In 2011 the IRS issued a new offer in compromise form. Taxpayers proposing compromises based upon doubt as to collectibility of effective tax administration must submit revised Form 656. Taxpayers proposing an offer based upon doubt as to liability must now submit Form 656-L and a narrative setting forth defenses to the liability. To comply with the new downpayment requirements taxpayers must submit Form 656-PPV with the required downpayment.
Robert E. McKenzie authored a blog for Forbes‘ “IRS Watch” called, “Private Tax Collectors And Taxpayers’ Right To Avoid Them.” Mr. McKenzie describes how President Obama’s 5-year infrastructure spending Bill added private IRS debt collectors as part of H.R. 22 – Fixing America’s Surface Transportation Act, the “FAST Act.” Additionally, he goes on to explain the Fair Debt Collection Practices Act (FDCP).
Click here to read the full article.