Your IRS Tax Appeal Rights

Are you in the middle of a disagreement with the IRS? One of the guaranteed rights for all taxpayers is the right to appeal. If you disagree with the IRS about the amount of your tax liability or about proposed collection actions, you have the right to ask the IRS Appeals Office to review your case.

During their contact with taxpayers, IRS employees are required to explain and protect these taxpayer rights, including the right to appeal. The IRS appeals system is for people who do not agree with the results of an examination of their tax returns or other adjustments to their tax liability. In addition to examinations, you can appeal many other things, including:

1. Collection actions such as liens, levies, seizures, installment agreement terminations and rejected offers-in-compromise,

2. Penalties and interest, and

3. Employment tax adjustments and the trust fund recovery penalty.

Internal IRS Appeal conferences are informal meetings. The local Appeals Office, which is independent of the IRS office, can sometimes resolve an appeal by telephone or through correspondence.

The IRS also offers an option called Fast Track Mediation, during which an appeals or settlement officer attempts to help you and the IRS reach a mutually satisfactory solution. Most cases not docketed in court qualify for Fast Track Mediation. You may request Fast Track Mediation at the conclusion of an audit or collection determination, but prior to your request for a normal appeals hearing. Fast Track Mediation is meant to promote the early resolution of a dispute. It doesn't eliminate or replace existing dispute resolution options, including your opportunity to request a conference with a manager or a hearing before Appeals. You may withdraw from the mediation process at any time.

When attending an informal meeting or pursuing mediation, you may represent yourself or you can be represented by an attorney, certified public accountant or individual enrolled to practice before the IRS.

If you and the IRS appeals officer cannot reach agreement, or if you prefer not to appeal within the IRS, in most cases you may take your disagreement to federal court. Usually, it is worth having a go at mediation before committing to an expensive and time-consuming court process.

Richard Chapo is CEO of http://www.businesstaxrecovery.com - Obtaining tax refunds for small businesses by finding overlooked tax deductions and credits through a free tax return review.

In The News:

Is your tax money well spent?  MoneycontrolA major concern that citizens have is how taxpayers' money is spent. It seems like the money collected goes into a black box with no clarity on how it is being ...
Reaching the zero income tax level of ₹5 lakh  LivemintMUMBAI: Did you know you could pay zero taxes even if you earn more than ₹5 lakh? According to the current tax laws, there are three tax slabs depending on ...
Would you pay less tax if you lived abroad?  BBC NewsThe country you live in plays a big part in how much tax is deducted from your wages.
State and Local Taxes Are Worsening Inequality  The New York TimesEconomic inequality is on the rise in Illinois, and the state government is part of the problem. Illinois taxes low-income families at much higher rates than ...
Before filing your tax returns this year, calculate and pay self-assessed tax  LivemintBefore filing your income tax return (ITR) this year, ensure there is no pending tax payable on your part through self-assessment. For this, you need to take into ...
The Problem with France's Plan to Tax Digital Companies  Harvard Business ReviewFrance recently approved a 3% tax on revenues generated by large digital companies in its territory, a move that is now being investigated as a potentially unfair ...
Tax no more |India Today Insight  India TodayThe government's challenge is to pump up falling tax revenues, fulfil its promise of lowering corporate tax rates and spur spending in a slowing down economy.
Surcharge hike: Will the rich outsmart the taxman?  Economic TimesThe super-rich in India are racking their brains to figure out ways to soften the blow dealt by New Delhi's decision to impose a stiff surcharge on their income tax.
Stressed India Inc’s corporate tax outflows grow faster than profits  The Financial ExpressSeveral factors have been behind the government raking in higher taxes from a stressed Corporate India.
Who can claim credit for state and local taxes paid in a foreign country  LivemintA taxpayer can choose to be governed either by provisions of the tax treaty or by the domestic tax law to the extent more beneficial to him.Under the tax credit ...
Higher taxes on the rich, but low returns for the Union government  LivemintThe govt expects the additional revenue from the increased surcharge on individuals at just ₹2724 crore.On Friday, finance minister Nirmala Sitharaman ...
After U.S. Tax Overhaul, Corporate Rates Fall but Unevenly  The Wall Street JournalThe U.S. tax overhaul has lowered tax rates for many companies, and many others that were already toward the bottom of the scale have been able to stay there ...
This is how much income tax you're paying to your state  CNBCHello, New York! The Empire State is home to some of the highest income taxes in the country. It collected $2249 per capita in individual income taxes in 2017, ...
Why new tax surcharge has stunned foreign portfolio investors  Economic TimesThe business entities known as Association of Persons have been stunned by new surcharge.
Penalty for late filing of Income Tax Return  MoneycontrolThe last date for filing of returns is July 31. For 2018-19, the last date filing Income Tax returns was extended to August 31, 2018. If you fail to file your returns by ...
ITR filing: Over 1.46 crore income tax returns filed already; here's how you can choose correct form  Business TodayFiling ITRs is mandatory for all Indians, including NRIs, with a total income of over Rs 2.5 lakh. The threshold for senior citizens (above 60 years) is Rs 3 lakh ...
Christian family fined after arguing taxes 'against God's will'  BBC NewsA Christian family who refused to pay income tax because it went "against God's will" have been ordered to pay more than A$2m (£1.1m $1.4m) to Australia's tax ...
Special privileges, recognition for top tax payers, suggests Economic Survey  LivemintEconomic Survey said that research across countries has highlighted that tax evasion is driven significantly by tax morale.Expedited boarding privileges at ...
Why high income tax rates are so unjust in India - Govt's justification  Economic TimesIt's true, there are countries where the super rich pay even higher taxes than they do in India.The government used this to justify the higher taxes that those ...
People angry over rising inflation, heavy taxes in PoK  India TodayPeople in Pakistan occupied Kashmir (PoK) are facing immense difficulties due to the consistent increase in inflation rates and heavy pay taxes implemented by ...
Budget 2019: Surcharge rate on income tax increased for super-rich  LivemintCurrent highest rate of applicable income tax rate is 35.88%.Surcharge which is charged over and above the tax amount has been increased for those earning ...
FM Nirmala Sitharaman shrugs off pleas by FPIs on super-rich tax  LivemintFinance Bill amendments propose further tax relief for startups, NBFCs.Finance minister added more safeguards against tax evasion in the amendments to ...
Opinion | How we could improve tax compliance behaviourally  LivemintIn the 2019 Union budget, finance minister Nirmala Sitharaman increased tax rates for the super-rich. She is hoping that increasing tax rates would ...
Tax saving options under section 80C: Features explained  Economic TimesYou can save tax if you understand how these tax saving options work.
Verify pre-filled data carefully before filing tax  LivemintPre-filled information is only available for those filing their tax on ITR-1 or ITR-4 completely online using the income tax department's e-filing website.The form ...
Changed jobs? Report all salaries and pay taxes  MoneycontrolTax return filing may be relatively complex in case you have changed your job and have worked with more than one employer during a particular financial year ...
Buyback tax: A loophole fixed or an anomaly made worse?  LivemintIn the past three fiscals, Indian firms bought back shares at an average rate of ₹47800 crore.
Govt widens scope of direct tax code to make compliance easier for taxpayers  LivemintNEW DELHI: The government on Wednesday widened the scope of a new direct tax code that is on the drawing board to make compliance easier for taxpayers, ...
Budget 2019: Is it feasible to reintroduce inheritance tax in India?  India TodayNoted economists feel that it would be a good idea to reintroduce such a measure in the wake of lower tax collections and need for higher spending in the social ...
France tech tax: What's being done to make internet giants pay more?  BBC NewsFrance is to become the first country in Europe to introduce a tax on tech giants like Facebook, Amazon and Google. The move has upset the US. So how does it ...
No More Deals: San Francisco Considers Raising Taxes on Tech  WIREDAt a recent postmortem for the so-called Twitter tax break, the divisive San Francisco policy that drew tech companies to a beleaguered stretch of downtown, the ...
GST Council to meet on July 25 to decide on tax cut on EVs  YourStoryThe GST Council, chaired by Finance Minister Nirmala Sitharaman, will meet on July 25 and decide on lowering tax rates for electric vehicles, officials said.
America needs to see Amazon’s tax returns  The VergeTax law keeps us from knowing what Amazon's tax bill really is — even as politicians like Joe Biden, Elizabeth Warren and even Donald Trump call out the ...
NHAI plans land appreciation taxes to finance projects  Economic TimesNHAI is working on a mechanism to share gains in land value on account of upgradation of highways.
How NDA has failed to end tax terrorism, legacy problems  The Financial ExpressThe NDA thanks the tax payers in the budget—never the case with the UPA—but the rest of the treatment remains almost the same.
Sensex plunges further as super-rich tax on foreign trusts stays  LivemintIndian markets on Monday fell another 1% after to hit a *fresh* two-month low as investors were disappointed after the government refused any respite to foreign ...
At 48.3% in 2018, corporate taxes in India among highest in the world  Business StandardCorporate income tax in India is among the highest in the world, with the tax rate growing steadily in recent years. Of the 94 jurisdictions covered by the ...
One-Time Amnesty Scheme in Making for Old Income Tax Cases Worth at Least Rs 8 Lakh Crore  News18A one-time amnesty grant for legacy income-tax disputes worth at least Rs 8 lakh crore may be in the works, according to sources. They speculate that a ...
FY19 gross tax to GDP ratio dips to 10.9% on shortfall in indirect tax revenue  LivemintNew Delhi: The gross tax to GDP ratio declined to 10.9 per cent in 2018-19 as indirect tax revenues fell short of budget estimates by about 16 per cent, due to ...
Foreign-Owned Banks’ Results Could Sweeten Further Under Tax Law  The New York TimesWASHINGTON — President Trump's tax cuts have been very good to big banks. For foreign-owned banks, they could get even better. The cuts allowed ...
Beware. Other Nations Will Follow France With Their Own Digital Tax.  The New York TimesLast Thursday, the French Senate passed a digital services tax, which would impose an entirely new tax on large multinationals that provide digital services to ...
No change in dividend distribution tax  Economic TimesFinance Secretary Subhash Chandra Garg on Friday ruled out any change in the dividend distribution tax, but expressed flexibility that grandfathering tax on ...
Back-to-School Sales Tax ‘Holidays’ Lure Shoppers Despite Slim Savings  The New York TimesPeople who won't walk across the street to save $5 on a pair of pants will take a day off from work to take advantage of a sales-tax holiday,” a tax expert said.
PF withdrawal is tax-exempt once you complete 5 years of continuous service  LivemintThere should not be any gap in contribution to PF to avail of the continuous *service* clause.If an employee finds another job and the total PF balance is ...
Luxury realty braces for impact from higher taxes on ultra-rich  LivemintDevelopers are concerned that the tax rate increase may lead to buyers holding back on buying luxury homes.The cocktail of tax increases, glut in supply and ...
Explainer: Will taxing the super rich affect foreign investment inflows?  India TodayIndustry experts say that new tax regime for the rich could make India uncompetitive and expensive for foreign investors.
Fewer taxes, more to spend, say millennials  LivemintMost 23-38-year-olds save little after paying rent, taxes and EMIs and spending on eating out, shopping.India's 440 million millennials saw little relief as prices of ...
Foreign investors' lobby group asks India to reconsider high taxes  MoneycontrolForeign investors are urging India to reconsider its decision to increase taxes on certain groups of wealthy portfolio investors, arguing the move will hit the ...
'Inadvertent Omission' Denying Delhi Rs 6,500 Crore in Central Taxes: Kejriwal  The WireIn letter to Union ministers, the Delhi CM urges a return to pre-2000 mechanism of computation of UT shares and seeks Central grants for Delhi's local bodies.
No relief from super-rich tax for FPIs structured as trusts: Sitharaman  Business StandardForeign portfolio investors (FPI) functioning as trusts in India will have to pay the tax surcharge proposed in Budget, said Finance Minister Nirmala Sitharaman ...
Democrats' SALT tax-deduction repeal would benefit the rich: opinion  Business InsiderDemocrats are pushing for a repeal of the cap on the state and local tax deduction, but a repeal would be a handout to wealthy taxpayers.
ITR Filing: Good News! Income tax return filing process simplified; Big relief in LTCG from CBDT  The Financial ExpressHow to file income tax return: Reporting LTCG details while filing the income tax return (ITR) for the assessment year 2019-20 has now been simplified.
Wealthy New Yorkers are ditching city's high taxes for Miami  New York Post Affluent New Yorkers, distressed by recent changes to the nation's tax laws, are bucking the New York's high costs and heading to Florida's Miami-Dade County ...
If you miss to file return by due date, you will be penalised, even get jailed  LivemintGiven that the deadline to issue Form 16 was extended till 10 July, the last date for filing income tax return (ITR) for FY18-19 may get extended well beyond 31 ...
Have NDA’s tax reforms been counterproductive?  LivemintWith tax revenue collections falling short of budget estimates, there is a need for the govt to reconsider its ambitious targets and reform the tax system.
Paying rent or letting out your place? Know the tax treatment on house property  MoneycontrolThe annual value of a house property is the amount of rent which it is reasonably expected to earn.
3 tax-planning lessons from Joe Biden's tax returns  CNBCFormer Vice President Joe Biden takes the stage for the second night of the first Democratic presidential debate on June 27, 2019 in Miami, Florida.
Keep your date with filing income tax returns  MoneycontrolWith the Income-tax Return (ITR) filing deadline fast approaching on July 31, 2019 [for individuals not subject to tax audit provisions under the Income-tax Act, ...
As Nations Look to Tax Tech Firms, U.S. Scrambles to Broker a Deal  The New York TimesThe proposed levies on firms like Facebook and Google are pitting traditional allies against one another and threatening to set off a cascade of tax increases ...
Govt’s new buyback tax set to hit MF investors, shareholders alike  LivemintThe new buyback tax coupled with dividend tax may lower the return from various equity investments.Investors should keep a close eye on how companies and ...
Budget 2019 | Wealth tax buzz is back. Is it high time to tax the super rich?  Moneycontrol.comThere is a lot of talk swirling around the need to reintroduce wealth tax. Since there is an absence of a universal social security cover, taxing wealth additionally ...
Selling inherited gold? Income tax rules you should know  LivemintIn India, no income tax is levied on inheritance of gold but subsequent sale of the inherited gold is taxable.Taxpayers should maintain the documentation on ...
Is it viable to reintroduce estate tax in the upcoming budget?  LivemintAhead of the Budget 2019, there is speculation that the govt may reintroduce estate taxes in order to enhance tax revenue.Ashwini Kumar Sharma asked 4 ...
Corporate Tax Rates: How Low Can You Go  International Monetary FundBy IMFBlog. In life, two things are certain: death and taxes, the saying goes. Unless you are a large multinational corporation, in which case, maybe not. Over the ...
View: If it moves, tax it. That's desperate, India  Economic TimesBy Andy Mukherjee Desperation is creeping into India's economic policy-making. Having lost the fiscal plot, bureaucrats are trying to marshal resources by ...
Income tax return filing: Here's your step by step guide  Economic TimesJuly 31 is the last date to file your income tax return (ITR) for FY 2018-19. By filing your ITR on time, along with certain benefits such as carry forward of losses, ...
What are CPSE ETFs? You can soon save taxes by investing in them  LivemintMumbai: You can soon save taxes by investing in Central Public Sector Enterprises (CPSE) exchange traded funds (ETF) as the government is set to introduce ...
Budget 2019 analysis: What income tax changes mean for you  Economic TimesHere is a look at the tax proposals announced in both the budgets and their tax impact on your pocket.
Google, Facebook made Rs 10,000 crore; paid Rs 200 crore as tax in India  Business StandardWith many nations across the world planning to tax digital companies that derive significant revenues from their citizens but pay taxes elsewhere, the Modi ...
Pakistani businesses on strike over new IMF backed taxes  Economic TimesHundreds of thousands of Pakistani businesses are on strike nationwide to protest a new sales tax, which opposition political parties say is being imposed as ...
What the IRS doesn’t tell you about self-employment taxes  MarketWatchMany taxpayers get confused about whether they owe the 15.3% self-employment tax.
What is the last date to file income tax return? - It's not same for all  Economic TimesThe last date to file income tax return (ITR) varies for different categories of taxpayers. For individuals, Hindu Undivided Families (HUF) and those taxpayers ...
Things You Should Know Before Filing Your Income Tax Returns (ITR)  NDTV NewsITR filing: Non-filing of return of income may result in penalty and prosecution, according to the Income Tax department.
Morgan Stanley's rich clients withdrew a surprising amount from accounts to pay their taxes  CNBCWealthy clients liquidate some investments every year to cover their tax bill, so presumably this was higher than what Morgan Stanley has seen previously.
Tax On Super-Rich Decoded: Here's Your Complete Guide To Understanding New Rules  NDTV NewsIncome tax slab: "In view of rising income levels, those in the highest income brackets, need to contribute more to the nation's development," Finance Minister ...
Big U.S. Banks Are Earning Billions. Trump’s Tax Cuts Are Helping.  The New York TimesThe five largest banks in the United States reaped tens of billions of dollars in profits in the first half of the year, thanks in part to a strong economy and to the ...
You Won't Believe How Complex Our Tax System Is -- Here's How to Make Sense of It  Yahoo FinanceGuess which is longer -- the Harry Potter series or the U.S. tax code?
Tax office revokes regulation on income tax to ensure legal certainty - The Jakarta Post  Jakarta PostThe Taxation Directorate General has revoked a regulation on individual income tax to simplify the tax calculation process and ensure legal certainty.
22 States Considered Eliminating the ‘Tampon Tax’ This Year. Here’s What Happened.  The New York TimesMenstrual products are subject to sales taxes in 35 states, and lawmakers' efforts to exempt them have foundered. Now supporters of 'menstrual equity' are ...
Property taxes are doubling in three Utah cities and rising in 56 areas — mostly to pay for teachers, police and firefighters  Salt Lake TribuneBrigham City residents escaped property tax increases for the past 18 years, but they may have to make up for it in a big way. Local leaders propose to more ...
ITR filing date may get extended for AY 2019-20  The Financial ExpressIncome Tax Return e-Filing for AY 2019-20: The due date for ITR filing may get an extension for the taxpayers to file the returns of income well beyond the last ...
Revenue buoyancy in indirect taxes weak, need to cut centrally sponsored schemes, says N K Singh  MoneycontrolHe said the goods and services tax (GST) needs to be watched carefully in the years to come. Compliance needs to be raised and leakages minimised.
Young, mega-rich - and demanding to pay more tax  BBC NewsLiesel Pritzker Simmons is fabulously wealthy. But this member of one of America's richest families is also uneasy about it. "It's time for us who are blessed with ...
Ministers should slap new taxes on second homes and foreign-owned properties  Mirror OnlineTory thinktank Onward is also urging for greater levies on empty properties as part of a range of measures to tackle the housing crisis.
Budget 2019: Sitharaman urged to bring cigarette taxation to pre-GST level  Business StandardThe Federation of All India Farmer Associations (FAIFA) has urged Finance Minister Nirmala Sitharaman to correct an error in cigarette taxation under the new ...
How a Tax Loophole Is Helping Silicon Valley Workers Save Millions  The New York TimesA little-known tax break allows some start-up employees who own company stock to avoid paying taxes on up to $10 million when they sell their shares.
Budget 2019: Income tax collection target too steep, say experts  Business StandardThe income tax collection target was still far from realistic despite the number being revised downwards in the full Budget from the interim Budget projection, ...
Timing plays role in tax on sale of inherited property  Houston Chronicle I inherited my late father's house, which was appraised for $325000, and sold it seven months later for $410000. Will I have to pay capital gains tax?
Facebook answers how Libra taxes & anti-fraud will work  TechCrunchFacebook provided TechCrunch with new information on how its cryptocurrency will stay legal amidst allegations from President Trump that Libra could facilitate ...
Task force on Direct Tax Code to submit report by July 31: FM Nirmala Sitharaman  Economic TimesNEW DELHI: Finance Minister Nirmala Sitharaman on Thursday said that a task force on the new Direct Tax Code will submit its report by month end. The new ...
No Input Tax Credit for GST paid on expenses incurred on promotional schemes, rules AAR  BusinessLineInput Tax Credit (ITC) will not be available on the Goods and Services Tax (GST) paid on expenses incurred towards promotional schemes, an order by the ...
Finance ministry justifies higher taxes for super rich  Business TodayFlights between India, Europe to increase by over 25% from winters: Air France-KLM, Deficient monsoon hits Kharif crops, acreage down 27% so far: Govt, ...
Tax department tightens the noose on offenders  LivemintCBDT's stiffer tax provision will ensure serious offenders can't escape prosecution.The guidelines restrict the number of times a person can file a compounding ...
Opinion | Mitigating tax evasion under GST  LivemintThe present government was instrumental in ushering in two major reforms in India, viz, demonetisation and the Goods and Services Tax (GST). The stated ...
Budget unlikely to up Rs 2.5 lakh income tax exemption limit  India TodayThe current basic income tax exemption limit of Rs 2.5 lakh is unlikely to be raised in the forthcoming full Budget 2019-20, according to informed sources, as the ...
Spooked by 'super-rich' tax, FPIs withdraw ₹7,712 cr from stocks in July so far  LivemintNew Delhi: Foreign portfolio investors pulled out around ₹7,712 crore from Indian equities in this month so far following the 'super-rich' tax announced in the ...
Budget 2019: Will the Banking Cash Transaction Tax make a comeback?  Economic TimesThe government is considering introducing a tax on cash withdrawal on persons who withdraw more than Rs 10 lakh in a year and implement an Aadhaar based ...
‘Tax on super-rich should be seen as small expectation from them to support the poor’  BusinessLineThe tax on the super rich, announced in the Union Budget, is more to say, “can you not share a bit more of the burden to take care of the poor?” This is a small ...
IMF says Pakistan needs to mobilize tax revenue, cut debt  MoneycontrolPakistan needs to mobilize domestic tax revenue to ensure funds for social and development programs, while reducing debt, the acting director of the ...

Income Tax Returns Your Accountant Should Not File

You've been feeling uneasy (perhaps even guilty) because you've failed... Read More

IRS Obtains More Than 100 Injunctions Against Tax Scheme Promoters

The IRS has obtained civil injunctions against more than 100... Read More

Business Tax Loophole: Leasing Assets To Your Corporation

While there are many equally valid reasons to incorporate, saving... Read More

Access to E-records by Taxing Authorities: A Case for Pakistan (Part II)

All tax authorities to e-commerce transactions should investigate the record... Read More

Rental Property Tax Deductions

Own residential rental properties? This article discusses how income from... Read More

Some Folks Pay A Lot Less Tax Than Others On Very Same Income?Did You Pay Too Much Tax In 2004?

Someone once remarked, "Next to being shot at and missed,... Read More

Reducing Taxes Through Dividend-Salary Mix Calculations

Should I take wages or dividends from my privately owned... Read More

I Havent Filed a Tax Return with IRS in Years, What Do I Do?

In elementary school, kids come up with creative excuses why... Read More

Truly Bizarre Taxes: The Tax on Illegal Drugs

One can never underestimate the enthusiasm that politicians have for... Read More

Tax Tips - Which Tax Form Is Right For Me?

IRS Tax forms can be confusing.Am I a 1099 or... Read More

Organizing Your Taxes

Does this scene sound familiar? It's April 7. You haven't... Read More

2005 Ford Escape Hybrid Certified For Clean-Fuel Deduction

If you are environmentally conscious and purchase a 2005 Ford... Read More

Small Business Tax Deduction - Write-Off Bad Debts

Practically every small business has receivables that it cannot obtain... Read More

How to Check the Status of Your Tax Refund Online

So, you were pleasantly surprised to learn that you are... Read More

Euro Tax Haven Threat

Media reporting of a new EU savings tax directive has... Read More

Your IRS Tax Appeal Rights

Are you in the middle of a disagreement with the... Read More

IRS Offer-in-Compromise, Hype or Hope?

"Settle for Pennies on the Dollar! IRS debts settled for... Read More

Tax Tips to Save Money on Taxes - Get the Corporate Kick and Save Loads of Money

Why a Corporation Helps Save You TaxesThe Tax Rates (Notice... Read More

Getting A Second Extension to File 2004 Taxes

Millions of people file tax return extensions every year. The... Read More

How To Get An Instant Pay Raise

As a gentleman was leaving my class recently, he wanted... Read More

Highlights of IRS List of 2005 Tax Scams

Each year, the IRS lists various scams taxpayers get caught... Read More

Taxing Overseas Firms for SOX Compliance

The Sarbanes-Oxley Act, also called the Public Company Accounting Reform... Read More

IRS Reports Tax Gap of $300 Billion

The Internal Revenue Service is reporting that the difference between... Read More

Know A Tax Cheat? Get Paid To Tell The IRS

According to the IRS, taxpayers underpay their taxes by some... Read More

Business Tax Deductions

As we enter mid-March, taxpayers begin to become very interested... Read More