Tax Problems

We Help Troubled Taxpayers

Cunningham, Malone, and Morton (CM&M) has been helping clients resolve tax issues with the IRS since 1996. After decades of experience, we know that IRS tax problems rarely go away by themselves.

Problems with the IRS can be costly, time consuming and incredibly stressful, especially if you aren’t in the business of understanding tax law.

When you have problems with the IRS, call on us. Depending on the situation, we can usually find a solution that will relieve stress and likely reduce some of your tax burden.

We can act on your behalf and stop or prevent the IRS from contacting you personally. We can also negotiate payment agreements and, in certain circumstances, we can even reduce the total debt owed. We understand the tax code, talk the language the IRS understands, and have years of experience successfully negotiating relief for our clients. We are the only accounting firm on the North Coast with the training and expertise to argue your case in front of the U.S. Tax Court, if that is your best alternative.

 We can help with Tax Problems, such as:

• IRS Audits 
• Non-Filed Tax Returns
• Back Taxes Owed
• IRS Liens
• IRS Notice of Deficiency (90-day letter)
• IRS Seizures and Levies
• IRS Wage Garnishment/Payroll Tax Problems
• Bankruptcy
• Innocent Spouse relief
• Getting a copy of your IRS file
• U.S. Tax Court Appearance

Our solutions can include:

• Payment Plans  
• Offer in Compromise 
• Currently NonCollectible Status 
• Penalty Abatement 
• Bankruptcy
• Innocent Spouse Relief
• Levy & garnishment releases 
• Filing of past due tax returns
• U.S. Tax Court Representation

First, we listen. When we meet the first time, you give us the background of your problem, including the financial impact from your point of view. We listen and ask clarifying questions.

Then, we talk about what we might be able to do for you. We will talk about possibilities, but we can’t make a realistic plan of action until we have done some research.

Then, you make a decision. If you decide you want us to go ahead with the research, you will leave a $1,500 deposit, and sign an Authorization that allows us to get your information from the IRS. You will probably leave with our request for additional financial information.

Our next step is to contact the IRS for your account data and, if necessary, execute a Freedom of Information request. As long as you are current on filing your taxes (even if you still owe money), we will use this preliminary information to analyze your situation and develop a reasonable plan of action. Once we have that, we will contact you for a second meeting.

If you are caught in the cycle of not filing your tax returns year after year, either because you don’t have the money you owe or because you just are afraid of what might happen, you aren’t alone. 

The situation is serious, however, and the amounts owed can only go up if you continue to avoid filing. Between now and the time the IRS finds you, the interest and penalties will keep accruing, and criminal prosecution is a possibility. Although there is a statute of limitation on some taxes owed, there is no statute of limitations on non-filed tax returns.

There is no time like the present to fix this by getting current on your taxes. If you voluntarily file your delinquent returns, you are likely to avoid further problems other than having to pay the interest and penalties.

If you don’t file your taxes yourself, the IRS might file them for you. If that happens, be aware:

1. Your return will be filed in the best interest of the government;
2. The return will include little or none of the deductions you are entitled to;
3. You will receive a form letter giving 90 days to accept their calculation of your taxes (usually without deductions); and
4. If the IRS files for you, you cannot have the tax discharged in bankruptcy.

If you have questions about getting current, give us a call.

We know how to negotiate with the IRS. Our tax experts work to get you back into good standing with the IRS and help reduce taxes, fees, and/or penalties, through solutions such as offer in compromise, penalty abatement, and payment plans. In some instances, we can negotiate no payments for a period of up to a year under a program called currently non-collectible status. We can also help you evaluate whether bankruptcy is a viable option.

We can help once your returns are filed. (Even if you still owe back taxes.) You can file your past returns yourself or ask us to do it. (See Section on filing past due tax returns.) Once filed, we can set a plan of action.

If you haven’t filed your taxes, the IRS may send a statutory notice of deficiency (a 90-day letter) stating what they think you owe. You have 90 days to agree with the letter or take action to negotiate some other amount. If you don’t file a petition with the Tax Court for an adjustment within that time, their calculations become permanent.

Petitions and negotiations can be tricky, especially when constrained by this 90-day limit. If this happens to you, our tax experts can file the petition and appear in Tax Court on your behalf.

The IRS can seize the things you own (boats, cars, and houses) or place a levy against other assets like bank accounts and wages. When they do, they can take property worth more than you owe them because the IRS sells it at auction at a reduced price.

If the IRS has seized your property or placed a levy on your assets or wages, call us right away. If you told them already that you don’t have the funds to pay the taxes, we may be able to get the levy released. If you have already agreed to a payment plan and they take more than the payment owed, we can usually get the difference back. We can also use other options, including offer in compromise, penalty abatement, and payment plans.

We will work with you to find the best possible solution to your tax problem. Our goal is to make a plan to set you free from IRS debt and harassment. There are a number of possible solutions, depending on your situation. They include:

•             Payment Plans
•             Offer in compromise
•             Currently NonCollectible Status 
•             Penalty Abatement
•             Bankruptcy
•             Innocent Spouse Relief
•             Levy & garnishment releases
•             Filing of past due tax returns
•             U.S. Tax Court Representation

If you cannot pay your past due taxes (for instance, because of health issues or loss of a job), we may be able to negotiate a temporary delay of up to a year. In that time, you don’t have to pay, but interest will still accrue. We can keep monitoring the situation on your behalf, and, if necessary, file another request for a delay if your financial situation is the same or has worsened. 

If you don’t qualify for the offer in compromise program or the non-collectible status option, a payment plan may be the best way to resolve your problem.

We can usually negotiate installment agreements no matter how much you owe. Some situations also allow for streamlined agreements with little or no documentation required. We can also combine these payment plans with other programs such as penalty abatement, decreasing your overall amount owed. Interest will always continue to accrue on the remaining balance, however, as you pay the debt off.

If your spouse or former spouse committed fraud or other misdeeds, you can get out of that tax debt. Innocent Spouse Relief was designed to alleviate unjust situations where one spouse was clearly the victim of fraud perpetrated by their spouse or ex-spouse.

If you qualify for Innocent Spouse Relief, you may not owe any tax. Please contact us to see if you qualify for this program.

Understanding the whole picture is key to the best solution when dealing with tax problems. Getting a copy of your IRS file is always a good idea, particularly if one of our tax experts is working with you. We can get your IRS file without sending up any red flags, and can help interpret the information and analyze options. Contact us by phone at 441-1111 or via this website.