If you are dealing with the IRS, you do not necessarily have to walk this path alone. Your hired CPA can be of tremendous help in several essential ways.
For instance, you can make a special agreement with the IRS where you can obtain a tax liability which is less than the owed amount. This is called an offer in compromise (OIC). But in order to be able to do that, you certainly need the advice and experience of a tax specialist.
Thus, the taxpayer needs to have all the tax returns properly filed, and make all the estimated tax payments for the current financial year. A licensed CPA accountant Highlands Ranch area professional with reliable strategies can provide a full range of tax preparation, tax planning, and tax accountant services.
To obtain this kind of deal with the IRS, the taxpayer has to have “reasonable collection potential”, or RCP. At the same time, there are other special conditions which need to be fulfilled in order to qualify for an OIC. One of these conditions is the existence of doubt regarding the tax liability. Your CPA can help you figure out exactly what you need to qualify.
Under some other circumstances, there may be no legal doubt regarding the amount of money that the taxpayer owes to the State, but his/her economic conditions are so difficult that he/she cannot pay the liability, without creating an unfair and inequitable situation. In other words, the taxpayer’s means and income do not allow the tax to be collected in full.