IRS Changes Relative to Coronavirus

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If you owe the IRS, have a payment plan, or have a business with tax liability, we know you’re already in a world of hurt. Add a virus to the mix, and self quarantining measures, and you have a double whammy of issues on your hands in trying to run your business or stay afloat. Today, we wanted to be sure we were attempting to stay ahead of the curve for not just current clients, but also potential clients. With that said, below are a few changes the IRS has arrived at when considering both back tax debt, as well as current tax debt:

IRS Controversy Issues and Current Filing/Payment Deadlines

  • The IRS Revenue Officers are going to attempt to collect on the debt that is owed. Please be sure, if you owe 941 tax debt, and haven’t faced this problem yet, the IRS may elevate their collection measures by way of levies, filing tax liens, and or making the trust fund assessments sooner rather than later. Revenue Officers fear that during this very difficult time, businesses may be forced to close and/or file bankruptcy, and are attempting to collect as much as possible before this happens.
  • IRS Collection Branches have reduced employee staffing due to coronavirus. However, this is a great time to revisit your installment agreement if you have one, or if you don’t have one, to set one up. The IRS has reduced their efforts in setting up agreements to help streamline the process. Call us for more information. A tax lien determination will still be made.
  • The IRS extended the deadline to pay any tax due for form 1040 or corporate income tax forms (under $1,000,000 owed individual/married filing joint, and under $10,000,000 for businesses) to July 15th. This includes 2020 es payments. This is great news for the self-employed folks as this will allow you to keep funds in your pocket longer. Don’t forget, you still have to file timely, as of now, by April 15th. This is subject to change.
  • The IRS has agreed to push installment payments by one month if needed or necessary, call for more information.

Don’t let the IRS get the best of you during this difficult time. If your business, or you, owe the IRS do not hesitate to call us directly to discuss all of your options. We can be reached directly at 720-398-6088. As a reminder, we do have staff members working from home and are operating by all CDC and WHO guidelines. As such, we are only taking phone, Skype, and Zoom appointments, versus face to face. We know this presents its challenges but we must do what we can, to stop this virus from spreading.