Are you facing a tax lien or levy from the IRS? Unresolved tax debt can be a difficult situation to escape, especially if the amount you owe is sizable. Trying to settle these issues can be even more difficult if you believe that the IRS has erred in the amount of taxes it says you owe. In this case, you might want to file an appeal to settle your IRS Tax dispute. The appeals process makes it possible for you to request an additional investigation into your calculated tax bill. In some cases, a successful appeal can lead to a reduced tax bill or even a cleared account.

What Does an IRS Appeal Involve?

In short, an appeal is a written notice that the taxpayer is contesting the IRS tax bill calculation. Filing an appeal serves to notify the agency that you do not agree with the total tax that the IRS says you owe. Once you file an appeal, you will be able to receive a meeting between yourself and an IRS representative. There are several IRS issues that you can appeal, including tax liens, seizures, offers in compromise, and installment payment arrangements.

Types of IRS Appeals

There are three kinds of IRS appeals for taxpayers: Collection Appeal Request, Request for a Collection Due Process Hearing and an Application for Taxpayer Assistance Order. Each offers its own type of resolution. If you've already had a tax lien or levy imposed upon you, then a Collection Appeal Request is the type of appeal you'll need to file. The Request for a Collection Due Process Hearing is the basic type of appeal that can be used in nearly every tax dispute. If you're facing an innocent spouse judgment or if you've been turned down for an offer in compromise, then this type of appeal can be used to request a hearing. The Application for Taxpayer Assistance Order entitles you to receive help from the IRS Taxpayer Advocate Service, which can provide additional appeal services to resolve your account.

Things to Keep in Mind

While the IRS allows taxpayers to represent themselves during the appeal process, doing so can present certain unexpected challenges, particularly if the situation involves complex financial terms or conditions. It's also important that taxpayers remember that they will need to file their appeal within a certain period of time in order to have their request processed correctly.

Dealing with an IRS tax dispute is never easy. Depending on your situation, you may be able to file an appeal to settle your IRS disputes if you follow the correct procedure and request the appropriate appeal.