|
_
 IRS AND FTB AUDIT, COLLECTON AND APPEALS TAX HELP
Welcome
to my website. I
recently launched a new, more user friendly (and more modern)
website:
www.dicknortontaxes.com
If you are viewing this website on a mobile
device, you definitely want to visit my new site for easier navigating.
The rest of you may also want to go there as well. Please update
your bookmarks to my new site as this site will be deactivated at some
point in the future (the URL will be pointed to the new site).
OK -
let's get down to business. First and
foremost, I am a retired IRS Associate Chief of Appeals -
offering my assistance to clients in matters of representation (audits,
collections and appeals) for IRS, FTB, and other agency tax audit
and collection actions, consultation, personal income tax preparation,
and litigation support (expert witness). I spent 34 years in
the IRS working in the collection, examination, and appeals functions.
In my experience, only a small percentage of tax professionals possess such
comprehensive inside the IRS experience.
My main office is in Santa
Clarita (aka Valencia), CA. I relocated here in 2022 after
residing in Burbank, CA for over 50 years. I meet with clients
from all of the surrounding areas - such as Glendale, Pasadena, Van
Nuys, North Hollywood, Los Angeles, and other cities within commuting
distance of Santa Clarita. However, with today's technology, I am
able to assist clients regardless of where they live and work with
representation for tax audits, collection and appeals matters - as well
as personal income tax return preparation and consultation. I even
have international clients - my furthest today being in Oman.
There is a lot of information I
am sharing here
to hopefully answer most of your questions about federal and state tax law and procedural administration and
enforcement, and what I can offer you in the way of tax help and guidance to
get you through a tax controversy with the least amount of financial
consequence and emotional stress! This is your one-stop for IRS
tax help and FTB tax help!!
As a United States Treasury licensed Enrolled
Agent (EA) and Federally Authorized Tax Practitioner (FATP), it is my objective to provide you with valuable information about my background,
my unique qualifications, and
the types of tax resolution assistance and other tax related services I offer.
I have included some important
self-help links as well as technical discussions
on important tax issues.
Regardless of your tax controversy, you can have confidence that I have
the experience and knowledge to get it
resolved. I have a network of specialists who can assist in
bankruptcy (if that is a viable option) or litigation in Tax Court or
District Court if that is necessary. Most importantly, the sooner you get help, the less complex and costly will be
the resolution of your controversy.
Please be responsive if you receive a notice
or letter from the IRS, FTB or other state tax agencies. The IRS
sends out two very serious notices -
CP504 and Letter 1058 (or its other version - Notice LT11).
These notices have specific time frames within which contact should be
made with the issuing IRS office or specific employee to preserve opportunities for appealing the proposed enforcement
action.
(This section for
my clients contains copies of newsletters, highlights of tax law changes,
and other items)
_____________________
CLICK ABOVE IMAGE TO PLAY INTRODUCTION
VIDEO
____________________
Click on the image above to visit the Blog
Tax Practice Areas
The four broad categories
of services that I offer are:
-
Individual Tax Return Preparation
-
Tax Controversy Resolution (providing
irs tax audit representation, or resolution services
relating to an IRS tax audit, collection enforcement, or
pursuing an appeal of such matters).
-
Tax-matters Consultation
-
Expert Witness
and Litigation Support
You can read more
about each service I offer by selecting the relevant menu option above.
|
Who are Enrolled Agents?
Enrolled Agents (referred to
as EAs) are the only professionals who receive their
right to practice before the IRS directly from the United States Government. Only
Enrolled Agents must prove their competence in matters of federal taxation
to the United States Treasury Department. Individual states license certified public accountants
(CPAs) and attorneys and, therefore, their licenses are state specific. Unlike
attorneys and certified public accountants, who may or may not choose to
focus on taxes, most all EAs focus their practice on tax return preparation,
and a smaller number on providing IRS and state agencies tax resolution services.
|
The
2023 filing deadline is over.
If you filed an extension,
remember that the extension was solely for the physical filing
of your tax return. Any estimated balance of tax due per your return
should have been paid by April 15th. If you did not make a
payment of the estimated tax due, I recommend you do it as soon
as possible to minimize the further accrual of interest and the failure to pay penalty.
Currently, that total averages about 14% a year - not a
bargain! If you did not obtain a timely extension, and
still you have not
filed your return, please do it as soon as possible. You will
be assessed a late filing penalty of 5% a month (or
fraction thereof - for a maximum of 25%) until it
is filed. Even if you cannot pay what you
owe, at least file the return to stop further accrual of
the hefty late filing penalty!
Owe a lot of back taxes and plan to take an
international trip?
|
It's imperative to promptly address and settle
your tax obligations if you're considering
traveling outside the United States. Why the
urgency? Well, the IRS has been actively
communicating with the State Department,
prompting them to take action such as denying
the issuance of new passports or renewals, or
even revoking existing passports for taxpayers
with outstanding tax liabilities exceeding
$62,000 in tax, penalties, and interest (as of
2024), among other criteria. Booking a trip
abroad only to encounter the unpleasant surprise
of being unable to leave the U.S. due to a
revoked passport or inability to get a new one
is a scenario best avoided at all costs!
|
|
|
Be alert to fraudulent
contacts by scammers pretending to be IRS employees!
Thousands of taxpayers suffer financial loss and
identity theft monthly when they provide personal and
financial information or make payments to fraudsters!! Most of these crooks use scare
tactics (like - there is a warrant for your arrest, or
they are going to levy (attach) your accounts or salary)
if you do not pay immediately! They often demand payment
by an unconventional method - such as by gift cards or a Western
Union transfer.
Almost always, the IRS's first
taxpayer contact will by letter or notice of a pending
audit or non-payment of a liability. If you have
never received such a letter or notice, then be very
skeptical about an unexpected call allegedly from the IRS!
Bottom line - if you are surprised by a
call from someone alleging to be from the IRS, get their
name, employee number, title of their position, their office address,
and their contact phone number - then tell them you will
call them back after you have verified their information.
You can then call the IRS at (800) 829-1040 and the employee
can confirm whether or not you should have received the call
and verify the employee information. If you cannot get
through to the IRS, then you can call me with the
information and I will check it out through my sources.
|
NOTE - You will need the access code to download one
of the organizers - contact me if you forgot it!
There are only
left until the 2024 return filing deadline!
Communicating with the IRS or State
Tax Agency Employees
Taxpayers need to exercise care in deciding
whether or not to personally talk with IRS or state tax agency employees. In the worst case
scenario, making the wrong statement could
turn what should have been a civil resolution into potentially a criminal
tax matter. IRS Agents are well trained to look for "badges of fraud" in
their audits. Always be truthful in your statements to IRS or state
employees. An intentional false statement or providing fabricated
documents can land you in very hot
water!
|
Should you handle your own controversy
or audit?
|
|
Navigating the IRS and State tax controversy
resolution process can prove challenging. To effectively manage it
alone, a taxpayer would need to invest substantial time delving
into the nuances of the Internal Revenue Code, IRS Regulations, case
law, Rulings, Procedures, and the revered Internal Revenue
Manual (IRM) that dictates IRS protocols. Mastery of tax
strategies for negotiating a favorable resolution would also be
imperative.
Without such dedication, the likelihood of securing
a less favorable outcome increases significantly. In
essence, the financial ramifications of handling a tax
controversy independently could far surpass the expenses
associated with enlisting the services of a tax resolution
specialist, typically an enrolled agent or CPA. These
professionals possess the expertise to procure more advantageous
resolutions. It's essential to note that not all accountants,
attorneys, or enrolled agents specialize in tax resolution
services. It's a distinct field requiring specialized knowledge.
Therefore, if you find yourself embroiled in or potentially
facing a tax dispute with the IRS or a state tax agency, seeking
the assistance of a tax resolution specialist is paramount.
|
When Do You Need Professional Help?
While I generally do
not recommend any taxpayer take on the IRS or a State tax agency on
their own, I am very sensitive to clients with financial challenges and
may be able to suggest ways for them to get IRS tax help and guidance
while reducing their out-of-pocket costs for
tax resolution help. If you feel capable and comfortable with working over the telephone, fax
or mail (or, in rare circumstances - face-to-face) with an
IRS Revenue Officer, IRS Revenue Agent, IRS Tax Compliance Officer (TCO),
IRS Appeals Officer or IRS Settlement Officer, or any other employee
involved in your IRS or California tax audit or collection controversy, then retaining me to hold your hand (which
means that I will be providing you with an
explanation of your options, strategic guidance, review of documents, and
specific suggestions) could
make the difference between the success or failure of your tax resolution efforts!
|
Time if of the essence in dealing with tax issues
|
|
An important note about tax
liabilities
Tax liabilities are almost always
secured debts. A
federal lien arises after demand and non-payment of tax,
including interest, additions to tax, and assessable penalties
(§ 6321 Internal Revenue Code). The lien is affixed at the time the assessment is made
and continues until it is satisfied or becomes unenforceable (§
6322). The lien is not perfected against certain creditors until
public notice is given (§ 6323), but timing of the secured interest still
arises at assessment.
Issues surrounding the priority of liens and competing claims
can be complicated, and advice and/or assistance from an
attorney may be needed.
The services I provide concerning the resolution of liabilities
relate solely to secured tax debts, and all references on
this website related to resolution of Federal or State
liabilities relate to secured tax liabilities.
If you have unsecured debts, such as credit cards or personal
loans, help is available from numerous
attorneys or specialized debt-resolution companies to address
those types of liabilities.
|
Do your homework before selecting a firm to represent you!
I
strongly recommend that you check out any individual or firm BEFORE you
commit to having them represent you. Remember that it is
your life - and your liability!
You can delegate the authority to have someone represent you. But,
all tax agencies will hold you
solely responsible for your tax
liability. Accordingly, you owe
it to yourself to do some checking before retaining the services of a tax resolution
specialist. The Better Business Bureau and Business Consumer
Alliance are two such references. Links to my A+ reviews are at the
bottom of this page.
|
What About an Offer In Compromise (Settling your debt for less than the
face amount)?
There are a slew of media ads on this
topic. Substantial concessions of tax, penalties, and interest by the IRS and state
agencies generally require extenuating circumstances - such as serious
medical issues, advanced age, or actual or projected long-term unemployment by unskilled
individuals. I was the approving official at the IRS for offer in
compromise (OIC) cases in
my jurisdiction for almost two decades, so I have a solid understanding of what is
required to have an offer seriously considered and approved. Your
consultation with me concerning your potential qualification for an OIC
is free. See the consultation page for more information.
|
My Prior IRS
Experience
I retired as the
Associate Chief of the Los Angeles, California IRS Appeals Office
following many years of managerial and technical positions in
the IRS Appeals, IRS Examination and IRS Collection functions. There
are a limited number of other practitioners
who possess such experience. As evidence of my success and recognition while working for the IRS, I was
honored to receive the National Appeals Manager of the Year award before
retirement.
As you would
expect, my
extensive knowledge of IRS policies, procedures and practices has proven
invaluable in helping me to resolve my clients' tax
issues. In fact, I often provide guidance or services to other tax professionals who
are facing challenging technical or procedural issues for their clients.
|
Tax Topics
Do you want to know more
about the new rules for employee unreimbursed business expenses?
Are you interested in finding out if you would qualify for an Offer in
Compromise? Do you believe that you may be an "innocent spouse" and
therefore, not liable for a portion of a joint deficiency with your ex-spouse?
What are the rules for paying the "nanny tax?" Do you have some other tax
question for which you need further information?
There is a large section of
this web site devoted to addressing these and many other recurring tax issues of
interest to most individual taxpayers. In addition to the above
items, topics addressed include Collection Due Process procedures, installment
agreements, contributions of property (you most likely have heard all of the
radio ads advertising large deductions for donating your car that needs repair
and cannot be sold ... be careful on this one!!.) - and the list goes on.
If you are interested in reviewing the index of topics, click
the Tax Topics button on the index bar.
|
Assuming you are not a referral from
one of my current or former clients, it can be reassuring to hear from
former clients. Below are several client reviews that are on Yelp and
Linkedin that
I will share with you. I encourage you to check out the BBB and other sites
which should help you have confidence in my ability to address and resolve your
tax related issues.
Dick
Norton, EA, FATP
Tax Resolution Specialist
|
Nothing on this website
is intended to be specific tax advice for you, the reader, and cannot be
relied upon for the purpose of avoiding any penalty that may be imposed
by the IRS or any tax agency. The material on this and all
other pages of this website is provided for informational and
educational purposes only. I
do not
guarantee or warrantee in any manner the suitability, usefulness,
accuracy, timeliness, or results of any portion of this site, nor the
links contained in this site which link to other areas. At times,
information is taken from other sources and is believed to be accurate,
but no verification or confirmation is performed. Tax law is a very complex subject.
Any tax opinion upon which you may rely requires the careful and
thorough analysis by a tax professional of the specific facts of your situation and the
applicable legal statutes. If you need specific advice, then you should
request formal tax consultation as its purpose is to provide you with guidance for your
specific tax issue or question upon which you can rely. |
|
