Navigating the IRS Appeals Office Process: Achieving Settlement, Avoiding Litigation

An often overlooked vehicle for resolving taxpayer disputes is the IRS Appeals Office. While many practitioners view the Appeals Office as a last resort measure and focus on trying to reason with a revenue agent, the structure of the Appeals Office and the powers vested in an Appeals Officer may lead to a resolution that cannot be achieved during the examination, and without litigation.

The Appeals Office is charged with the mission of acting to “resolve tax controversies, without litigation, on a basis which is fair and impartial to both the Government and the taxpayer.” As a component of the mission to avoid litigation, Appeals Officers possess broad powers to resolve taxpayer protests and challenges.

The appeals process has several essential steps which CPAs and EAs must navigate, above any strategic considerations. For tax advisers representing clients in IRS disputes, a thorough understanding of the policies and procedures of the Appeals Office is essential to resolving tax controversies.

In October 2016, the Service announced a number of policy changes that impact taxpayers pursuing formal appeals. Even tax advisers who have experience in practicing before the Appeals Office must be aware of these changes to avoid costly mistakes in representing clients before the Appeals Office.

Listen as our experienced panel provides a thoroughly detailed and practical guide to navigating the IRS Appeals Office process to achieve advantageous tax settlements.

1. Structure of IRS Appeals Office
   1. Settlement authority vested in Appeals Officers
   2. “Litigation hazards” consideration
   3. Appeal Officers’ authority to reopen previously closed cases and assessments
2. Process of filing an appeal
3. Tactics and strategies for pursuing a claim through the Appeals Office
4. Collection appeals and requesting a collection due process hearing or appeal
5. Illustrations and examples

The panel will discuss these and other critical topics:

• What challenges may a taxpayer bring to the Appeals Office?
• How does the requirement that an Appeals Officer consider the “hazards of litigation” serve as an advantage to taxpayers and advisers in bringing an appeal?
• When should a taxpayer docket a case before going through the appeals process?
• Using the appeals process to challenge collection actions or address tax assessments that have not yet been challenged
• How do the policy and procedure changes announced in October 2016 impact taxpayers and advisers pursuing formal appeals?

Learning Objectives

After completing this course, you will be able to:

• Determine scenarios where a taxpayer may receive a more favorable settlement or resolution by pursuing an appeal through the IRS Appeals Office
• Recognize how the specific settlement authority and incentives vested in IRS Appeals Officers can be leveraged to a taxpayer’s advantage
• Discern critical tactical and strategy considerations in pursuing cases through the Appeals Office
• Identify critical steps in the appeals process

• Field of Study: Taxes
• Level of Knowledge: Intermediate
• Advance Preparation: None
• Teaching Method: Seminar/Lecture
• Delivery Method: Group-Internet (via computer)
• Attendance Monitoring Method: Attendance is monitored electronically via a participant's PIN and through a series of attendance verification prompts displayed throughout the program
• Prerequisite: Three years+ business or public firm experience at mid-level within the organization, preparing complex tax forms and schedules; supervisory authority over other preparers/accountants. Knowledge and understanding of IRS audit procedures, the IRS Appeals Process, Audit Reconsideration Requests and responding to Information Document Requests from the IRS.

Strafford Publications, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of Accountancy have final authority on the acceptance of individual courses for CPE Credits. Complaints regarding registered sponsons may be submitted to NASBA through its website: www.nasbaregistry.org.

IRS Approved Provider

Strafford is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).