Success Tax Debt Settlement in Appeals

The taxpayer had been let go from his job of several years. He had turned down the offered severance package and filed suit looking to secure the benefits he deserved after serving so many loyal years to the company. Unfortunately the suit did not pan out how the client had intended, and resulted in a lesser severance, which he was then taxed on, in full. He and his spouse were unable to pay the balance due, resulting in a $10,000+ balance due to the IRS.

After officially retiring, and having to take a reverse mortgage on their home, the taxpayer's did not have the funds to pay the outstanding balance to the IRS. They sought the assistance of Dickmann Tax Group to negotiate a tax debt settlement on their behalf. Throughout the course of the case, the associate team was able to prevent aggressive action by the IRS (such as a garnishment against their retirement benefits, or levies against their bank accounts). The associate team presented an Offer in Compromise tax debt settlement to settle for $100, based on the severe financial hardship demonstrated.

In an uncanny act, the IRS initially rejected the settlement, claiming the taxpayer had an ability to full pay the debt from equity in their home. Knowing better, the associate team filed an appeal against this claim, citing there is no equity available in a reverse mortgage, and stressing the hardship against the retired taxpayer. In doing so, Dickmann Tax Group was able to secure an accepted tax debt settlement of $100 against the clients debt. With this matter settled the clients are able to focus on relaxing in their golden years, without fear of enforcement from the IRS.

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