You’ll get an honest answer from us.
Answers to the most Frequently Asked Question of IRSmedic founder, Anthony E. Parent, Esq.
- Why do you refer to your law firm, Parent, Parent & Wynn LLP as IRSMedic?
- What was it like going to law school with your father?
- What is it like dealing with the IRS?
- Why is tax court so difficult?
- The audit process sounds incredibly painful. Is it?
- Can a levy actually result in a family of three living on $300 a week?
- Can I get rid of back taxes through bankruptcy?
- Are offers in compromise routinely granted?
- If I already owe money to the IRS, do I make things worse by filing my taxes?
- Can I protest the policies of the government by not filing my taxes?
- Do these ‘tax resolution’ resolution companies bother you?
- Can the IRS seize my car?
- Can the IRS levy social security?
- Are IRS agents aware of all current business endeavors?
- If I overpaid the IRS, can I get my money back any time?
- Can’t I just claim ten exemptions so less is taken out of my paycheck?
- Am I financially better off paying down my credit cards, or paying down my IRS bill?
- I have more questions.
“I chose the name IRSMedic, for two reasons. The first is practical: the domain was available. The second reason is that I wanted a name that described what we did,” explains firm founder Anthony Parent. He adds “My partner/father, Capt. David G. Parent, Esq. (Ret.) earlier in his life served as an U.S. Army medic. When I was a boy, I asked him, ‘Dad, what does a medic do?’ He responded, ‘A medic’s job is to get a solider who is all banged-up out of a tight spot, quickly.’ So I thought it was perfect word to describe what we do. It was a wonderful coincidence that the domain was available.”
Over the years, the firm’s vision has expanded: “While we want to be known as the law firm to call when the IRS comes knocking, we’ve learned over the years, that getting our clients safely out of the figurative line of fire is just part of the job. Our complete mission is to ensure that they never have to deal with a tax problem again.”
What was it like going to law school with your father?
Attorney Parent relays the very interesting story of his law school experience, graduating simultaneously with David G. Parent: “My father was still working as an Accountant for the City of New Haven when he was accepted into Quinnipiac University School of Law in 1998. So he was on a part-time/four-year night program that would end in 2002. During his first year, I was working at Ford Motor Credit. Around the dinner table, he would discuss the interesting cases he was learning, but most of it was over my head. I grew intensely jealous of the education he was receiving. So I decided that I would go to law school — full time. Quinnipiac was the only law school I applied to and the only one I wanted to go to. Because of my late application it was only 3 weeks before the Fall 1999 term started that I received that happy letter in the mail informing me that I, like my father, had the opportunity to join the class of 2002.”
“Because my dad was taking classes at night and I was taking classes during the day, and because of his year head start, we actually only had two classes together. And one of them was, yes, U.S. taxation. I can tell you this about my father, he was directly responsible for many of the good grades. He helped a tremendous number of our classmates to understand US tax law. He also helped me earn my ‘A,’ right next to his.”
“At graduation, I walked next to my father. I didn’t think anything out of the ordinary. Then we sat down. I looked up in the stands and saw my younger brother, Frank. I remember his look of pride beaming down. And then I starting thinking to myself, ‘even if I hadn’t gone to law school, I would be here today. Next to my brother. Being so proud of my father.’ “
“And it was just about there, I lost it. I became very emotional because I finally understood how lucky and fortunate I was to go through one of the great challenges in life, law school, with my father as a peer. When they got to our names, they stopped the hooding ceremony and announced a law school first, a simultaneous graduation of a father-son team from law school. The audiences cheered wildly beyond anything I expected. Tax professor Toni Robinson ‘hooded’ me and tax professor Mary Ferrari ‘hooded’ my father.”
“What’s it like going to law school with my father? About the same as being in business with my father. I count my blessings every day.”
What is is like dealing with the IRS?
“It can be done. My father’s first career was with the State of Connecticut and the city of New Haven, as I mentioned. So he very carefully taught me about how to get things done in a bureaucracy. And before we started focusing exclusively on tax in 2006, I was a special public defender and I appealed some rather heavy-duty cases. For the most part, my job — and this is my opinion — was just to go through the motions. It is very difficult to win a direct criminal appeal, let alone the habeas corpus actions I was assigned. However, I can tell you that the long odds only encouraged me. I understood, completely, that I represented the ‘bad guys.’ And the court would do anything in their power to keep the ‘bad guys’ from getting out of jail or a new trial. So when I built an appeal case, I built it solidly. I would look to see where other similar cases failed. Like most ‘successful’ public defenders I lost a lot of cases, but I actually did manage to win a couple. What is it like dealing with the IRS? They are less hostile than criminal appeal courts and that’s a plus. Also, the case-building skills that I developed to argue criminal appeals, I applied to our tax practice. And I have found that to be our key to success. The IRS is so incredibly friendly and receptive to alternatives when they have documentation that supports our claim.”
Why is tax court so difficult?
“Cases are often dismissed because someone missed a filing deadline — or a proper record was not developed. This is the number one reason why taxpayers must be sure they have proper and capable legal representation. As an attorney, my thoughts are not on winning the immediate victory, but if unsuccessful, how do we win on appeal? In order win the evidence and arguments must be all fully developed. That is very difficult for the layperson or average CPA attorney to accomplish. The IRS’ attorneys are usually reasonable and are willing to negotiate, but they will only negotiate if the case can’t be kicked out on a technicality.”
The audit process sounds incredibly painful. Is it?
“If you have inadequate representation, audits can be one of your worst experiences, and from a financial perspective, very painful. Read this terrific article my dad wrote about the perfect audit. It’s funny and it’s true. Read some of our success stories to find out how the audit process can sometimes result in a pleasant surprise.”
Can a levy actually result in a family of three living on $300 a week?
“Yes. Levies are extremely painful. If you are ignoring a tax issue, keep in mind that a levy is one of the most common reasons clients come to us — that is the ‘medic’ part of IRSMedic. It is much easier, and less expensive, if you contact us before you receive a levy. Don’t ignore this possibility. The IRS will levy as far back as ten years, and they have teams of specialists who focus on levying old cases.”
Can I get rid of back taxes through bankruptcy?
“Bankruptcy is a great way to get rid of back taxes. However, there are huge caveats. Only certain types of taxes can be discharged and there are specific filing requirements. Other tax companies won’t necessarily give you an honest answer about bankruptcy, because they are not attorneys and can’t help you with the bankruptcy process. Contact us if you think bankruptcy may be an option for you. We’ll let you know what all your choices are, and offer you our best advice.”
Are offers in compromise routinely granted?
“For us, yes. But that is because will will only submit an Offer in Compromise when it has a chance to be accepted. We will build a case and document it heavily so that an IRS agent will have the ability to grant the relief we seek. If you think you can fill out a form 656 like a tax return and hope for the best, forget about it. The IRS is not stupid. They will only accept an offer in compromise if it is in their best interest. It is our job to prove to the IRS that the little amount that we are offering is in the IRS’ interest to accept. And if we are denied, we have at least set ourselves up for a winning appeal. To read about one of our success stories, click here.”
Can I protest the policies of the government by not filing my taxes?
“Tax protesters get the full brunt of the IRS. The federal courts do not rule in favor of tax protesters, in spite of any and every internet rumor. Here is an article I wrote on a book about one sophisticated American who made the mistake of believing what he wanted to believe. There are other more successful ways to protest the policies of the local, state, or federal governments. Whatever your personal beliefs about the tax code, it is the law.”
Do these ‘tax resolution’ resolution companies bother you?
“I’ll be honest, they do. They are excellent at spreading myths. They are excellent at mishandling cases. They are excellent at convincing people that they should be trusted. Some of their fees are higher than what we charge! Look, I think competition is great. We are not the tax resolution law firm for everyone. However, people deserve honesty and competence. Eighty percent of our clients have tried someone else before hiring us to finally end their tax problems. I wish people would just call us first. The way a tax attorney works and thinks is different than any other type of tax professional. One of our associates, Michelle Wynn, Esq. noted this in an article she wrote about offshore bank account audits. We can save a lot of money and aggravation.
Can the IRS seize my car?
“Vehicle seizures are rare. Seizures overall are rare. But they are more likely to happen if you have a second vehicle not tied to business use, or if you are using the car as a device to frustrate collection. Purchasing a very expensive car after you’ve received an assessment from the IRS doesn’t protect your assets.”
Can the IRS levy social security?
“Yes. The IRS can (and does) levy social security. We’ve worked with many clients who have faced these circumstances. Click here to read one of our recent cases.”
Are IRS agents aware of all current business endeavors?
“It sometimes takes the IRS years to figure out that a taxpayer has not been in compliance. But this is not a good thing. Taxpayers take this as a sign that the IRS isn’t concerned with them, allowing the problem to get much much worse, because when the problem is discovered, the taxpayer is liable for the interest that’s accrued. If you have already been deemed to be a problem taxpayer, the IRS is watching you very closely. We can help you file back taxes, and get in front of any tax problems before the IRS catches up with you. In doing so, you have a better chance of a more favorable (and less expensive) outcome. Contact us and we’ll get started.”
If I overpaid the IRS, can I get my money back any time?
“Generally, you only have 3 years from the date the return was filed or 2 years from the date the tax was paid to seek a refund. So if you have refunds coming to you from unfiled taxes, you may lose them permanently if you don’t act quickly.”
Can’t I just claim ten exemptions so less is taken out of my paycheck?
“Only if you actually have ten exemptions. Otherwise, it becomes a problem that gets compounded year after year, and results in a tax bill that is much more than if you had claimed the correct number of exemptions every year.”
Am I financially better off paying down my credit cards, or paying down my IRS bill?
“I don’t know. While it is generally better to pay the IRS first, there needs to be a plan in place. Just throwing money hoping to buy time with the IRS is not a plan. Our 7-steps process is a plan.”
I have more questions.
Please feel free to contact us. One of our attorneys would be glad to discuss your particular concerns.