IRS Administrative Appeals Attorney in Bakersfield, California
Challenging an IRS Decision Before Going to Court
An unfavorable IRS decision does not always have to be the final word.
If you disagree with the results of an IRS audit, a proposed tax assessment, certain penalties, or an IRS collection action, you may have the right to take your case to the IRS Independent Office of Appeals. Appeals provides an opportunity to have your dispute reviewed outside the IRS examination or collection function—and, in many cases, to resolve the matter without litigation.
I represent individuals and businesses in Bakersfield, Kern County, and throughout California in administrative disputes with the IRS. My goal is not simply to ask the IRS to “take another look.” An effective appeal requires identifying where the IRS got the facts or the law wrong, developing the administrative record, and presenting the case in a way that gives Appeals a reason to resolve the dispute in your favor.
If you received an IRS letter giving you appeal rights, do not ignore the deadline. Contact my office to discuss your options.
What Is an IRS Administrative Appeal?
The IRS Independent Office of Appeals is separate from the IRS employees who conducted the audit or initiated the collection action.
Its purpose is to provide taxpayers with an independent administrative forum for resolving disputes with the IRS without immediately going to court.
That distinction matters.
An Appeals Officer is not simply another revenue agent reviewing the same audit. Appeals considers the strength of the IRS's position, the taxpayer's position, applicable tax law, supporting evidence, and—in appropriate cases—the hazards of litigation, meaning the risks the IRS and the taxpayer would face if the dispute proceeded to court.
For the right case, this creates an important opportunity to resolve a tax controversy before the cost and uncertainty of litigation.
When Can You Appeal an IRS Decision?
Appeal rights depend on the type of IRS action involved and the notice you received. Administrative appeals commonly arise from:
IRS Audit and Examination Adjustments
If an IRS audit results in proposed additional tax, penalties, or other adjustments, you may receive a 30-day letter giving you the opportunity to request review by the Independent Office of Appeals.
A properly prepared protest should do more than state that you disagree. It should identify the disputed adjustments, explain the relevant facts, address the applicable tax law, and provide the evidence supporting your position.
If your dispute began with an audit, you can also learn more about my IRS Audits & Examinations practice.
IRS Penalty Appeals
Many IRS penalties can be challenged administratively.
Depending on the circumstances, an appeal may involve disputes concerning reasonable cause, statutory exceptions, incorrect factual assumptions, improper application of the Internal Revenue Code, or whether the IRS followed the required procedures before imposing the penalty.
Collection Due Process Hearings
Certain IRS collection actions—including a proposed levy or the filing of a federal tax lien—may give a taxpayer the right to request a Collection Due Process hearing, commonly called a CDP hearing.
A CDP hearing may provide an opportunity to challenge the proposed collection action, raise appropriate procedural issues, request collection alternatives, and, in certain circumstances, dispute the underlying tax liability.
These deadlines can be extremely important. A taxpayer who timely requests a CDP hearing may also preserve rights that are not available through an untimely or equivalent hearing.
Appeals of Other IRS Determinations
The Independent Office of Appeals also handles a number of other tax disputes, including certain:
- Trust Fund Recovery Penalty matters
- Rejected Offers in Compromise
- Installment agreement disputes
- Innocent spouse determinations
- Interest abatement disputes
- Audit reconsideration matters
- Collection Appeals Program cases
- Refund and other examination-related disputes
The correct procedure depends on the notice, tax period, type of tax, and procedural history of the case.
How I Handle an IRS Administrative Appeal
I do not approach an IRS appeal as a second audit.
By the time a case reaches Appeals, I want to understand exactly what the IRS is relying upon, where the disagreement actually lies, and what would happen if the case did not settle.
I start by reviewing the IRS notices, examination reports, transcripts, correspondence, prior submissions, and supporting records. I separate factual disputes from legal disputes and identify weaknesses in the government's position as well as weaknesses in my client's case.
Then I determine how the case should be presented to Appeals.
Sometimes the strongest argument is straightforward: the revenue agent misunderstood a transaction, ignored documentation, used the wrong legal standard, or made an assumption that is not supported by the evidence.
Other cases require a more technical approach. The issue may turn on the Internal Revenue Code, Treasury Regulations, IRS administrative guidance, judicial decisions, burdens of proof, statutes of limitation, or the procedural steps the IRS was required to follow.
And sometimes the best result comes from recognizing that neither side has a perfect case.
That is where Appeals can be particularly valuable. Unlike the examination function, Appeals can evaluate the hazards of litigation and consider the likelihood that either side would prevail if the dispute ultimately went before a court.
My job is to put the case in the best possible position before that conversation takes place.
I want the Appeals Officer to understand not only that my client disagrees with the IRS, but why the government's position may not hold up.
The Written Protest Matters
One of the most important parts of an IRS administrative appeal can occur before the Appeals conference ever takes place.
In many cases, the taxpayer must submit a written protest explaining the basis for the appeal.
A strong protest should be organized, credible, and focused on the issues that matter. Depending on the case, I may address:
- The specific IRS adjustments being challenged
- Relevant facts and supporting documentation
- Errors in the revenue agent's factual findings
- Applicable Internal Revenue Code provisions
- Treasury Regulations
- Relevant federal court and Tax Court decisions
- IRS procedural requirements
- Statute of limitations issues
- Penalty defenses
- Evidentiary weaknesses
- Hazards of litigation
- Alternative settlement positions
Throwing documents at the IRS without explaining their significance is rarely an effective strategy. The evidence should support a coherent legal and factual position.
What Happens at an IRS Appeals Conference?
IRS Appeals conferences are generally less formal than court proceedings. Depending on the case, conferences may take place by telephone, video, correspondence, or in person.
During the appeals process, the Appeals Officer reviews the disputed issues, the IRS's position, the taxpayer's position, supporting evidence, and applicable law.
The case may result in:
- The IRS position being sustained
- The taxpayer prevailing on one or more issues
- Adjustments being reduced
- Penalties being removed or reduced
- A negotiated settlement
- A collection alternative
- Resolution based on the hazards of litigation
- The case proceeding toward litigation if no agreement can be reached
Not every case should settle, and not every IRS determination can be successfully appealed. The objective is to evaluate the case realistically and pursue the result that makes sense based on the facts, the law, and the taxpayer's available procedural options.
Do Not Miss Your IRS Appeal Deadline
IRS appeal rights are often tied to strict deadlines.
For example, many examination disputes provide approximately 30 days to request Appeals consideration. Collection Due Process rights are also subject to specific filing deadlines.
If the IRS has already issued a Statutory Notice of Deficiency, commonly called a 90-day letter, the situation becomes even more time-sensitive. The deadline for filing a petition with the United States Tax Court generally cannot simply be extended because the taxpayer is negotiating with the IRS.
If you have received a notice from the IRS, the first thing I want to know is:
What notice did you receive, and what is the deadline?
That determines what options remain available.
IRS Appeals for Bakersfield and Kern County Taxpayers
Federal tax controversies are different from many other legal matters. Your Appeals Officer does not necessarily need to be located in Bakersfield, and many IRS appeals are handled remotely.
But having a tax controversy attorney who practices in Bakersfield and Kern County gives local individuals and business owners a place to bring the IRS letter, sit down, and determine what it actually means.
I represent taxpayers facing federal tax disputes throughout Bakersfield, Kern County, and California, including business owners, professionals, self-employed taxpayers, corporations, partnerships, and individuals dealing with significant IRS liabilities.
Whether the dispute involves an audit adjustment, penalties, payroll taxes, a federal tax lien, a proposed levy, or another IRS determination, the first step is identifying the procedure available to challenge it.
IRS Appeals Frequently Asked Questions
Do I need an attorney for an IRS appeal?
You are permitted to represent yourself before IRS Appeals, but you are also entitled to have a qualified representative, including an attorney, represent you.
Whether representation makes sense depends on the size and complexity of the dispute. When substantial tax, penalties, business issues, legal interpretation, or potential litigation is involved, having a tax controversy attorney develop and present the case can be particularly valuable.
Is IRS Appeals independent from the auditor?
Yes. The Independent Office of Appeals is separate from the IRS Examination and Collection functions responsible for audits, assessments, and collection actions. Its role is to provide an independent review of qualifying disputes.
What is a 30-day letter from the IRS?
A 30-day letter generally gives a taxpayer an opportunity to challenge proposed IRS examination adjustments through the administrative appeals process before the IRS proceeds to the next stage of the deficiency process.
The particular letter and deadline should always be reviewed carefully.
What is the difference between a 30-day letter and a 90-day letter?
A 30-day letter generally provides an opportunity to request an administrative appeal.
A 90-day letter, or Statutory Notice of Deficiency, generally provides the right to file a petition with the United States Tax Court challenging a proposed deficiency without first paying the disputed tax.
They are not interchangeable, and missing the applicable deadline can significantly change your options.
Can IRS Appeals reduce the amount I owe?
Potentially. Appeals may resolve disputed tax adjustments or penalties when the facts and law support the taxpayer's position. Appeals can also consider litigation risk in appropriate cases and may reach settlements reflecting the hazards of litigation.
That does not mean every case will receive a compromise. The outcome depends on the specific facts, law, evidence, and procedural posture.
Can I appeal an IRS levy or tax lien?
Certain liens and proposed levy actions provide administrative appeal rights, including Collection Due Process procedures. These cases have their own deadlines and rules.
If your matter involves enforced collection, see my pages on IRS Tax Collections and Liens, Levies & Wage Garnishments.
What if I already missed the Appeals deadline?
You may still have options, but they depend heavily on what notice was issued and when.
Possible procedures can include an Equivalent Hearing, audit reconsideration, a Collection Appeals Program request, a refund claim, an Offer in Compromise based on doubt as to liability, or litigation in the United States Tax Court or another federal court.
Do not assume that a missed deadline means nothing can be done—but do not assume the next deadline can be missed either.
Speak With a Bakersfield IRS Appeals Attorney
If you disagree with an IRS decision, the administrative appeals process may be your best opportunity to resolve the dispute before litigation.
The earlier I become involved, the more opportunity I have to review the administrative record, identify the disputed issues, preserve deadlines, and determine how the case should be presented.
I represent individuals and businesses in Bakersfield, Kern County, and throughout California in IRS administrative appeals and federal tax controversies.
Received an IRS 30-day letter, audit report, penalty notice, levy notice, lien notice, or other letter giving you appeal rights? Contact my office to discuss the notice before the deadline passes.