Top 10 Taxpayer Bill of Rights: #10 The Right to a Fair and Just Tax System
Here is the worst kept secret....you have many rights as a taxpayer. Don't come to me with the "woe is me" mentality about your tax issues. It is up to you to know and protect your rights. What I'm posting below is coming straight from the IRS website word for word. Stop saying that the information is not out there. It is my intention in these posts to empower you. I will do a count down of the top 10 taxpayer Bill of Rights. DAMN IT EMPOWER YOURSELF!!!
Mama said knock you out if you don't protect your rights!
#10: The Right to a Fair and Just Tax System
Taxpayers have the right to expect the tax system to consider facts and circumstances that might affect their underlying liabilities, ability to pay, or ability to provide information timely. Taxpayers have the right to receive assistance from the Taxpayer Advocate Service if they are experiencing financial difficulty or if the IRS has not resolved their tax issues properly and timely through its normal channels.
What you can expect:
- If you cannot pay your tax debt in full and you meet certain conditions, you can enter into a payment plan with the IRS where you pay a set amount over time, generally on a monthly basis.
- You can submit an offer in compromise asking the IRS to settle your tax debt for less than the full amount if you believe (1) you do not owe all or part of the tax debt, (2) if you are unable to pay all of the tax debt within the time permitted by law to collect, or (3) there are factors such as equity, hardship, or public policy that you think the IRS should consider in determining whether to compromise your liability.
- The IRS has published a list of national and local guidelines covering the basic costs of living for use in considering a settlement offer reducing your tax debt. IRS employees cannot use these guidelines, and will use your actual expenses, if the guidelines would result in your not having enough money to pay your basic living expenses.
- The IRS cannot levy (seize) all of your wages to collect your unpaid tax. A portion will be exempt from levy to allow you to pay basic living expenses.
- If you have are experiencing a significant hardship because of IRS action or inaction, you may be eligible for assistance from the Taxpayer Advocate Service (TAS).
- If you are an individual taxpayer eligible for Low Income Taxpayer Clinic (LITC) assistance, you have the right to seek assistance from an LITC to ensure that your particular facts and circumstances are being considered by the IRS.
- You have the right to request that the Taxpayer Advocate Service issue a Taxpayer Assistance Order (TAO) on your behalf if you are experiencing a significant hardship. TAS can issue a TAO ordering the IRS to take certain actions, cease certain actions or refrain from taking certain actions, and it can also order the IRS to reconsider, raise to a higher level, or speed up an action.
- The IRS has the authority to abate the unpaid portion of any tax or liability, such as interest, that is excessive in amount, assessed after the statutory period of limitations has expired or is erroneously or illegally assessed.
- The IRS has the discretion to abate interest on an underpayment where an IRS employee caused an unreasonable delay or error and no significant aspect of the error or delay can be attributed to the taxpayer involved.
A list of your rights as a taxpayer and IRS obligations to protect them can be found in IRS Publication 1, Your Rights as a Taxpayer.
Until next time…..Jay-Z once said “I move forward – the only direction. Can’t be scared to fail – search and perfection.”
Jamaal Solomon, EA. MST
Part two is in the works and it will be wilder but still very informative. Stay tuned!
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