Collection due process hearing

[TAX SURGEON]

I would like to know what all this hearing consist of and what form is used to file for a hearing @ office of appeals


Thank You

Jim Curley

[taxmandan]

Form 12153 is the CDP request form. Don't have experience with an actual CDP hearing so can't help you there.

[DaveO]

The hearing will be over the phone. Once the 12153 is accepted you will get a letter advising you of what office has the hearing. You should get a followup letter advising you of the date and time of the call. You will need to have whatever documentation you are going to rely on ready to FAX and any code sections and/or court cases on which you are basing your appeal at hand. You will be given a chance to explain why your client doesn't owe the tax or why the penalty should be removed or whatever other issue you are appealing.

[Koss]

CPD Hearing

I don't have much experience with these, but I do know that even when the tax liability is not in dispute, the hearing can sometimes be an effective way to stop a lien or levy, by negotiating collection alternatives, such as an offer in compromise or an installment agreement.

In more extreme cases, you can also argue that the taxpayer simply cannot pay, and that a lien or levy would cause undue financial hardship. But before you make that kind of argument, you need to be familiar with the relevant criteria and definitions.

If you prevail on this kind of argument, the IRS may simply put the tax in a "currently not collectible" status.

BMK