We Prepare Tax Returns!

We prepare most type of tax returns:

Individual. 

S Corporation.

C Corporation.

Partnership.

Payroll.

Amended.

Gary Bode, CPA is a Master's Degreed, nation wide accountant offering tax and business services. Member of AICPA and NCACPA. Our virtual office provides excellent service to long distance and international clients. Call (910) 399-2705 for a free phone consult.

Client Video Testimonials

Click here to watch some of our clients in their video testimonials!

Client Testimonials

I became totally and permanently disabled after a working for 44 years. I returned to college late in life (while working full-time) to fulfill my dream of becoming an RN and at that time found it necessary to secure student loans. Three years after being declared totally and permanently disabled my student loans were discharged. In January 2013 we received a 1099-C form declaring said student loans that were discharged however that amount could be considered as income for 2012. This was a large amount of money and we live on two pensions and social security income.

I started looking on the internet for information regarding 1099-C and felt that this was something that we could not handle alone. I made phone calls locally to a very reputable tax group in a city near us and they said it would cost $500 for an appointment and that they really prefer to do corporate taxes and they referred me to a local person who had worked for them at one time, we called and explained the situation and an appointment was made and then the comment was made that "I will have to do some research on this" and flags immediately went up and we called back and cancelled that appointment. I had been researching the IRSwebsite and every place else I could think of and I was not comfortable doing our own taxes this year. We called another local tax preparer that we had used in the past and made an appointment, however prior to the appointment, while still seeking information regarding our situation,

I came across a website for Gary l. Bode, MSA, CPA, PC in Wilmington, NC. I called Mr. Bodeand explained our situation and asked if he could help. He spoke very knowledgeably regarding the situation and stated that yes; he felt he could help us. As Mr. Bode was in North Carolina and we were in New York I scanned all of our documents including back-up documents for all of our claims and forwarded all to him. Mr. Bode kept in touch with us via email; we have spoken on the telephone several times and have become very comfortable with his knowledge and professionalism. Also, as I am a true "worrier" I have continued looking into information regarding our tax situation and I came upon another web page for Mr. Bode that included testimonials which spoke of his experience with this type of tax situation as it became prevalent during the recession. This reinforced in our minds that we had made the right decision in hiring this person as our tax preparer.

I share all of this as our taxes are now ready to be filed (we do owe tax for 2012 but not the astronomical figure we thought we were facing), and we are confident that they have been prepared with the utmost care by a gentleman who has an excellent working knowledge of the situation we faced and the tax laws that were applicable to said situation.

 

Bill and Carol

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Even though Gary enjoys helping colleagues, we no longer provide free consults to other tax preparers. He's happy to consult on an hourly billing basis if our schedule allows.

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Back Tax CPA discusses IRS Notice CP 90, Final Notice of Intent to Levy and Notice of Your Right to a Hearing, Letter 1058, Final Notice, Notice of Intent To Levy and Notice of your Right to a Hearing, and IRS Notice CP504, Urgent! We intend to levy Certain Assets

IRS Notice CP-90 CPA, IRS Letter 1058 CPA, IRS Notice 504 CPA

Our virtual office means I can be your back tax CPA, wherever you live. (910) 399-2705.

Back tax CPAs see new Clients who’ve let the clock run out on their IRS back tax issues. They’ve received one of the three final IRS notices and need to do something quick before the IRS issues a federal tax lien and then levies the taxpayer’s assets. Game over.

The IRS has multiple tax collection departments, so the three common “final notices” look different but the process is similar. Here’s the top three deadliest IRS Notices:

  • IRS Notice CP 90, Final Notice of Intent to Levy and Notice of Your Right to a Hearing.
  • Letter 1058, Final Notice, Notice of Intent To Levy And Notice Of Your Right To A Hearing.
  • IRS Notice CP504,Urgent! We intend to levy Certain Assets.

Good News

These three letters and notices demand un-paid back taxes. Many of my “late” clients haven’t filed the original back tax returns covered by Notice CP 90, Letter 1098 or Notice CP 504. If a taxpayer hasn’t filed their own returns, the IRS files a substitute tax return for them. You really don’t want to accept their version of the back tax return. The substitute tax return doesn’t factor in legitimate deductions and credits.

Filing an accurate back tax return almost always decreases the IRS demand for back taxes which reduces the penalties and interest. Often there’s enough decrease in back tax liability to get the Clients head off the block. The game is still in play but taxpayer options increase.

“An accurate back tax return almost always decreases the IRS demand for back taxes, which reduces the penalties and interest. Often there’s enough decrease in the back tax liability to get the Client’s head off the block. The game is still in play but taxpayer options increase and taxes due decrease.” 
– Gary Bode back tax CPA

Back tax cases, even those submitted under Notice CP-90, Letter 1058 and Notice CP 504 can result in refunds. Strange but true.

Sometimes filing an amended return does the trick – maybe the IRS doesn’t see the whole picture

I had a Client who received an IRS Notice 504 demanding $190,000. The IRS received a Form 1099-C, Cancellation of Debt, from a rental real estate property foreclosure. The client’s copy went to a bad address. Cancelled debt becomes taxable income unless you exclude it using Form 982.

I just amended the return to include Form 982. Poof the cancelled debt income disappeared. The rental real estate foreclosure is a sale. The Client suffered enough loss on the sale to generate an IRS and State refund.

The timeline on Notice CP-90, Letter 1058 and IRS Notice CP 504

Back tax CPAs automatically send the IRS a request for more time to prepare the back tax returns. But with the three deadly notices above that’s not always possible. The taxpayer can request a CDP hearing, giving us 90 days to prove the IRS is wrong. We accept the CDP option with no intention of actually going to Court. I know it seems like a bad chess move but requesting the CDP hearing is sometimes logical.

Some Tax Positioning strategies if there’s time

Let’s look at a scenario where some back tax is still due despite the best efforts of your back tax CPA.

Tip: don’t squander valuable defense time by procrastination. Here are some tax positioning strategies that facilitate paying, and sometimes preventing an IRS tax lien.

  • Putting your IRS account in the currently non-collectible category. Sort of like Limbo.
  • Proactively posturing the Client for an Offer in Compromise e.g. have the IRS accept less than what you owe as full payment.
  • Setting up an Installment Agreement with the IRS. You might think this is a given. But it requires cash flow coordination with current tax returns and estimated tax payments for next year.

Back Tax CPA Fees

Often the cost of back tax return preparation is less than what I’d have charged if we had done them all on time. But the timeline is so tight and the IRS processes are so rigid there’s often more peripheral expenses. Moral of the story? Bringing your back tax return case to a CPA sooner helps both the back tax case outcome and lowers lower. Here’s a list of possible additional expenses:

  • Obtaining Power of Attorney for you with the IRS.
  • Dealing with multiple IRS notices.
  • Dealing with State Notices.
  • Letters to the IRS.
  • Looking at or positioning you to qualify for an Offer in Compromise.

If you receive:

IRS Notice CP 90, Final Notice of Intent to Levy and Notice of Your Right to a Hearing, Letter 1058, Final Notice, Notice of Intent To Levy And Notice Of Your Right To A Hearing, or IRS Notice CP504, Urgent! We intend to levy Certain Asset, time is running out, read a few of our back tax posts. Check us out through the NC CPA board and Angie’s list. Call us (910) 399-2705.

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