In this article, you can discover:
- When and why to file an IRS tax appeal in South Carolina.
- Common reasons for filing appeals, including disputes over IRS decisions and penalties.
- The importance of compliance and new documentation in the IRS appeals process.
What Is An IRS Appeal And When Might You Need To File One?
An IRS appeal is a course of action you can take if you find the decisions made by the IRS in your tax case unsatisfactory. The circumstances leading to an appeal can vary widely—be it a rejected installment agreement, offer in compromise, or the results of an audit. You can also appeal when a lien or levy has been placed against you. So, if you find yourself cornered by any of these scenarios, filing an IRS appeal becomes an option.
What Are Common Reasons To File An Appeal With The IRS?
Often, taxpayers resort to an appeal because they disagree with the IRS’s decisions. This could relate to the IRS denying their request for an installment agreement or demanding an exorbitant amount of money. At times, the reason for the appeal is a little more procedural; perhaps the taxpayer failed to provide all the necessary documentation during the initial filing process.
Can Penalties And Interest Assessed By The IRS Be Appealed?
Let’s clarify a common misconception: you cannot appeal interest alone. However, penalties charged by the IRS can indeed be appealed through a specific penalty abatement request. Additionally, if you’re contesting an IRS decision that includes both penalties and interest, overturning that decision would result in the reversal of the associated interest and penalties as well.
What’s The Deadline For Filing An Appeal With The IRS After Receiving A Notice Of Deficiency?
The clock starts ticking once you receive a notice of deficiency—you have 90 days to file an appeal with the tax court. During this period, negotiations can still be ongoing with the auditor handling your case.
What Eligibility Criteria Must Be Met To Qualify for An IRS Appeal?
Compliance is key here. Taxpayers must have filed all required tax returns up to the date of the appeal. This is not just a formality; being in compliance is a prerequisite for initiating processes like installment agreements or offers in compromise.
What Documentation Should Be Gathered For The IRS Appeals Process?
The crux of a successful appeal often lies in new, previously unsubmitted documentation. This new evidence aims to sway the opinion of the appeals officer in your favor. In short, always strive to bring something new to the table during the appeal.
How Long Does The IRS Appeals Process Typically Take?
The duration of the IRS appeals process is not set in stone, and much depends on the complexity of your case. Pre-pandemic, the process usually wrapped up within 60 to 90 days. Given the disruptions caused by COVID-19, the timeline has extended, potentially taking up to a year or more.
What Are The Possible Outcomes of An IRS Appeal?
Broadly speaking, the outcomes are threefold: your appeal may be fully granted, partially granted, or outright denied. The quality and relevance of the new documentation you submit will heavily influence these outcomes.
How Can A Qualified South Carolina Tax Attorney Improve My Chances?
Enlisting a seasoned South Carolina tax attorney can be a game-changer in your appeal case. They bring legal expertise, understand the nuances of documentation, and excel in negotiations with the IRS—skills honed through years of professional experience.
What Are My Options If I’m Dissatisfied With My IRS Appeal Outcome?
You have a limited set of options post-appeal. You can either approach the appeals officer’s supervisor—which usually yields little change—or seek recourse in tax court or the Federal Circuit court, depending on the specifics of your case.
Are There Costs To File An Appeal With the IRS?
While the IRS doesn’t charge you for filing an appeal, you’ll need to factor in other expenses. These can include the costs of hiring a professional and gathering necessary documentation.
What Mistakes Should Be Avoided During The IRS Appeals Process?
Stick to deadlines like glue; failing to meet them could result in an immediate denial of your appeal. Also, always ensure that the documents you’re submitting are directly relevant to your case. Irrelevant documentation will only irk the appeals officer and slow down the process.
Are Business Entities Subject To Different IRS Appeal Procedures?
No, the appeal process for both business entities and individual taxpayers follow the same guidelines and land in the same appeals division.
How Does The South Carolina State Appeals Process Differ From Federal IRS Appeals?
The state and federal appeal systems do exhibit differences. South Carolina’s system is a bit more restrictive in terms of what can be appealed. If you disagree with an audit, for instance, you’ll have to file a formal protest and your case will be directed to the administrative law court for trial.
For more information on Filing An IRS Tax Appeal In South Carolina, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling (864) 271-7940 today.