IRS Tax Settlements

Phillip B. Chute, EA has successfully represented clients and has been able to negotiate down the tax debt or have in some cases have had the entire debt set aside.

Having the burden of IRS or Franchise Tax Board tax liabilities hanging over your head can weigh you down with stress and financial anxiety, so it' is very important to work with a tax expert in resolving your tax problems as soon as possible.

Phillip B. Chute has extensive experience in tax settlements for individuals and businesses, and we'll go to bat to make ending your owed tax problems as hassle-free as possible.

Phillip B. Chute, EA is a licensed tax advocate, and I can make sure that you get the fair tax debt settlement you deserve. I have more than 30 years of experience helping people with tax troubles.

There are many options available when it comes to your tax settlement with the IRS or The California Franchise Tax Board, but the most important thing is that you submit the strongest possible case to ensure the best possible outcome for your tax problems. For this to happen, the first step is deciding which of the tax settlement programs is most appropriate for your specific circumstances.

OFFER IN COMPROMISE

The television used to be full of people blasting away that they would save you from your tax nightmare for pennies on the dollar. Then they would charge you thousands to throw paperwork against the wall and wait for the usual rejection from the Atlanta IRS center. In recent years the IRS has dutifully taken on more of the egregious promoters and the advertising has changed to back taxes, which every tax preparer does as well for less money.

The problem was that the Offer in Compromise requires a lot of paperwork and financial statements from the taxpayer to settle an issue that they will settle only if there is no other possible way to collect or lien the money from the taxpayer. There was a technical correction to the problem a few years back when the IRS began requiring a non-refundable deposit of 20% of the taxes owed with the filed application. That was the end of the quickie solution.

How You Get Selected for an IRS Audit and Survive

The government has piles of statistics on everything you can imagine. The IRS also randomly audits groups of innocent people very thoroughly to get samples [Taxpayer Compliance Audits {TCMP} or under other names], and create new audit standard data [norms].

Then, they test the numbered lines on your tax returns to arrive at a numerical score which is compared to the statistical sample norm.

This score, which is called the DIF score, is thus compiled. A high DIF generates a human review, which can result in an audit. Items resulting in these high audit scores are missing income, business losses, out of whack cost of sales and other business or itemized deductions, and a hundred other items.

A normal return is never audited except for a sample stat. Generally, the audits need to be earned. Today the greatest audit probability lies with nonwage payroll 10995 reported, and business losses that offset other income.

* Phillip B Chute is an Enrolled Agent, tested, licensed, and appointed by the IRS directly. He has prepared or supervised over 25,000 tax returns over 30 years.