Options for Clients Who Cannot Pay the IRS (Completed)

Date: Tuesday, October 19, 2021
Instructor: Jim Buttonow
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

Statistics show that over 30 million individual taxpayers file a tax return with an unpaid balance due. Unfortunately, some are our clients who fall on hard times and cannot fully pay their tax obligations. Fortunately, there are options when they cannot full pay their liability.

In this CPE, explore the 6 IRS alternatives when your client cannot fully pay their liability- the IRS collection alternatives. This CPE will examine the rules and requirements for installment agreements, extensions to pay, and payment deferrals (namely, currently not collectible status). We also give you the fundamental knowledge to answer your client’s question on whether they can “settle their tax bill’ for less than the amount owed (i.e. the IRS offer in compromise qualification rules). At the end of the CPE, you will have the basic knowledge to identify what alternative is best and be able to execute that alternative in the most efficient and effective manner for your client.

Who Should Attend
Tax professionals and tax firm leaders who need to help their clients evaluate, select, and execute IRS collection alternatives when they cannot full pay their balances owed to the IRS.

Topics Covered

  • Current trends in taxpayers who owe and cannot pay the IRS- including taxpayers who are facing collection enforcement
  • IRS collection enforcement options, including liens, levies, and passport restrictions
  • The simple and complex IRS collection alternatives, and the most common alternatives selected by taxpayers
  • The terms, conditions, and how to obtain the simple IRS collection alternatives: the extension to pay, the streamlined installment agreement, and the non-streamlined installment agreement
  • The terms, conditions, and how to obtain the complex IRS collection alternatives: the ability to pay installment agreement, currently not collectible status, and the offer in compromise
  • The types of offer in compromise options and how to determine if a taxpayer qualifies and can pay an offer in compromise settlement
  • Tips and best practices in dealing with the IRS to obtain a collection alternative

Learning Objectives

  • Identify trends in IRS collection and collection enforcement
  • Recognize how to help your client avoid enforced IRS collection (liens, levies, and passport restrictions)
  • Describe and explain IRS collection alternatives
  • Recognize how to determine which alternative is best
  • Recognize and apply the rules for the various types of IRS installment agreements, currently not collectible status, and extensions to full pay
  • Identify when an offer in compromise a viable alternative for your client
  • Recognize how to advise your client which IRS collection alternative is best for their situation


Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites

Advance Preparation

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