JoshDom1898
Member
What administrative actions need to be taken before initiating a lawsuit?
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Can you Sue the IRS
- Thread starter JoshDom1898
- Start date
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It is difficult to provide advise in this forum on collection matters because there is so little precision and understanding of basic terms. Taxpayers tend to use terms interchangeably such as: lien versus levy and settlement versus agreement. Further complicating matters is taxpayer's confusing facts. Add a third party in the middle and advice on here can be rendered useless. However, the advice to get a professional experienced in IRS collections on this case is a good one. I can almost certainly assure you that the facts are far from what you have been told or understand.
Isn't that sort of BESIDES THE POINT? If she inherited $200k and owed money to the IRS for a legitmate tax debt(s), then it seems to me she should be HAPPY they're taking the money to pay off her debts.
Now, if you're telling us the debts were all already paid and then the money was frozen anyway, that's a different story. It's also certainly not outside the realm of possibility that the BANK is responsible. Even though a levy is only supposed to be for a fixed amount, don't be surprised if the bank messed up especially if they didn't get a timely release of levy.
JoshDom1898
Member
Actually I don't believe it's besides the point, since the original question was how to get her out of this...
And to your other statement, as I said earlier, the 200k was deposited, her account frozen (or a levy was placed on it). She paid the IRS what they said she owed, signed a release and left. Now they say she owes more and won't release the funds.
This is not a question of whether she owes the money or not, we know she owed it. We're saying she paid it when the deducted it from her account, now release the rest of her money based off the release.
And to your other statement, as I said earlier, the 200k was deposited, her account frozen (or a levy was placed on it). She paid the IRS what they said she owed, signed a release and left. Now they say she owes more and won't release the funds.
This is not a question of whether she owes the money or not, we know she owed it. We're saying she paid it when the deducted it from her account, now release the rest of her money based off the release.
Please don't post again until you can explain what she signed. When a tax is paid or a levy released or just about everything else related to this, taxpayers do not sign anything. The IRS may sign a release but taxpayers have nothing to do with it. You have no business trying to help. Get her real help.
Did you miss the part about CHECKING WITH THE BANK?
Amen.
LdiJ
Senior Member
He did say that she had a tax attorney, but there was some concern that the attorney wasn't doing the job properly or was stretching it out to collect more fees.
However I agree, we would have to know EXACTLY what she signed in order to be able to give any reasonable advice.
JoshDom1898
Member
She signed a form 433-D
And to quote irsos:
"taxpayers do not sign anything. The IRS may sign a release but taxpayers have nothing to do with it"
Clearly you are wrong, since if you look up the fill-in-the blank pdf of the 433-D for there is clearly a line there that says: YOUR SIGNATURE.
It has not been authorized yet though, so I think that's where she went wrong. Since she says they approved it, that clearly is not the case, so I guess they can reneg since they formally didn't sign to begin with.
And to quote irsos:
"taxpayers do not sign anything. The IRS may sign a release but taxpayers have nothing to do with it"
Clearly you are wrong, since if you look up the fill-in-the blank pdf of the 433-D for there is clearly a line there that says: YOUR SIGNATURE.
It has not been authorized yet though, so I think that's where she went wrong. Since she says they approved it, that clearly is not the case, so I guess they can reneg since they formally didn't sign to begin with.
LdiJ
Senior Member
She didn't sign a "release", she signed an installment agreement. That's massively different than a "release".
In addition, the odds the IRS approving an installment agreement when there are funds available to pay the tax up front are truly slim...particularly once the IRS has gotten to the point of a bank levy.
I think that your sister needs to accept that until she has settled things with the IRS that her account will remain frozen.
She needs to make sure that she has filed ALL relevant tax returns and paid all tax related to those returns.
Clearly he isn't wrong because even with an INSTALLMENT AGREEMENT in place the IRS still has power to enforce levy's already issued.
As WE have said earlier, you aren't doing your sister any favors. As your post demonstrates, you don't even have full command of the facts. Based on what I've seen thus far, I don't see where the tax attorney has done anything wrong or could have done things better.