LOUISIANA LEGAL SERVICES AND PRO BONO DESK MANUAL 2013

TAX LAW
2.5 ACCESS TO TAXPAYER INFORMATION
Have the client sign a Form 2848 (Power of Attorney) for the tax years in
dispute. This will enable the designated attorney to get access to taxpayer information
on file with the IRS. For Louisiana taxpayers, the Form 2848 must be
faxed to the IRS Memphis CAF Unit at 855-214-7519. Low-Income Taxpayer
Clinic attorneys may get quick electronic access to the taxpayer’s income as
reported by W-2 forms and Forms 1099, IRS account transcripts and tax return
transcripts once the Form 2848 has been processed by the IRS.
2.6 COMMUNICATIONS WITH THE IRS ON NOTICES AND CORRE-
SPONDENCE
A few tips for more effective communications with IRS employees:
1. Keep copies of any documents sent to the IRS
2. Reference or include the IRS notice or letter to which you are responding
3. Write the client’s Social Security Number on each submitted document
4. Only use certified mail when necessary to protect a deadline, e.g., amended
return, an election, or where there would be an adverse action if no taxpayer
response
5. Generally, limit contents of a mailed submission to one tax year
6. When citing “law” to IRS employees, it is more effective to cite to the Internal
Revenue Manual (“I.R.M.”) or IRS Publications rather than case law
2.7 CRITICAL DEADLINES
Significant rights can be lost if certain deadlines in IRS notices are not met.
You should identify all critical deadlines that affect taxpayer rights for IRS appeal,
judicial review or avoidance of collection action.
3. IRS APPEALS
3.1 30 DAY NOTICES OF RIGHT TO ADMINISTRATIVE APPEAL
The IRS must issue a 30 day notice of right to appeal a proposed adjustment
to the client’s taxes, notices of federal tax liens, notices of intent to levy, denial
or termination of installment agreement, or denial or termination of an Offer in
Compromise. To obtain an appeal with the IRS Appeals Office, the taxpayer must
file his appeal within 30 days of the notice. If this appeal deadline is not met, the
taxpayer may face unnecessary levies. Also, the taxpayer’s remedy may be limited
to a Tax Court petition, which entails additional costs and delays beyond an appeal
to the IRS Appeals Office.
For initial determinations of tax liability or innocent spouse relief, the taxpayer
can still obtain successful Tax Court review under the “de novo review” standard.
An appeal to the IRS Appeals office is not a requirement for Tax Court review.
However, for collection disputes, the failure to timely take an administrative
appeal will, as a practical matter, preclude successful Tax Court review under
the “abuse of discretion” standard and the general limitation of judicial review to
issues raised at the appeal hearing. 5
5 The “abuse of discretion” standard governs judicial review of collection due process appeal determinations on lien, levy,
installment agreement or offer-in-compromise decisions unless tax liability or innocent spouse relief issues are involved.
Murphy v. Comm’r, 125 T.C. 301, 307 (2005) aff’d 469 F.3d 27 (1 st Cir. 2006). Absent special circumstances, the Tax
Court will not consider new evidence in an “abuse of discretion” case that is not related to an issue raised in the appeal
hearing. Giamelli v. Comm’r, 129 T.C. 107 (2007).
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