IRS Practice Series: Collection 101 - Part 2
Date: Monday, October 19, 2026
Instructor: Susan Harper
| Begin Time: |
9:00am Pacific Time
10:00am Mountain Time
11:00am Central Time
12:00pm Eastern Time |
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC |
|
NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card
An offer in compromise (OIC) allows taxpayers to settle their tax debts for less than the full amount owed. It may be a legitimate option if for those clients who cannot pay the full tax liability or doing so it creates financial hardship. The IRS considers all facts and circumstances including ability to pay, income, expenses, and asset equity. Explore the OIC rules to help your clients.
Also, IRS encourages prompt payment of withheld income and employment taxes, including social security taxes, railroad retirement taxes, or collected excise taxes. Congress enacted legislation that allows the imposition of the TFRP against the person responsible for collecting or paying the withheld income and employment taxes, or for paying collected excise taxes, and willfully fails to collect or pay them. Recognize who may be responsible for the TFRP and what happens in a Form 4180 TFRP interview to determine its applicability. In addition, learn how to determine the amount, understand the assessment process, and most importantly understand how to help your client employers, for example, avoid the TFRP.
Topics Covered
- Offer in Compromise as a Settlement Option
- Offer in Compromise Facts & Circumstances IRS Considers
- Trust Fund Recovery Penalty Defined
- Trust Fund Recovery Penalty Responsible Parties
- Trust Fund Recovery Penalty Form 4180 Interview
- Trust Fund Recovery Penalty Calculation
Learning Objectives
- Recognize that an Offer in Compromise may be an option for some clients to settle their tax debts for less than the full amount owed
- Understand how to submit an Offer in Compromise
- Identify the facts and circumstances the IRS will consider
- Explore the Trust Fund Recovery Penalty
- Determine who may be responsible for the penalty
- Learn what happens in a Form 4180 interview
- Determine the amount of the penalty
Level
Basic
Instructional Method
Group: Internet-based
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
