejects my Offer in Compromise?
A: You have the right to appeal or to submit another offer.
13.Q: What if I can’t afford to submit the application fee?
A: The IRS uses Low-Income Certification guidelines to determine whether a person qualifies for the poverty level. If you meet the criteria, you do not need to send in the $186 application fee, and you can wait to send in additional monies, including your initial payment and monthly installments until you hear back from the IRS.
14.Q: What is the difference between an Offer in Compromise and Currently Not Collectible?
A: An Offer in Compromise (OIC) reduces the total amount of your tax liability. A Currently Not Collectible (CNC) stops collection efforts temporarily. If the IRS rejects your Offer in Compromise, they might agree to place your account on CNC and stop collection efforts. Your wages will no longer be garnished.
15.Q: Will the IRS keep future tax refunds if my account is placed on CNC?
A: Yes. All future refunds will be applied to your account.
16.Q: If my account is placed under CNC status, will penalties and interest continue to be assessed?
A: Yes. CNC status serves as a last resort, and the IRS continues to charge you the related fees. In addition, the IRS computers will alert a field officer to investigate if you submit a tax return that shows a significant increase in your income or if the statute of limitations is about to expire.
17.Q: Do I have to give the IRS all of my financial information about my assets and bank accounts?
A: Depending on your tax liability, you may have to. If you owe the IRS more than $10,000 in 941 liability, you will most likely be required to provide all of the information about your business. The rules are different for each type of tax.
18.Q: Will the IRS empty my bank accounts?
A: Yes, the IRS is able to place what is called a levy on your bank accounts. They have to notify you first. Make sure to open ANY IRS notices as soon as you get them. After you are notified and ignore the notices, the levy may happen. Once the IRS freezes your bank accounts, it is very difficult to retrieve that money.
19.Q: How do I pay my IRS balance due?
A: To pay using a credit/debit card go to 1040paytax.com > Payment category is “Form 1040 Current Tax Return 20XX” > Fill in payment information.
To pay using your bank account go to irs.gov/payments > Click make a payment > Select reason “Balance Due” > Apply payment to Income Tax Form 1040 > Select correct tax year > Use prior years information to verify identity > Fill in payment info