YES! There is one. There is a point beyond which IRS can no longer collect on a prior tax debt. To find out more about this, click the video below.

Torchlight Tax Winning 1.8 Million Dollar Case

OK. I am jumping the gun here. But I was so happy that I wanted to share this with my friends. I have been involved in a fairly high-stakes representation case. The IRS has been coming after one of my clients for $1.8 million dollars. The problem is HE does not have $1.8 million. They earlier gave the client “Un-collectible status” but then started demanding payment again.

The contrary facts were amazing. Finally, I had an IRS Revenue Officer (RO) threatening to levy his bank accounts as she had found evidence that he had failed to disclose real estate assets. She gave only a short period of time to prove that he had not.

Now, he does not have $1.8 million dollars, but that would not prevent them from taking what he does have! He is about 80 years old and living off a pension. Having what savings, he has taken away would not have been pleasant!

There also has been a threat of going after some trusts he established decades ago for his family. He no longer owns or has access to these trusts. But the IRS was apparently trying to figure out a way to break the trusts. The situation was complicated. A few decades ago he established some trust funds for his family. This was totally legal. He no longer owns or controls these trusts. Then, about five years ago, he lost a 25-year-old court case with the IRS. The IRS then assessed him $300,000 in tax and $1,500,000 in fines, penalties and interest. But he was 75, retired, and living off a pension.

Now, he is 80 and they are threatening to levy his bank accounts because his financial report did not disclose two properties he owns! Or at least, so says the IRS. With the help of a well-connected real estate agent friend, I was able to get property profiles that showed who the real owners of those properties were. I got other finance records together as well.

After faxing her the property profiles, I finally got the RO on the phone. I asked her if that was the evidence she needed, or if she had further questions. She had further questions. I listened carefully and answered her questions exactly. She asked me if I had some additional proof. I told her that I did, and that I would send it to her. I asked her if she needed anything else. She said no, and when she got the additional data I was sending, she expected to close the case, and put my client back into un-collectible status.

What to do?

If you have any questions or need any tax assistance contact Torchlight Tax for a free consultation. One of our Enrolled Agents (top federally credentialed tax expert) will assist you.  Email us or call our Toll Free Number (877) 758 7797.