I was speaking with my good friend and mentor, Jack McDonough the other day. He’s a Colorado CPA and an inspiration to hundreds, if not thousands, of attorneys all around the United States. The subject came up about the IRS national standards. The IRS National Standards are the figures that the IRS uses to determine taxpayers ability to pay. We were discussing that they have just been revised as of October 1, 2007. Keep in mind that the IRS is supposed to update these things every year, and they had not been updated since February 1, 2005! Everyone in the IRS Problem Resolution niche was expecting for things to get better for taxpayers who money to the IRS and can’t afford to pay. Boy were we wrong! Gas prices are way up since February 1, 2005 right? I mean back then gas was about $1.50 a gallon and now it’s once again flirting with $3.00 in many parts of the country. What happened in the South region is that the Operating Expense allowance which is that part of a taxpayer’s budget allowed for use of the motor vehicle (including gas, maintenance, and insurance) went from $260 per month under the old guidelines now went down to $160 per month. Now how is that possible or logical? It’s not. And that’s a great illustration of the need for professional help in the area of IRS Problem Resolution.
The IRS considers that the National Standard guidelines to be written in stone when, in fact, they are not. The Internal Revenue Manual also known as the IRS Bible says that the guidelines are in fact just that GUIDELINES and are not applicable in special circumstances or in every case. If you don’t know that, you might think that you’re out of luck when a Revenue Officer says something like, well Mr. and Mrs. Taxpayer even though your annual income is $48,000 I think you can pay back $3000 per month on your tax debt that the guidelines are just guidelines and can be negotiated. The best thing for you to do if you find yourself in this type of situation is to call us tollfree at (888) 438-6474. Even though I am a Florida Tax Attorney, we represent clients all over the United States and the world with IRS Problems.
Check out more IRS Reports stories by clicking that link.
Law Offices of Darrin T. Mish, P.A.: Tax Attorney