Unlock Legally Binding Online Signature Licitness for Company Bonus Letter in Mexico

How to eSign a document: online signature licitness for Company Bonus Letter in Mexico

the IRS does not send all notices and letters via certified mail but the ones that it does send via certified mail are generally pretty darn important so in this video I'm going to talk about the five most common notices and letters that the IRS sends via certified mail and tell you what you should do if you've received each one but first why the heck does the IRS even send some stuff via certified mail and send other stuff not via certified mail well the answer is in many cases is that for some particular notices and letters the IRS is actually required by law to send them via certified mail it's true for example IRS code 6331 Little D A Little D not a big D Little D um says or it requires that the IRS give a taxpayer at least 30 days notice before levying them okay before taking their levy mean seizure taking their stuff so they're at least 30 days before the IRS levies their salary or wages that's a big garnishment or any other other property commonly a bank Levy right just zapping money right out of your bank account at least three days before the IRS does that it has to give the taxpayer notice of their intent to Levy and check this out this notice must either be given in person left at their home or usual place of business right or this is the option the Irish generally takes sent by certified or registered mail to such person's last known address uh no less than 30 days before the day of the Levy right so in this case this is the law this this is the actual law here this isn't just IRS policy this is the law part of the United States uh code the United States tax code 6331 section 6331 says the IRS has to give a sufficient notice to a taxpayer the irs's intent to take their stuff right if they owe the IRS money and that notice must be delivered in person left at their dwelling place or their typical place of business or sent by certified mail and which option do you think the IRS typically takes yes they they the option to typically take is sending by certified mail oh and by the way a typical notice uh that the IRS sends to satisfy uh that requirement in uh section 6331 of the tax code is uh the CP 504 and I'm actually going to talk about this notice uh later in uh this video so so like I said there are other notices that the IRS sends via certified mail and five I'm going to talk about now in this video okay for example the cp91 uh the notice of intent to Levy your Social Security benefits right because yes the IRS can uh Levy garnish your Social Security benefits they will send that notice via certified mail right there are many other notices and letters the IRS sends via certified mail other than the ones I'm going to talk about in this video I'll probably make more videos on those other notices at some point but right now let's just talk about the five most common notices and letters uh the IRS sends via certified mail and folks the only way you're going to know if you received one of these notices or letters is if you open the envelope and look at the actual notice or letter right because in the top right you can see the notice number okay uh well let's just see the cp54 right it'll say right there notice cp504 right that's how you or in this case the lt11 that's how you know what notice um you're looking at oh one more thing before I get into into the notices themselves um the IRS is going to send your these notices to your last known address okay which is the address used on your last filed tax return with the IRS so if you haven't filed uh you know a few years of tax returns and you've moved since you've last filed a tax return these notices might be going to an old address right unless you file a new return with your current address or you have filed um form 8822 change of address with the IRS but the easiest way to change your address with the IRS is to Simply file your tax returns okay now let's talk about the the five most common notices that the IRS sends um via certified mail okay so the first one is the cp2000 I'm sorry that this one is kind of like messy here um I usually get notices like sample notices from the IRS but the sample notice that the IRS gives for the cp2000 is like not relevant it's not it's like not the most common situation that people get cp2000 so I just pulled uh one of our clients cp2000s uh I redacted the sense of information like social security number I mean I I just pulled one that we've been recently working on okay I I probably could have found a neater one than this one but this is just a case we've been working on uh recently um so it was just it was just top of Mind anyway the cp2000 is a notice of proposed adjustment for underpayment or overpayment so basically uh the IRS sends a cp2000 and you can see what did I just do you can see it says uh you can see it says cp2000 right up here that's how you know it's a cp2000 basically the IRS sends this notice to a taxpayer if there is a discrepancy between the income reported to the IRS like on a W-2 1099 K1 whatever and the income at the taxpayer reported themselves on their own tax return we see this all the time with 1099s okay uh taxpayer files return and did not include a 1099 on the return now sometimes it's not even their fault well in a sense it's not their fault right because what many people do is they have a 1099 you know side hustle or a little business that they have they don't really keep books and Records right too well so they just depend on the 1099s that they get to their tax returns they shouldn't be keeping their books and Records right except for bank account that's the official correct way to do it but some folks don't it's just like okay you know I'm gonna gather all my tax tax documents and put in my tax software and that's it and sometimes at 1099 right maybe the the person who paid them the money right as an independent contractor didn't even send them a 1099 or so that 1099 to a wrong address right and that's why the person didn't put on their tax return nevertheless the IRS still blames the taxpayer right for that and so what the cb2000 is basically saying like in the case of this example client here um they this this this client here of ours did not include uh some 1099 income on his tax return right uh again I apologize for the quality of this image but the IRS is saying look uh ing to our records we have record of it that you receive a 1099 for 7 365 okay and another one for sixteen thousand three hundred and fifteen dollars um that's what we see right for a total of 23 000. but you didn't report any of this on your tax return so what are we IRS gonna do well we recalculated your sorry we recalculated your tax return for you right you can see that here changes to your 2020 tax return shown on return this is what you reported taxpayer but this as correct by IRS is what we think it should have been okay and in this case uh there's an additional 7724 dollars of taxes uh on the tax return that the IRS believes the taxpayer owed and then you know plus penalties and interest right which attack on they're looking at nine thousand eight hundred seventy five dollar bill okay so that's what a cp2000 is doing okay it's saying look we there's a discrepancy between what you report on the return and what we see we being the iris with the IRS sees in their records okay and now we're proposing this adjustment it's not final yet you'll notice that the cb2000 uses this word uh proposing okay we are proposing changes to your 2020 Forum tax return okay this is not a bill okay we're simply saying look something looked off and here's what we're proposing right we're proposing that we're gonna include all this is income um on on your return uh and if you don't respond to it or you don't say hey yeah actually that I did earn that income but oh I also had all these deductions against that income too which you probably did then um they're just going to assess this this liability right um and they'll send you a more certified mail before they do that I'll talk about those notices in a bit right but the best thing to do when you get a sort of a cp2000 is first you know review it for accuracy make sure it's accurate um and then uh if it is accurate if you did actually forget to report this tax document in return are there any then think are there any actual expenses you can take against this income to lower your liability from what the IRS thinks it should be because iris is just going to assume right that you didn't have any expenses or deductions against this income that you didn't report in your return right but if it's a 1099 you probably had some legitimate business expenses you could take against it okay to lower your tax liability from what the IRS is proposing or maybe or maybe the maybe the cp2000 is wrong I've seen it where IRS ends at cp2000 for a duplicate 1099. right where the taxpayer did report the 1099 on their return but the iris for some reason sees 2 1099s for the same amount in their system and they're looking for the other one right when really it's a duplicate you just have to kind of explain that away to them um so if you're gonna but but if it's the first case which is more common where yes you just forgot to input this this amount on your return but you do have valid deductions to take against that income um you can uh you have options you could simply uh submit the the tax form it should have gone on to the IRS for example if it's a Schedule C right submit the schedule C to the IRS that you should have filed right showing the income on the 1099 plus all your uh and then below that all your business expenses on the other lines right you can do that or you could just simply file an amended return with the IRS um we like that approach better because it's more complete right and the tax is all calculated there and everything so we actually typically go that route for our clients if if that is the case um but look if now the third possibility I guess here is that uh you have no expenses or anything to claim against the income and it's like yeah you actually just forgot to include this tax document on your return you know and the iris caught you right um or corrected you I guess is the better term and if that's the case you can I mean you owe this money might not might as well not drag it on uh you can consent to the proposed assessment uh and it's on a page here the back of this thing [Music] right you can if if the iris is right here right you just you just didn't include it and you don't have any expenses to claim against it you can you know just check the box I agree with all changes right sign it if it's joint return sign it your spouse sign it date date uh and return it to them okay um and then you have options or or well what you could do is you could just wait it out too right you can wait for the 92 or the 90 day letter right the 3219 a that I'm going to talk about next is another notice the IRS sends video certified mail just wait it out they'll eventually assess it right or if you want to speed things up you can sign the box to or check the box and sign it to consent to the changes but whatever the case is if this cp2000 right whether it's correct as is the proposed assessment is correct as is or whether we have additional expenses to take against the income that was not reported you have to figure out what you're going to do with the this extra tax liability and penalties and interest right if you have the cash to pay it off now great go ahead do that right you'll minimize penalties and interest if you don't have the cash to pay it all off now as most of our clients don't well then you have to look at some kind of tax resolution option some kind of tax relief option okay describing these options in full is not the focus of this video that's what I usually talk about on this channel but it's not the focus of this video so you can look at the rest of my channel for for the tax relief options that are available uh to you possibly offers and compromise as a settlement with the government to sell your tax debt for less than a while a partial payment installment agreement that's agreement to pay the IRS less than you owe over time with you paying them an amount every month until a tax debt drops up you can't afford to pay them anything CNC currently not collectible status also known as hardship right that's a special status with the IRS that they place you in because you've proven to that that you can't afford to pay them a dime right and you stay in that status and theoretically saying that assassin to your tax it falls off then you want to have to pay them anything on that debt okay want to learn all about all these tax relief options check out the video at the top of the screen and in the description below on all the tax uh debt relief and forgiveness options that are possibly available to you all right so that's the cp2000 okay now let's move on to the next notice here it is the CP 3219a okay now this is uh the IRS does send this via certified mail this is the statutory notice of deficiency also known as the 90-day letter that the IRS will send to you if you do not respond to the cp2000 okay why is it called the 90-day letter because this uh letter informs you of your right to petition the tax Court to contest the irs's proposed assessment and the deadline to do that is 90 days after the date of the notice right you see the not the the day the notice is June 19 2008 well 90 days after that is October 19 2008 and that is the taxpayers uh last day that they have to petition the tax Court to protest the irs's uh proposed assessment from the cp2000 now in addition to petitioning the tax court or instead of petitioning the tax Court you could simply file an amended return right just like you could in response to the cp2000 or submit additional information to the IRS to consider just like you could for the scp-2000 right but none of that changes the tax Court thing right if you do all that that doesn't extend your deadline to petition the tax Court okay that nine-day deadline is is very very fixed um but in most cases right if it's a very simple issue oh I forgot to include a 1099 for you know 10 000 bucks and I have you know some business expenses to claim against it probably just find the amended Returns the way to go you don't have to go to Tax Court um but if you do not respond to the CP um 3219a within the nine day deadline right with additional information or you amend a return or you petition the tax Court um then the IRS is going to assess the proposed assessment so what it told you it's proposing right to assess you it will then do that if you do not respond to the 32 19a okay so that's a 3219a um so those two notices I just described those pertain uh those are notices that are sent before the irss's attacks right the cp2000 this is our proposed assessment right the cb3219a okay you didn't respond to the cp2000 um now we're going to send you this notice this 90 day letter um to uh to get your attention right but the text has not been assessed yet right it's only if you don't respond to the CP 3219a the statutory notice of deficiency the nine-day letter that the IRS will then assess the tax the next three notices I'm talking about our notices that take place after the IRS has assessed the tax okay assessment means officially recording it on the government's books once the IRS has assessed the tax then it can collect attacks okay so the next few notices I'm going to talk about are post assessment notices uh and the first one I'm going to talk about and I've already mentioned it previously in the video is the cp504 okay uh so cp4 cp504 is the notice that's reference or is a notice one of the notices that can satisfy the requirement an internal revenue code section 6331d for the IRS to give a taxpayer at least 30 days notice before leaving their assets right and this is a notice of intent to Levy right notice of intent to seize level your property or rights to property um so this is basically the IRS saying like look yeah we've sent you you know several other notices typical sequence cp14 cp501 cp503 another cb504 you haven't responded to them you haven't worked out any arrangements with us you haven't resolved your tax debt so now we intend to take your stuff okay because you have not uh reached out to them to to fix the situation or reach some kind of better resolution that the IRS simply taking all your your uh you know money in your bank account and letting your your wages right um so that's what this is okay but even so if you don't respond to this one there is another notice the IRS has to send you before it starts uh taking your stuff right well first what should you do if you get the CP 504 well I would recommend you get into a resolution with the IRS right either pay off your debt in full or get submit offering compromise if you qualify get into some kind of installment agreement that works for you maybe even CNC status want to learn about what all those things are check out the video in the description below okay link to the video there now if you don't respond to the cp504 the IRS actually sends you another letter before it actually can start garnishing your wages and leaving your bank account okay and that letter is uh the lt11 okay you can see it right here lt11 now this one fulfills the requirement found in Internal Revenue code section 6330 that says before taking Levy action against a taxpayer the IRS has to give them their CDP rights okay CDP is collection due process so the IRS has to inform the taxpayer of the right to request a collection due process hearing pertain to the collection activity that the IRS is attempting to take against them okay so this isn't just notice of intent to let you notice of intent television and notice of your right to a hearing okay so uh once you've received this notice you basically have 30 days uh to either request a CDP hearing okay 30 days from the date of the notice right and use form one two one five three to do that and it's generally advised right we in in most cases for our clients um if if they're in the 30-day period after receiving the cp5 many clients or the lt11 or the equivalent right there's other kinds of final notices not just the lt11 LTS for if you're an ACS it could be a 1058 if you have a revenue officer there's other kinds of notice numbers too but if the uh if they're in the 30-day period request a CDP hearing when they come to us which isn't often not the case right but if they are we will generally request a CDP uh hearing okay so that's generally the move if you don't respond within 30 days you can request an equivalent hearing um there's some differences there but um and sometimes we actually go that route as a matter of fact um because the CDP hearing actually told the statute the diarist's tenure timeline to collect the equivalent hearing does not I mean there's some other differences there that's probably getting a little too into the weeds but it's generally a a good idea uh to request a CDP hearing um if you're within the the CDP uh period here okay because what this will do is well quite frankly it buys you some time right uh before the IRS starts taking Levy action against you because they can't take Levy action against you during the dependency of the CDP uh and until uh the officer and the CDP hearing has made a final determination right and all CDP hearing is is basically your opportunity uh to argue your case to an appeals officer Regarding why the IRS shouldn't start taking your stuff and that you qualify for something uh perhaps a hardship-based resolution like an offering compromise or a CNC or something like this okay um the if you go for an offer compromise he feels officer will not be the one to approve your offering compromise okay um but this is basically giving an opportunity to uh tell the IRS why they shouldn't start taking your stuff okay and it's generally a good uh idea uh to go through that process because it does buy you some time and just from a client service perspective it allows it kind of buys us some time before the IRA starts loving a client uh to kind of formulate our plan of attack right like how are we going to argue this client's case to get the documentations we need fill out the 433 right figure out what the you know what the best resolution is for the client okay and of course the resolutions we're going for the vast majority of cases offering compromise some kind of installment agreement that works for the client or CNC status okay all right now let's talk about uh the last uh piece of IRS certified mail I want to talk about and that's the letter 3172 okay why does hmm I thought I got rid of all the blue but I guess I didn't okay so you'll have to live with the blue all right let 31.72 okay what is this um in the tax code section of 6320 uh it says the IRS has to give a taxpayer a notice of when the IRS files a notice of federal tax lien against them okay and that and that's what um the 3172 does notice of uh federal tax lien filing and your right due hearing under IRC 6320 okay um so after write the RS5 is only not before right because think about it what does it notice a federal tax do what is known as a federal tax lien do it puts the world on notice that you owe the IRS money and the IRS has a claim to your assets okay so if you go to sell your house that you have half a million dollars of equity in oh but you title company says oh there's a lien on the house to the United States government for three hundred thousand dollars okay that means that before you get anything out of that house if you sold it the United States government would get three hundred thousand dollars first okay um and so you know logically thinking if the IRS told you in advance hey we're gonna file notice the federal tax lien against you what do you think people would do they would simply uh try to sell their house before the IRS actually files the lien right or they would try to maybe even transfer title in the house to a relative probably fraudulent but they would probably try to do stuff like that right so to avoid that uh Congress when I wrote the statute said you know unlike the levy where the IRS has to get a notice before the levy with the lien the IRS can file the notice the federal tax lien but they don't have to give them notice um uh until afterwards and you can see the statute here uh 6320 right um the secretary main Secretary of the Treasury by extension the IRS shall notify in writing the person of the filing of a notice of lean and uh this notice has to either be given in person left at the dwelling or usual place of business or of course sent by a certified certified I registered mail to such Prince last known address not more than five business days after the day of the filing of a notice of lien right so within five days okay within five days um five business days the IRS has to give the taxpayer notice that they filed notes of federal tax lien against them uh in state and or County records and uh the letter 3172 um also let's see also uh provides the taxpayer uh with their CDP rights okay uh you might you must request your hearing by blank this would be three days for the daily notice please complete the enclosed form 12153 request for a collection due Processor equivalent hearing and mail two and they're obviously be the information here if this were an actual notice and not just a sample so what should you do if you get a 3172 well same thing as you should do with the other post assessment notices reach a resolution with the government pertaining to your tax debt okay if you don't own too much money sometimes we can get if a taxpayer doesn't owe them too much money sometimes we can just work out a payment plan as a part and as a part of that payment plan the IRS will withdraw the lien right that could be in the cards right if you spend an offering compromise and uh it's accepted and once you've made your final payment on that offering compromise to the government then the IRS must take away the lien within 30 days right so uh there are options here if you want to avoid a lien now I will say that uh the lien is sometimes sometimes I want to be careful here because Elena is a serious thing um and it does have repercussions for bankruptcy but um I think sometimes taxpayers might take the lien a little more seriously than they need to right because it really only affects you if you're planning I can't affect other things but but for most taxpayers we talk to it really only affects them if they have equity in an asset that they're looking to dispose of right sell or take Equity out of uh cash out like a refi or something like that but if a taxpayer you know they let's say they're older they do not intend to move in the future or at least not before their tax debt drops off it might not affect them there might very much but if they are like really old you know they're probably they're thinking about their errors as well so the leaves kind of an interesting thing right it's not a it's not a collection activity it's not like the IRS reached like a levy reaching into your bank account and taking money garnishing uh you know your wages um but it is a powerful tool the IRS has how powerful it is for an individual taxpayer situation really depends right someone's in real estate and they want to go you know borrow and buy a lot of property sell a lot of property or something the lien's very important the further away someone gets from having assets or at least trying to convert assets to cash um the less significance that that the lien has so um sometimes you know in our resolutions with the government they there's no way to avoid the lien and it you know the taxpayer just just has to live with it um so but anyway reach a resolution with the government right and file the CDP hearing as well would be a recommended course of action so um all right I love this video uh we're already into it for a while so that folks those are the five most common notices and letters the IRS sends via certified mail if you've received um an IRS notice or letter via certified mail please uh feel free to book a call with us um You can call our appointment line 866-8000 uh tax uh fill out the form here uh we will reach out to you or you can click free consultation on our on our home page there free consultation it'll take you to a little calendar thing you can book um a free consultation um I do believe in educating people about this stuff because I think there's a lot of misinformation floating around out there please check out the left hand side of your screen I have other tax relief videos here and uh see the next video folks bye-bye