Legal Question in Tax Law in New Mexico

The IRS did a payroll audit on our small plumbing S Corp. We ended up owing around 22,000. We did not have the money to pay and the interest and penalty kept adding up. Every time I called the IRS I got an answer that I didn't understand. I tried a tax advocate and that didn't help so I paid a tax resolution service to help me. They charged me 2900. I paid them. We are at the point where we are awaiting assessment of me and my husband since we closed the company down. They sent me a detailed letter of services they did that require me to pay an additional 2800.00. And also, once the assesment has been completed we will owe them another $2500.00 They never warned me that the services were adding up. They said in the initial interview that they would handle everything for the first initial price. Do I have to pay them? If I don't would I be able to contact the IRS and finish the process myself? Can the IRS change there mind and not do the Trust Fund assesment if I work with them myself?


Asked on 10/10/10, 3:43 pm

1 Answer from Attorneys
Charles Aspinwall Charles S. Aspinwall, J.D., LLC

Yes, you can take over the matter yourself. There may be consequences depending upon the terms of the contract you signed, but you have the right to do it. The IRS will not change its decision in your case because you are representing yourself. They prefer to deal with the taxpayer.

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Answered on 11/04/10, 12:41 pm


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