In the United States, when an IRS officer visits a business or a home is terrifying and scarier than any horror movie or stories. A surprise visit by the IRS will leave you in a cold sweat and you will wonder why they did not inform you. If you are not present at your business the Revenue Officer will leave their business card with someone, or perhaps will leave it taped or jammed into your door or window. The Revenue Officer may then try to find you at home.
The following individuals will soon visit your home to do a certain job:
If IRS officer visits you unexpectedly
If someone claiming to be an IRS officer comes to your home or business, you need to verify whether she is a legitimate representative. All legitimate agents will have an HSPD-12 card, which includes an IRS agent ID number. You can call the IRS to confirm that the agent is legitimate.
If you have an unexpected visitor, three situations will arise: you or your business owes a significant amount of taxes; they will conduct an investigation, or to conduct an audit. The agent conducting an audit will send you a notification and call you to confirm the appointment.
Sometimes, IRS will give you a call if they are collecting a tax debt but first, they will send you a letter. This means that do not demand immediate payment or payment using gift cards or wire transfers. If you are in doubt, you may the IRS to inquire about the legitimacy of the call and confirm the calling representative.
The IRS is performing fewer audits now than it has in the past due to budget cuts. For the audit, make sure you have all the documents you used to prepare your previous year’s tax return. Be sure to keep all the receipts, bank records and credit, and debit card statements that confirm your purchases. If you receive a notice that you are being audited, read the notice carefully and respond with the appropriate documentation. If you are nervous about representing yourself, you do have the right to representation during an audit. You can have an accountant, lawyer or anyone else you trust to speak on your behalf.
When the IRS revenue officer appears at your home or business, he or she will say many things. IRS agents think that you will be intimidated by their presence and that they can enter without permission. Do not panic and as taxpayers have every right to refuse the entry of the revenue officer. You may call your tax professional immediately. It’s an appropriate action and it is within your rights to tell the agent that you will contact your CPA and you will be back shortly. He or she may not like it, but it’s your right to do so. You can request for their ID card, and you write down their name and ID number and ask him or her to pencil a note regarding the tax matter, Form number and tax period(s) in question.
You are not obliged to sign any documents the officer brings. Oftentimes, they will bring documents for you to sign regarding the tax debt. If you do, you may end up paying more than you otherwise need to and you do not have to accept the terms the officer presents. The IRS revenue officer is not going to present you with the options that are necessary for your best interest. He or she will also not make the best offer during the first round of negotiations. If you agree to what is presented during the initial meeting, you will likely end up taking a settlement offer that is more costly than you could have otherwise received. Lastly, be polite.
