Contact a tax relief agency or an IRS debt resolution firm. They can pull SFRs (substitute for returns) which will state your liability and then they can see if you qualify for a settlement (offer in compromise) or a payment plan (installment agreement) with the IRS for your tax debt.
It is a complicated process (433a or 433b plus a form 656) and if you owe more than $10,000 in back taxes or IRS Debt then I suggest getting a consultation to see what your best strategy is.
If the IRS shows that you presently owe and you did not file that return, then it is clear that the IRS has filed that return for you. This IRS substitute-for-return (or SFR) is based on whatever income was reported to the IRS for you on that tax year.
Bill is friends with the folks at Freedom Tax Relief ((800) 455-6829), and that office can prepare a new tax return and represent you through the process of having the IRS set their SFR assessment aside and compute your actual tax liability on the real income and expenses you had. This could potentially zero-out the tax debt.
If you want Bills.com to find you a tax resolution firm, you can apply for help on the Bills.com IRS Tax Debt Help page.
Do not worry about finding old 1099’s for tax year. Freedom Tax Relief can have the IRS provide these numbers to FTR as they prepare the new return. Do not delay. If you have a balance due on that tax return, failure to file and pay may result in large penalties and interest.
In conclusion, I recommend you retain a firm to file a corrected return so the IRS will set aside its SFR balance.
We hope that this helped you to Find, Learn, and Save!
Best,
Bill
May 16, 2010
May 05, 2010
January 16, 2009
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