Can anyone recommend a good tax attorney in Houston, TX?
We are in deep doo with the IRS. They have notified us that they have an "Intent to Levy" and are notifying us of our right to a hearing. We have heard we should submit an "Offer to Compromise" but have no way of knowing how much to offer or if there are other routes we should take.
2009-04-24T15:19:04Z
Actually, the total tax, interest and penalty is $164,000. We are living in a house that is in my mother-in-law's name and we have some stocks for retirement (we're in our late 50's) and we both have been out of a job since January. The $3000 in the bank now won't last long. What do you recommend?
Bostonian In MO2009-04-24T14:59:16Z
Favorite Answer
Don't waste money on an attorney unless they file criminal charges. DO consult with a local CPA or EA who specializes in OIC issues. Do NOT call those firms that advertise on cable TV or talk radio. They are a ripoff.
Bear in mind that only about 20% of all OIC applications are ever approved by the IRS. Basically you must offer them MORE than what they reckon that they could recover by liquidating all of your assets at fire-sale prices AND put you on a payment plan on an austerity budget for 4 to 5 years. If you owe the IRS $40k and can swing $1,000 a month in payments, there's virtually NO chance of an OIC going through. If you owe them $40k, live in a rented apartment with junk furniture and a junker car and could swing $100 a month, they MIGHT settle for $10,000.
To see what an OIC entails, grab a copy of IRS Form 656 and read up on the instructions included with it. It's 44 pages long, so get busy. I'd post a link, but YA is blocking links right now.
Save the money you would be wasting on a tax attorney, all they do is file the same forms you are filing. How much do you owe? The only reason for the intent to levy is because you have ignored the IRS by not setting up a payment plan with them. Ignoring the IRS is not the smartest thing to do. Call them at 1-800-829-7650 to find out how to respond, they will let you know if an OIC will be accepted etc. Good luck! Seriously give IRS the money you would waste on a tax attorney.