Incorporating can Help with IRS Tax Issues and Addressing an Offer in Compromise

Incorporating can Help with IRS Tax Issues and Addressing an Offer in Compromise

Frequently I am invited in to address a tax situation where a taxpayer has either filed their own tax returns or has a CPA who has not yet addressed all of the tax nuances associated with not using the best entity choice for their business to this end I focus on in the Initial Meeting, preparation and forwarding of Power of Attorney, forwarding of rules to submit and Offer and Compromise and tax savings of incorporating your business as an S Corporation. For tax and legal protection issues I would suggest setting up an S Corporation for their business ASAP, as all of the tax savings and liability protection is prospective and not retroactive. Also, it is prudent to also address and correct what is the cause of a tax problem and not wait for a situation to worsen. To read more about how being an S Corporation can benefit your business review the article and example at http://www.hiscpa.com/article2.html  Having served as a CPA in Atlanta for decades the failure to incorporate is perhaps the most common error business owners fail to consider as they begin their new company.

Also then we look to help taxpayers gain a feel of the depth and responsibilities of submitting an Offer of Compromise that the IRS is able to both process and accept. To this end we spend substantive time, on the front end to ensure that taxpayers have a sense and feel of the Offer acceptance process and what is needed at each step of the way. To learn more about IRS/Tax Representation Issues and an Offer in Compromise visit http://www.hiscpa.com/irs-representation.html

While there may be those who require a $5000 retainer up front before any work is done, I feel that it is in the best interest of the client especially to only bill for work as it is incurred. This keeps both parties involved and with a vested interest in the process. I do this not because I do not trust myself, but because it is fair and it is incumbent upon us call to practice the Golden Rule. To that end I work to ensure that clients understand that only a Offer in Compromise should be submitted to the IRS if the CPA feels that you are an candidate for an Offer in Compromise. If you are you will want to work together to ensure that you have a firm understanding of the fees to be incurred, the length of the process and the hourly rate to be incurred. Our goal in all such sensitive client situations should be and remains that there should be a goal of no surprises. Though each and every Offer Process is unique and different as the IRS requires varying documents along the way, however the taxpayer should be prepped and ready, just as a good witness, to know what to anticipate and expect.

John Dillard is an Christian Speaker/Author and Certified Public Accountant. To See how he takes Christ along with him to work visit http://www.hiscpa.com/  and for his latest book Overcoming Life's 9/11's: Job's Journey visit http://www.john-dillard.com/  

Dare to Attempt Something so Great for the Kingdom of God that it is doomed to failure, lest Christ be in it!