Extension of Time

PREP STEPS FOR TIME EXTENSION

You may need an extension to respond to the IRS so you can get your documents together or for other reasons. Whether IRS will agree to an extension is another matter. It often depends upon which division within the IRS you are making the request & what IRS procedure you have against you.

Math Error

If you have received a Math Error letter you can call the  IRS number shown on the letter & request an extension. You must tell them why you need an extension & demonstrate to them what you are doing to respond as quickly as possible.

If you don't ultimately respond timely & correctly the IRS will simply process the case & send you a Notice of Adjustment.

You must give the IRS exactly your facts & evidence so they accept your return without question. Now is the time to make your arguments & show your correctly organized case. An attorney can be valuable guidance.

Audit

Extensions you request: If you are in an IRS Audit the agent will expect compliance. They do grant short extensions but are not willing to wait too long. Tell the agent why you need an extension and how long it will take for you to comply. They will allow you time to seek legal advice.

Although IRS agents can issue a Summons to compel compliance, they usually do not. Instead, they simply deny you all deductions & send you a Form 4549.

Extensions the IRS requests of you: Given that the IRS often audits several years simultaneously, they frequently have less time remaining on the statute of limitations in older years than in more recent years. Therefore, they will ask you to sign a Form 872 for income taxes or a Form SS-10 for employment taxes. They even have Publication 1035 which explains their point of view on the matter.

However, we usually do not grant extensions of time to the IRS. Since their only option is to deny all deductions and send a 90-day letter, we feel it is best to force them to reveal the most important issues and then we can pursue the case in Tax Court, a much better forum.

Collections

If you have IRS Collection troubles, it depends on which IRS office is involved & what process is being used. If you have only received a bill from the IRS you can call them. They will either set up a payment agreement or set deadlines for you to comply to financial requests.

But they really don't have any enforcement power against you until a Notice of Intent to Levy  is issued. After that, extensions are more difficult to obtain.

If a local IRS revenue officer is involved, the case is more serious & you should consider hiring a tax lawyer. Nevertheless, they will expect strict compliance & will issue levies if you don't comply.

Plus, they might issue you a Summons and refer it to US District Court for a contempt warrant if you don't comply.

You may be tempted or advised to pursue an Appeal, such as the Collection Due Process Appeal  to gain extra time. Be careful, because those types of Appeals enlarge the statute of limitations.

Each situation and each agent is different so it's best to request an extension & then get some legal advice from the TaxHelpLaw attorney before going to speak with the IRS.

We'll prepare an Action Plan for you that's specific to your needs & circumstances.

*Wage & Income Transcripts are computer-generated IRS records about you from your job, your bank, your mortgage company, etc. Your Account Transcripts show the details of your IRS account. If you are too nervous about calling the IRS just bring what you can and come in. If you call, the IRS may be stern but don't worry, you need your Wage & Income Transcripts & your Account Transcripts. Tell them you are not yet ready to talk and need the documents to get legal advice. Don't Argue!!