The Taxpayer Bill of Rights 3: Your Right to Pay the Correct Amount of Tax

The Taxpayer Bill of Rights 3: Your Right to Pay the Correct Amount of Tax

By Dave Horwedel, EA

You have a fundamental right with the Internal Revenue Service (IRS), The Right to Pay No More than the Correct Amount of Tax. (The IRS article on this right is quoted verbatim after my comments below.)

At Torchlight Tax, we enforce this right for you. We do this by correctly doing your taxes to minimize your taxes legally. Our product is the tax dollars we save you without cheating or putting you at risk.

We also have a second product. This is to make the whole tax process as painless as possible.  Americans often find taxes confusing and upsetting. I found that just saving the taxpayer money is not enough.

If a taxpayer is confused and does not understand what is going on, he needs someone he can turn to. Thus, we put a priority on communication and handling client’s questions or concerns.

To do this, we have built a team here at Torchlight Tax. The administrative staff here are encouraged to train as Enrolled Agents (the highest federal tax credential). This encourages employee stability and gives a career path and results in better client service.

Moreover, we hire administrative staff with tax preparation, bookkeeping or accounting experience and train the administrative staff so they understand what they are doing.  If a client calls in with a question or problem, and the employee answering the phone can handle his question and problem fully, this frees up the CPA or EA to handle more complex questions. It also gives the client the relief of a quick answer.

Unless employees are a CPA or EA, we would not have them sign off a tax return.  But   familiarity with tax helps give better client service.

In addition to tax preparation, we save our clients tax dollars by tax planning and representing them before the IRS. IRS Representation includes negotiating or settling IRS debt on the most favorable terms, representing clients in an audit, and doing IRS levy and lien defense.

The IRS Article below is worth reading.

If you do not want to read the article below (some people are allergic to reading anything from the IRS), and need some tax help, you can contact us for a free consultation at 1- 877-758-7797 or email us at info@TorchlightTax.com.

You can also read our tax blog articles on our website at Torchlighttax.com or watch our videos on the Torchlight Tax YouTube Channel.

Below is the IRS article verbatim.

Taxpayer Bill of Rights 3: The Right to Pay No More Than the Correct Amount of Tax

The Taxpayer Bill of Rights (TBOR) is a cornerstone document that highlights the 10 fundamental rights taxpayers have when dealing with the Internal Revenue Service. The IRS wants every taxpayer to be aware of these rights in the event they need to work with the IRS on a personal tax matter. The IRS continues to publicly highlight these rights to taxpayers. The IRS also regularly reminds its employees about these rights. The IRS expects employees to understand and apply taxpayer rights throughout every encounter with taxpayers.

IRS Publication 1, Your Rights as a Taxpayer, includes a full list of taxpayers’ rights.

It includes The Right to Pay No More Than the Correct Amount of Tax.

Taxpayers have the right to pay only the amount of tax legally due, including interest and penalties, and to have the IRS apply all tax payments properly.

What you can expect:

  • If you believe you have overpaid your taxes, you can file for a refund; however, there are specific time frames in which you must file your claim. For more information, see Publication 556, Examination of Returns, Appeal Rights, and Claims for Refund.
  • If you receive an IRS notice or bill and believe there is an error on it, write to the IRS office that sent it to you within the time frame given. You should provide photocopies of any records that may help correct the error. Also, you may call the number listed on your notice or bill for help. If you are correct, the IRS will make the necessary adjustment to your account and send you a corrected notice.
  • If you discover an error after you file your return, you may need to amend your return. You should file an amended return if there is an error or change in your filing status, income, deductions or credits. However, the IRS may automatically correct math errors on a return, and may accept returns with certain forms or schedules left out. In these cases, you do not need to amend your return. If you disagree with an adjustment the IRS made, you must request within 60 days that the IRS reverse the change. This timeline preserves your right to challenge the proposed adjustment in court, if needed, before paying it.
  • You may request that any amount owed be removed if it exceeds the correct amount due under the law, if the IRS has assessed it after the period allowed by law, or if the assessment was done in error or violation of the law.
  • You may request that the IRS remove any interest from your account if the IRS caused unreasonable errors or delays. For example, if the IRS delays issuing a statutory notice of deficiency because the assigned IRS employee was away for several months attending training, and interest accrues during this time, the IRS may abate the interest related to the delay.
  • You can submit an offer in compromise, asking the IRS to accept less than the full amount of your tax debt, if you believe you don’t owe all or part of the debt. Use Form 656-L, Offer in CompromisePDF.

If you enter a payment plan, known as an installment agreement, the IRS must send you an annual statement. The statement provides balances and a record of payments.

To find out more about the TBOR and what it means to you visit the Taxpayer Advocate Service’s website.

By making this important publication available in multiple languages, the IRS hopes to increase the number of Americans who know and understand their rights under the tax law. The IRS has more tax information in other languages too. See the “Languages” menu at the bottom of any IRS.gov page.

The IRS also is committed to protecting taxpayers’ civil rights. The IRS will not tolerate discrimination based on age, color, disability, race, reprisal, national origin, English proficiency, religion, sex, sexual orientation or status as a parent. This includes any contact with IRS employees and the staff or volunteers at community sites.

If a taxpayer faces discrimination, they can send a written complaintPDF to the IRS Civil Rights Division.

Additional IRS Resources

Contact Torchlight Tax at 877-758-7797 or info@torchlighttax.com for a free consultation.

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