Serving Individuals and Businesses Throughout Fairfax
Individual taxpayers and businesses face potentially significant penalties for violations of state and federal tax laws. Even making simple mistakes on a tax return may have serious ramifications. If you are involved in a tax controversy with the Internal Revenue Service (IRS) or state and local tax authorities, you are well-advised to seek to trusted legal advice.
Located in Fairfax, Surovell Isaacs & Levy PLC represents individual taxpayer and businesses in Northern Virginia who are facing an audit or are otherwise involved in a tax controversy. Our legal team is comprised of former IRS attorneys and FBI Special Agents with firsthand experience handling a wide range of tax-related issues and controversies from both sides, including:
- Tax disputes and litigation
- Tax Audits
- Income tax evasion
- Failing to pay sales taxes
- Levies and liens
- Administrative appeals
- Installment Agreements
- Offers in Compromise
- Unified tax returns
- Civil and criminal tax fraud
- FATCA Compliance/voluntary offshore disclosure programs
Knowing that tax authorities relentlessly pursue individuals and businesses in the course of civil tax disputes or criminal investigations, we work tirelessly to protect the rights and interests of our clients.
The IRS has the power to impose financial penalties that may be added to the total tax bill. In its capacity as a tax collector, the IRS may also place a lien on your home or car, implement a tax levy or even seize income, financial accounts and other property to satisfy your tax debt. At Surovell Isaacs & Levy PLC, we tailor solutions for each client’s situation, including:
- IRS Installment Agreement and Payment Plan — In this arrangement, a predetermined amount is paid to the IRS in monthly installments over time until the tax debt, which includes any interest and penalties, is paid in full.
- Offer in Compromise — Tax debts may be settled for less than the entire amount owed, provided that the IRS finds that making full payments would cause the taxpayer serious financial hardship.
We work closely with our clients to fully explore their options and also advocate on their behalf before the IRS to reach negotiated settlements. It is worth noting that if there is a valid reason for a tax delinquency, such as financial hardship, or an honest mistake led to an underpayment of taxes owed, the IRS may agree to a penalty abatement or other form of tax relief.
Other Tax Penalty Relief Options
While the IRS has far-reaching power to assess penalties, we level the playing field by negotiating with tax authorities to obtain tax penalty relief for our clients through:
- Tax Penalty Abatement — An IRS program that permits taxpayers to reduce (“abate”) penalties that have been assessed. There must be a valid reason outlined in the IRS Penalty Handbook, such as receiving incorrect advice from a tax preparer, serious illness, or significant disability.
It is worth noting that qualifying for an abatement requires showing that the taxpayer exercised reasonable care and prudence in determining his or her tax obligation. Additionally, a first-time penalty abatement (FTA) allows penalty relief for a single tax period solely for those who have a history of compliance.
- Waivers — The IRS offers two types of waivers — administrative or statutory — in limited circumstances. Administrative waivers are typically announced in an IRS policy statement or new release clarifying or interpreting a new policy or provision or correcting an error by the agency, such as failing to make necessary forms available to taxpayers. An FTA is one type of administrative waiver.
A statutory waiver will only be granted for specific reasons, such as the taxpayer relied on poorly written advice from the IRS; a filing was late because the taxpayer was serving in a declared combat zone; a deadline was postponed in response to a federally declared disaster.
What is tax evasion?
Tax evasion, the deliberate misrepresentation of assets to avoid paying taxes, includes activities such as:
- Failing to file tax returns
- Understating income and assets
- Overstating tax deductions
- Filing false tax returns
- Sales tax fraud
- Failure to pay employment withholding taxes
In addition, the penalties for tax evasion depend on factors such as whether it is a state or federal charge, and the amount of unpaid taxes. Both civil and criminal penalties apply at the federal level, including fines up to $100,000 ($500,000 for a corporation) and as many as five years in federal prison. In Virginia, tax evasion may also lead to financial penalties and felony or misdemeanor charges. In any event, being charged with tax evasion is a serious matter, which makes having proper legal representation crucial. Our attorneys have a well-earned reputation for successfully trying civil and criminal tax fraud cases in state and federal court.
Fairfax County & Arlington County Tax Law Attorneys
Let’s face it: Being involved in a tax controversy can be overwhelming, and the odds are stacked against you when it comes to dealing with tax authorities. Surovell Isaacs & Levy PLC is fully equipped to provide you with powerful legal representation. Well-versed in applicable state and federal tax laws, we will leverage our legal knowledge and skill to obtain tax penalty relief for you or your business. Through the years, we have served as trusted advisors and dedicated advocates of those involved in tax penalty disputes with the IRS and other tax controversies. You will have peace of mind knowing that we are in your corner, fighting for your rights. Call our office today or complete the contact form on our website to set up a consultation.