Greater Houston Consulting & Tax Services

An IRS Enrolled Agent is a federally licensed tax practitioner authorized by the U.S. Department of the Treasury to represent taxpayers before the IRS. Enrolled Agents have unlimited practice rights, meaning they can represent individuals and businesses on IRS tax matters, including audits, collection issues, payment arrangements, penalty requests, and appeals. They can communicate with the IRS on a client’s behalf when properly authorized.

The IRS may grant penalty relief when a taxpayer qualifies under programs such as first-time penalty abatement or reasonable-cause relief. Eligibility depends on factors including filing and payment history, the reason for noncompliance, and supporting documentation. A complete request explains the circumstances, identifies applicable relief criteria, and provides records that support the request. Interest generally continues to accrue unless related penalties are removed.

Yes. Taxpayers who cannot pay an IRS balance in full may qualify for an installment agreement. The appropriate arrangement depends on the amount owed, filing status, income, expenses, assets, and ability to make monthly payments. Before requesting an agreement, all required returns generally need to be filed. A financial review helps determine a payment proposal that is realistic and properly documented.

Unfiled returns should be addressed promptly because the IRS can prepare a substitute return using income information it has received, often without deductions or credits you may be entitled to claim. Filing delinquent returns establishes the actual tax position and is commonly necessary before pursuing a payment agreement, Offer in Compromise, or other resolution option. Each return should be coordinated with the overall tax-resolution strategy.

An Offer in Compromise allows qualifying taxpayers to seek settlement of an IRS liability for less than the full amount owed. It is not automatic; the IRS evaluates ability to pay, income, expenses, asset equity, and future earning potential. Thorough financial disclosures and current filing compliance are essential. A pre-qualification review can determine whether this option is appropriate before a formal offer is submitted.

A wage garnishment or bank levy requires prompt attention. The first priorities are confirming the IRS action, identifying the underlying balance and filing requirements, and determining available resolution paths. Depending on the facts, options may include paying the balance, establishing an installment agreement, demonstrating hardship, or requesting another collection alternative. Timely, documented communication with the IRS is important because enforcement deadlines can be short.

Bring recent IRS notices, copies of filed and unfiled tax returns, wage or income records, bank statements, business financial statements, and documentation of monthly living or operating expenses. If you have received a levy, garnishment, audit notice, or collection letter, include it. Complete records help clarify balances, deadlines, compliance gaps, and which resolution options may be available for your circumstances.

Timing varies by the issue, IRS processing workload, completeness of records, and the resolution path selected. A straightforward payment arrangement may move faster than an audit appeal or Offer in Compromise, which requires extensive financial review. Urgent enforcement matters should be evaluated immediately. Keeping returns current, responding promptly to information requests, and providing organized documentation can help prevent avoidable delays throughout the process.