They’ll definitely leave you alone if you have a written installment
agreement, and you make the payments required under the agreement. After
all, this is a formal agreement. It’s just like a contract. So yes,
if you meet your obligations under the contract, the IRS will leave you
alone. Most of our clients set up their payments to be made electronically
every month. People should do this for a couple of reasons. Assuming the
client can manage their checking account so that taxes are withdrawn each
month, it’s very easy for the client and there’s no risk of
forgetting to make the payment.
The money comes out of their checking account or bank account every month.
Also, it’s easier for the IRS. It’s less of a headache for
them, less paperwork, and less overhead. That’s incentive for them.
They’re more likely to negotiate with you a little bit if you agree
to pay electronically.
Can the IRS Be Bargained With?
Yes! No question about it! That’s one of the big things that an experienced
tax practitioner can help clients with. There are many different people
that work for the IRS. My experience is that most of them are reasonable.
Some of them aren’t, and it’s certainly possible to get a
reasonable person on a bad day. They’ll say something, or write
a letter that I know is unreasonable. Then I go back and point out that
it’s unreasonable. Often, they’ll acknowledge my point and
make appropriate changes. If they don’t see it that way I’ll
ask to talk to their supervisor, who is obligated to speak with me.
There are exceptions, but the vast majority of the time when that the IRS
person is unreasonable, their mind can be changed or their supervisor’s
mind can be changed. It’s no different than dealing with people
on an individual basis. You know when people are being reasonable or not,
the same way you know that an organization or a representative of an organization
is being reasonable or not. They definitely have constraints, but part
of my job is to understand what those constraints are.
Is It Easier to Work With the IRS with an Attorney Present?
This is true to a certain extent. This is particularly true with someone
who has been delinquent either in payment or in filing returns for a number
of years. More often than not, those people have been ignoring the IRS
or the state agencies. When an attorney contacts the state or the IRS
on the taxpayer’s behalf, the tax agency views that as an honest
effort on the part of the taxpayer to come clean and to establish a solid
line of communication with the tax agencies. The tax agency has my phone
number and my address. They know that’s the best way to communicate
with the taxpayer.
I represent the taxpayer, so the IRS knows that if they want to communicate
with the taxpayer, all they have to do is call me. This means quite a
bit to the IRS. Because of that, the client will get some respect. Because
I have a lot of experience in this area, I know how the IRS works and
am able to argue for and negotiate a number that my client can work with.
It is a huge advantage to the client to be represented by an experienced attorney.
For more information on
Benefits of Making Monthly Payments to IRS, a free initial consultation is your next best step. Get the information
and legal answers you need by calling
(510) 444-4430 today.