Discussion:Audit reconsideradtion
From TaxAlmanac
Discussion Forum Index --> Advanced Tax Questions --> Audit reconsideradtion
Discussion Forum Index --> Tax Questions --> Audit reconsideradtion
| 12 May 2008 | |
| Taxpayer's 2005 tax return was audited. He received all of the notices, including the 90 days, in a timely manner but ignore all of them. He has contacted me and I would like to assist.
Is there a special form that is used to request the reconsideration What information is included do I provide. Do I have to include all the supporting documents that I would have taken to the audit to have the IRS even consider reopening the file for re-examination. Are there certain circumstances under which the IRS or will not consider the reconsideration. This taxpayer was busy attending to his business, Sch C, and just ignore the notices until he noticed that all the expenses were removed and he owed 74,000. | |
| 12 May 2008 | |
| What possibly could have been going in his mind to just ignore correspondence from the IRS - and he admitts to getting it all and doing just that.
I see no avenue of relief for this Taxpayer - this should be on the news for all to see. | |
| 12 May 2008 | |
| If the case was worked locally, call the office and ask if they will reopen the audit AND that you will provide everything that your idiot client failed to provide. Get your retainer up front and charge the client by the pound. | |
TheTinCook (talk|edits) said: | 12 May 2008 |
| Publication 3598. | |
Death&Taxes (talk|edits) said: | 12 May 2008 |
| Has the 90-day letter expired? Usually that Certified Letter wakes people up, and if the Statute is open, you can also ask for Recission of the 90-day letter so that you are fighting under less pressure for once the Statute expires, adjustments in your favor are pot luck since you have no avenue of appeal. See Rev Proc 98-54. Such recission might be done if the taxpayer can demonstrate he would owe an amount less than the Deficiency Notice.
I did this successfully once. | |
| 12 May 2008 | |
| Taxoncall
In addition to the pub cited above, I would suggest you go to the IRS website, open the IRM and look at ยง4.13. It will give you the IRS position on audit reconsideration. | |
| 13 May 2008 | |
| can I refer/cite to the IRM in my request for th ereconsideration or in any other audit situation. | |
| 13 May 2008 | |
| I ALWAYS cite the IRM when making my request. Audit reconsideration is almost always granted (but rememember it is not a taxpayer right).
It will take a few months to get a resolution. Since it appears from your post that the 90-day period has expired, you may get some collection notices while you wait for the audit recon. | |
| 13 May 2008 | |
| The 90 day clerk will hold the case for 45 days after the deadline. Contact the clerk if you are still in that period. If it is beyond that send a letter asking that it be reopened. They routinely are. If for some reason that fails, you can still challenge the liability in a CDP hearing.
WPCPA, should doctors refuse to treat lung cancer patients because the smoked? | |
| 13 May 2008 | |
| I was ready to pounce on WPCPA also, but I was feeling charitable last night and chose not to do so. When you read his profile, you find that his expertise is in Cost Segregation for Commercial Buildings. In other words, he has no knowledge of this area of tax administration. For the lack of knowledge I'll cut him some slack. However, to say I see no avenue of relief for this taxpayer, this should be on the news for all to see is more than lack of knowledge. It's ignorance and ignorance from a licensed, tax professional is not really acceptable.
If you don't know the subject matter, why post? | |
| May 13, 2008 | |
| Steve,
If I read it right, I see no avenue of relief for this taxpayer, this should be on the news for all to see is first of all a manifestation of wpcpa's ignorance of the avenues recited by irsfixer and others, but secondly a judgment on this client's character. So he's ignorant and judgmental. And what's his point? The client has a rather serious tax problem. Taxoncall is willing to go the extra mile to help. We all know the client's actions were foolish. Why should this poor person's plight be put on the news for all to see? The New Tax Guy. | |
Donniecastleman (talk|edits) said: | 13 May 2008 |
| I hate when angry people write in to Tax Almanac gloating in people's mistakes, why can't everyone be glad to help and assist instead of angrily beating someone when they're down. I know it's a trait that the IRS tries to instill in their auditors but hopefully it only works some of the time. Let's use the 10/90 rule, 10% on the problem, 90% on the solution, in my opinion. | |
Donniecastleman (talk|edits) said: | 13 May 2008 |
| Oh no, it's the cost segregation guy. | |
| 13 May 2008 | |
| Thanks for your input. Agree, we are here to assist client even if their failure to act was out of ignorance, frustration or otherwise. It it is not our job and we should not advocate embarassing taxpayers. We have the option of not taking them on as clients. We charge a fee and do our best.
Back to the question. Is there a special form that is used to request the reconsideration and is the requset sent to the local office that conducted the audit. | |
