The IRS or the internal revenue service is basically tasked to enforce and collect income taxes. That said, it’s also quite a fact that the IRS tends to find people who owe them a great deal of money. If someone owes the IRS a large sum of money, that means they’re in trouble. Getting out of this situation can be pretty difficult which is why it’s important that they hire the right professional to help them out. Some of these professionals are CPAs, tax attorneys, and enrolled agents. They have the legal position to represent their clients to the IRS. The appeals for the clients can differ since these professionals are basically the ones who can ask about the Collection Appeal or the Offer in Compromise for their clients.
If you’re one of these professionals, you should know of the ways to help out your client. If you want to help your client, you’ll want to explore the option of the Offer in Compromise beforehand. Most clients have limited budget when it comes to this matter and the Offer in Compromise can provide them with the great discounts that they need. Still, you should know for a fact that this choice still has pros and cons. Choosing the offer in compromise basically means that the client has the chance to lower their tax liability by a huge percentage. However, you should know that the IRS will have to gain access to the current assets of the client. That said, you should know that IRS has the tax resolution CM logics which allows them to monitor your taxes. It’s also important to know that the IRS tends to reject this kind of offer. Informing their clients of that kind of result is the representative’s responsibility. Doing this is also necessary so that their clients won’t have to be taken by surprise by a sudden visit from the IRS.
Knowing everything about the Offer in Compromise is necessary if you want to be able to properly represent your client. While this offer provides a generous discount to the clients, you should know that the acceptance rate for it is only about 15 to 20 percent. Making sure that your client will be part of the acceptance range is your responsibility. This is where the usefulness of the tax resolution software comes in. With the help of the tax resolution software, you won’t have to worry about not having an accurate analysis of your client’s tax situation. The tax resolution software is made for professionals to ensure that they’ll be able to help their clients to the fullest of their ability.
One thing that you should know is that some people are still preparing their Offer in Compromise manually.