After the Civil War, citizens in the North were promised reimbursement for assets seized by the Union. The Confederates were pretty much out of luck, unless they could prove neutrality or sympathy for the Union.
The problem was that when most corn, wheat, cotton and horses were confiscated (stolen) by Union troops, a low-grade officer hand wrote a receipt that was to be used to petition for reimbursement. By 1884 almost 20 years after the war, Americans’ who lost property were up in arms because the Treasury checks were ‘not-in-the-mail.’
Tax Resolution Ghostwriter for Enrolled Agents, CPAs and Laywers.
So, in 1884 Congress created a new certification called the “Enrolled Agent.” Their sole task was to be the advocate for taxpayers when petitions to the treasury were ignored or turned down. The service was so appreciated that the designation stayed in place and that leads us to the question of the day. Who should you turn to for help?
When collection letters start showing up, our first inclination is to ask our tax preparer ‘What do I do?”. If it’s a small matter, those letters can be handled quickly. However, if the problem is over $10,000, you need an experienced IRS expert on your side.
CPAs are very good at financial analysis and filing tax returns. However, negotiating with the IRS is a unique skill set. Most CPAs will refer you to an enrolled agent or tax attorney to help you overcome the upcoming battle, so you come out on the other side intact.
Tax Attorneys: If the lawyer you're working with has experience dealing with the IRS. They are probably going to advise you correctly. The downside of working with lawyers is that the going rate for tax collection problems is $400 to $500 an hour.
Who is the best person to help me?
The better question is, what is an E.A. (enrolled agent)?
An enrolled agent is a tax professional the Internal Revenue Service (IRS) allows to represent taxpayers concerning tax issues. Those might include audits, collections, and appeals. They are considered to have the highest level of expertise in taxation and are recognized by the IRS as tax specialists. There are around 67,000 E.A. in the United States.
Enrolled agents can help clients in various ways:
1. Tax preparation: Enrolled agents know the tax code and can assist individuals and businesses in preparing accurate and compliant tax returns. They can help maximize deductions and credits, minimize tax liability, and ensure compliance with IRS regulations.
2. IRS representation: Enrolled agents can represent clients before the IRS in case of audits, collections, or appeals. They can communicate with the IRS on behalf of the client, handle correspondence, provide documentation, and negotiate settlements or payment plans to resolve tax issues.
3. Tax problem resolution: Enrolled agents are experienced in dealing with complex tax problems and can assist clients in resolving issues such as back taxes, tax liens, wage garnishments, or levies. They can analyze the situation, develop a strategy, and work with the IRS to find a favorable resolution.
4. Tax planning: Enrolled agents can provide strategic tax planning advice to help clients make informed decisions that minimize taxes in the long run. They can analyze financial situations, recommend tax-saving strategies, and help individuals and businesses plan for future tax obligations.
5. Tax compliance: Enrolled agents can help clients comply with tax laws and regulations. They can guide record keeping, reporting requirements, estimated tax payments, and other compliance-related matters. Proactively reviewing financial records and advising on compliance can help clients avoid penalties and reduce the risk of audits.
Overall, enrolled agents are highly trained tax professionals who can provide valuable tax advice, representation, and assistance to individuals and businesses, helping them navigate the complex world of taxation and achieve their financial goals.
With an enrolled agent at your side, you have a knowledgeable professional with a lot of experience in dealing with IRS problems. Better yet, their fees are going to be half what a tax attorney might charge.
I wrote this book to give you some insight into real-life situations where we’ve been able to minimize the impact of dealing with the IRS and getting our clients back on track.
KC Truby Ghostwriter