These days, it’s not hard to see so many people in serious financial trouble. We at Gartzman Law Firm, see too many clients facing such dire situations on a daily basis. This economic downturn has gone on for so long; it has affected people in every industry and at every economic level. It has also created a new sector: the chronically unemployed or underemployed worker. Many who have joined this sector, often through no fault of their own, are struggling to keep up with their obligations and find themselves sinking financially further and further underwater without a life ring.

The financial troubles that result from little or no income can be due to several factors including the following: prolonged unemployment or under-employment, an extended illness, sickness and or the death of a loved one. Individually, these troubles can throw any household into turmoil. Coupled with the added stress of little or no income and the pressure to pay the mortgage to keep a roof over their heads, has many turning to foreclosure for relief.

According to a recent Realty Trac study on Georgia foreclosures:

• 1 in every 352 housing units in Georgia received a foreclosure filing in September 2011

• Georgia ranks fourth in the nation for the most recent foreclosure activity at 11,552. (California is number 1 with over 53,000 followed by Florida and Michigan).

Given abysmal statistics like these and an economic recovery slow to materialize, it’s sad to see so many families feeling forced to let their house “go back to the bank” and default on their mortgage. However, while the relief of this burdensome debt might seem appealing in the short term, there are tax ramifications to this decision that, if not resolved, could quickly bring back the financial stress again.

Before considering the drastic steps to foreclosure, understand that there may be more options available to you.  As a tax lawyer based in Georgia, I recommend that you consult a qualified CPA or tax attorney to help you wade through the details of your individual situation in your specific area. Their purpose is to provide you with the best financial options available helping to ensure these tax problems become a thing of the past.

The prevention of foreclosure is always advised and should top the list for consideration. There are many government resources available to distressed homeowners who perhaps need additional information. One place to start is the US Department of Housing and Urban Development website to educate yourself on such topics as: rights as a homeowner, seeking help to work with your lender and how to avoid scams targeted at desperate homeowners.

If after weighing all your options foreclosure seems to be the only solution, consider that you could be trading one problem (getting out of a mortgage) for another (owing additional taxes).

Here are a few things to be aware of if foreclosure becomes your only option:

Debt cancellation
The IRS states that if you borrow money from a commercial lender and the lender later cancels or forgives the debt, you may have to include the cancelled amount in income for tax purposes, depending on the circumstances. This means that if you cannot pay your mortgage balance, the bank forgives or cancels that debt and reports that amount to the IRS to tax that same amount as income. There are exceptions that may apply to many homeowners:

• The Mortgage Debt Relief Act of 2007 (set to expire in 2012) allows for a taxpayer who defaulted on the loan to their primary residence to exclude the cancelled loan amount as income on their next tax return.

• Bankruptcy: Debts discharged through bankruptcy are not considered taxable income.

• Insolvency: If you are insolvent when the debt is cancelled, some or all of the cancelled debt may not be taxable to you. You are insolvent when your total debts are more than the fair market value of your total assets.

There are several exceptions to the taxability of cancelled debt, such as insolvency or bankruptcy that your tax attorney or CPA will take into consideration for your case.  Given the current economic state, the IRS has adjusted some programs aimed at distressed homeowners with tax problems that deal with federal tax liens on homes. While these programs are helpful, be aware of whom you are dealing with; the IRS is not going to give anything away without taking something in return. At the end of the day, the IRS is still a tireless collection agency out to get what they’re due. Without proper IRS representation on your side against the IRS that can help plan a new financial road map, you may be doing damage to your own case. These tax professionals understand how the IRS works and they use that knowledge and experience to bring resolution to a client’s tax problems.

When to hire a Tax Attorney and CPA for IRS Representation
Certain cases can be handled with the IRS directly but if you find yourself considering a harsh and difficult decision like foreclosure, its tax implications and your financial future, you shouldn’t face the IRS without equal footing. Being a Tax Attorney and CPA based in Atlanta, I recommend that in situations that require both tax and legal advice, it’s best to hire professionals who best understand IRS business practices and can navigate those often complicated, murky legal and tax waters.  These legal and tax professionals work directly with the IRS on behalf of a client to resolve the following tax problems: an IRS notice, IRS lien, IRS appeal, including an Offer in Compromise, setting up an IRS payment plan, or penalty abatement, bankruptcy discharge of tax review. By taking the first step and calling for a consultation, you can begin to plan a brighter future on sound financial footing.

About Jeffrey S. Gartzman, Atlanta Tax Attorney and Certified Public Accountant
Jeffrey S. Gartzman is an accomplished Atlanta tax attorney and CPA who has been practicing tax law in Atlanta for nearly 30 years. He will help you resolve IRS and state tax problems, find tax relief and settle tax debt. Jeffrey S. Gartzman has a Master of Laws (LL.M.) in Tax from Emory University School of Law. Jeffrey S. Gartzman is a former IRS Taxpayer Education Program instructor. He is also an accredited Personal Financial Specialist with the American Institute of CPAs. Mr. Gartzman is a member of the Atlanta Bar Association, State Bar of Georgia, Georgia Society of Certified Public Accountants, American Institute of Certified Public Accountants, and other professional associations.

Atlanta taxpayers with IRS problems, back taxes, or tax debt know they need tax relief but aren’t sure who to turn to. Do you need a Certified Public Accountant or an Atlanta tax attorney? What’s the difference anyway? You want to get the best advice for your unique tax problem, but you also don’t want to pay for more muscle than you need.

Bottom line – a good CPA will keep you from getting into tax trouble, an Atlanta tax lawyer will help you get out of tax trouble and get you tax relief.

If you’re looking for someone to prepare your taxes, a CPA with the right training and certifications can help you with solid financial and tax help. If the IRS is breathing down your neck, threatening you with tax liens, tax levies, wage garnishments, or worse, then you need the big gun that an Atlanta tax attorney can bring to the table.

Jeffrey S. Gartzman is both an Atlanta tax attorney and CPA in Atlanta who has helped clients get out of tax trouble with the IRS and Georgia Department of Revenue, and also prepare income taxes, for nearly 30 years. He has helped clients in a tricky tax debt situation who tried to deal with the IRS on their own or turned to an inexperienced advisor instead of an Atlanta tax lawyer. Tax relief is in reach. Contact Gartzman Law Firm today at (770) 939-7710.

If the IRS is making your life miserable with threats and harassment, a reputable Atlanta tax attorney is your best shot at tax relief. An expert in tax resolution, he or she will walk you through the best options to try to fix your IRS tax problems, find tax relief, and settle tax debt, tackle IRS tax disputes, settle back taxes and resolve tax debt, tax audits, tax appeals, and tax liens and levies with effective legal counsel.

While most people quake at the thought of taking on the IRS, Atlanta tax lawyers are the specialists you need to successfully handle your tax audit or appeal and settle your tax debt for the lowest amount in full compliance with the tax laws.

Your professional Atlanta tax attorney should have years and years of experience dealing with the IRS, and coming out a winner. He or she will know the ins and outs of the tax code and use it to get you tax relief.

Whether you have a problem with Georgia state tax resolution, settling back taxes and IRS debt, tax appeals, tax liens or levies, your Atlanta tax lawyer will bring you top-notch legal and tax counsel. They will walk you through the best legal course of action, examining the details of your unique situation and bring palatable options to resolve your tax problems including an IRS appeal, Offer in Compromise, setting up an IRS payment plan, or bankruptcy tax review.

The best Atlanta tax attorneys assist clients with innocent spouse relief, bankruptcy discharge of tax review, and payroll tax problems. They will provide keen guidance in preparing federal income taxes and Georgia state tax returns, minimizing taxes, and tax planning aimed at the best outcome for individual or corporate taxes. They might even offer to perform an IRS Audit Exposure Review to determine your chances of surviving an IRS audit, and then thoroughly lay a course of action for preparation.

If you have problems with the IRS, call an Atlanta tax lawyer now. You have too much to lose. Contact Jeffrey S. Gartzman at Gartzman Law Firm at 770-939-7710 and get an experienced Atlanta tax attorney on your side.

If you needed surgery, would you attempt to do it yourself? An IRS tax audit is just as critical for your tax, financial and business wellbeing, so don’t go it alone.

Ask anyone who has tried to “DIY” the audit process unsuccessfully: The IRS has been far more aggressive in tax audits and collection efforts in recent years. Taxpayers are not guaranteed flexibility from the IRS. Learn from my Atlanta tax relief clients who have found tax help with expert tax attorney representation, even at the eleventh hour with an IRS audit.

It’s never too late to hire an Atlanta tax attorney

If you receive notice from the IRS that you’re being audited, representing yourself can be dangerously inefficient and close doors on key opportunities that your tax attorney will understand from the start.

A textbook example is the taxpayer who either ignored the IRS audit notice or dealt with the IRS auditor alone. Take advice from my Atlanta tax relief clients who tried an IRS audit alone and wish they hadn’t.

IRS audit lessons you don’t want to learn the hard way:

• They missed the opportunity for an administrative appeal and are left with hard choices, like tax court or IRS tax debt with no way out.
• The IRS auditor found their tax and financial records were incomplete or too disorganized.
• The process was confusing because they didn’t speak the tax lingo of the IRS auditor.
• Staggering interest and penalties were accumulating the entire time they ignored or delayed the tax audit.
• They don’t know of or understand their legal and financial options for surviving an IRS audit or the tax audit follow-up process.
• They get stung with a large assessment for several years of previous tax returns, unfiled taxes, or back taxes – not just the year for which they were being audited.

If you find yourself at the brink of an IRS audit failure, a tax attorney can intervene and provide tax help in many critical ways. As your tax attorney, my job is to interface with IRS personnel on your behalf.

Last minute tax representation is always better than none. However, you have a significantly better chance to successfully navigate an IRS audit if you get a tax attorney on your side the minute you learn you’re being audited.

Jeffrey S. Gartzman, Atlanta Tax Attorney and CPA, has been providing Atlanta tax relief for over 28 years. If you are facing an IRS audit, contact Gartzman Tax Law to get a tax attorney on your side immediately. Call the Gartzman Law Firm today at (770) 939-7710.

Small business owners are targets for a record year of increasing IRS tax audits. If you are an Atlanta small business owner, you probably have an accountant and an attorney on speed dial. But if you don’t have an Atlanta tax attorney who specializes in business taxes, you could get eaten alive by the IRS.

Are you filing as the right business entity?

I see it happen every year: a small business owner with LLC status files business taxes as an S-corporation. To file as an S-corporation, a business owner must first elect to be taxed as an S-corporation, and some accountants and attorneys can overlook this tax law detail. If you don’t file this election, you will inadvertently set yourself up for IRS tax problems like back taxes. As a last attempt at tax relief, your tax attorney might work with the IRS to recognize S-corporation status retroactively.

Whether you are facing IRS collection efforts of business back taxes, or you’re questioning whether you’ve filed income taxes correctly, an experienced tax attorney and CPA can help you by:

• Filing or reviewing your state and IRS income taxes correctly
• Interfacing with the IRS collection agents, auditors, or IRS attorneys so you don’t have to
• Taking control of an IRS collection effort or IRS tax audit and guiding you through the process efficiently
• Explaining the options and opportunities you have for business tax relief – that you might not be aware of or capable of pursuing without tax representation

Small business owners need tax law specialists

Your small business is your entire financial foundation. Dealing with back taxes, IRS collection efforts, or an IRS audit without a tax attorney may be like trying to ride out a hurricane without shelter. Learn more about what to expect during an IRS tax audit in my post on How to Survive an IRS Tax Audit.

Accountants are specialists who work hard to bring order to your finances and present your business bottom line. But if your accountant is your only source of tax information, hire a tax attorney for tax law expertise and to negotiate on your behalf with the IRS. It’s your job to focus on your business, and a tax attorney and CPA will handle business tax returns or IRS audits the right way to minimize impact to your operations.

An Atlanta tax attorney can provide tax help to small business owners to meet IRS deadlines, make sure you don’t miss opportunities for a tax appeal, and to try to waive penalties or decrease the amount of penalties and interest that could break the bank.

With combined expertise as an Atlanta tax attorney and CPA, Jeffrey S. Gartzman offers Atlanta small business clients the legal counsel and sound financial advice they need to survive IRS tax problems. If you need small business tax help, contact the Gartzman Law Firm today at (770) 939-7710.

Most people don’t realize that taxpayers who owe just $5,000 in IRS back taxes are automatically subject to an IRS lien filed at your local county courthouse, unless you get a Georgia tax attorney to deal with your tax debt before the IRS does.

I recently read an article on MSNBC in which IRS watchdog and National Taxpayer Advocate Nina E. Olson told Congress, “By filing a lien against a taxpayer with no money and no assets, the IRS often collects nothing, yet it inflicts long-term harm on the taxpayer by making it harder for him to get back on his feet when he does get a job.”

What is an IRS lien?

If you owe IRS back taxes, the federal government can put a lien on your personal or business property to secure liability – and seize your property. IRS liens are on the rise and at their highest rate since the mid-1990’s. Last fiscal year the IRS filed 1.1 million liens on people with unpaid back taxes.

Seek local Atlanta tax relief from an IRS lien with an Atlanta tax attorney

In response to Olson’s report, the IRS said taxpayers are given numerous opportunities to pay their IRS tax debt or file for IRS payment plans. Without the legal counsel of a tax attorney, many people may not understand how to find qualified Atlanta tax resolution help or take advantage of tax relief to prevent a lien.

An IRS installment agreement, also called a payment plan, is one tax relief option an Atlanta tax attorney will explore with you. Taxpayers can face staggering interest on top of the tax debt, and steep IRS penalty fees. Deal with delinquent tax returns or back taxes with a tax attorney on your side for the best possible outcome to a tax debt situation. Your tax attorney will communicate directly with the IRS and make sure you’re not missing deadlines to apply for an extension or other opportunities to dampen the threat of an IRS lien.

If you are facing an IRS lien, an experienced tax attorney is your best bet to protect your rights as a taxpayer, and to negotiate with the IRS on your behalf. Timing and efficient action is critical to surviving an IRS lien or collection of back taxes. Talk to an Atlanta tax attorney today.

Jeffrey S. Gartzman has 28 years of experience as a CPA and Atlanta tax attorney. He has helped countless taxpayers facing IRS liens and dealing with IRS back taxes collection tactics. An IRS lien situation is time-critical, so if you owe back taxes contact the Gartzman Law Firm today at (770) 939-7710 or online at Gartzman Tax Law.

Divorce can be difficult enough without the possibility of serious tax problems for one or both spouses. Here are some Atlanta tax resolution lessons to demonstrate how getting tax help can relieve financial damage from a divorce.


Lesson #1 – If you’re facing the hard truth that you might be getting divorced, tax planning can save you from IRS tax debt (and more marital strife).

There is a bright side to the realization you are facing a divorce: You have the opportunity to split and transfer assets in the most tax efficient manner – and to decide whether you’ll file jointly or separate as a couple.

Sometimes couples are separated for months or years before a divorce. In this situation, it is critical to examine whether you will file federal income taxes as joint or separate. If a couple files a joint return and then gets audited by the IRS, both spouses are on the hook for tax debt – regardless of who brought in more income, or who was more responsible with paying income taxes.

If you know your marriage might be on the rocks, seek your own Atlanta tax lawyer now and consider delaying your divorce until after you get tax help.


Lesson #2 – If you know your spouse has IRS tax problems, hire your own tax attorney during a divorce to protect your taxpayer rights and your bank account.

In the event one spouse has underpaid federal income taxes for the year, both spouses are at risk during an IRS audit if they filed joint on federal tax returns. It doesn’t matter if a state-issued divorce decree holds one spouse more responsible for Georgia state tax problems; in the eyes of the IRS they are both jointly responsible for federal tax debt.

Your spouse may be in hot water with the IRS, but you can hire your own Atlanta tax attorney to protect your rights. Ask your tax attorney or CPA if you qualify for IRS Innocent Spouse Relief or Allocation of Liability.

Work with an Atlanta tax attorney for expert legal counsel on managing IRS tax problems that go hand-in-hand with the legal complexities of a divorce.

If your pending or recent divorce has left behind problems with the IRS, back taxes, or IRS tax debt, Atlanta tax attorney and CPA Jeffrey S. Gartzman can help you with tax relief solutions. Don’t face divorce tax problems alone – get experienced financial and legal counsel on your side. Contact The Gartzman Law Firm today online or call (770) 939-7710.

When you owe the IRS back taxes or you’re facing tax debt, a common reaction is to avoid the IRS out of fear or confusion. People may think they can’t afford to pay their back taxes, so what difference does it make? If you don’t take action to get tax resolution, you can lose rights you may not realize you have and accumulate significant interest that makes the situation much worse.

You have the right to an appeal

Taxpayers who receive a notice from the IRS that they owe unpaid taxes may have the right to file for a Collection Appeal Procedure or a Request for a Collection Due Process hearing of the IRS findings. If you don’t act before the IRS does, they will make an assessment of your owed back taxes and start collection action right away. This puts you at risk for liens, levies on your wages of bank accounts, seizures of property, and shutting down your business. Your tax attorney can review your appeal rights, intervene on your behalf, and walk you through the appeal or hearing process.

File your own taxes – don’t let the IRS do it for you

Sitting on your unfiled tax returns is like inviting the IRS to file them for you. If the IRS files your return – called a Substitute for Return (SFR) – the results are almost guaranteed to be unfavorable for you. Fighting the SFR is time consuming and takes considerably more effort than getting IRS tax help from the start. Getting help from a tax attorney means they will intervene with the IRS and file a tax return based on your actual tax information.

Avoid back tax interest and penalties

Another advantage of getting tax help right away is that you can avoid accumulating significant interest and penalties on your tax debt. Hire a tax attorney to face your IRS problems and you could avoid the headache and increased debt that avoidance will likely cause.

A tax attorney will help you with solutions to IRS tax debt, like installment plans, payment options, Offers in Compromise, the proper legal procedures, and – most importantly – educating you about your legal rights as a taxpayer.

Jeffrey S. Gartzman is an Atlanta tax attorney and CPA who has been helping people in Atlanta resolve tax problems since 1982. He specializes in tax law and will expertly represent you during an IRS appeal procedure and in dealing with IRS problems. To get the tax help you need, contact The Gartzman Law Firm today at (770) 939-7710.

In some cases, the first word a taxpayer hears from the IRS that they’re in tax trouble is a Notice of Deficiency Letter, called a 90 Day Letter. This letter is issued after the IRS has performed an audit of your taxes or proposes adjustments – and it can come as a surprise.

A Notice of Deficiency gives you ninety days to take action before the IRS does. If you receive this letter, don’t wait to seek tax help.

Get a tax attorney on your side immediately

An experienced tax attorney will help you file a petition in the United States Tax Court to keep the case open to dispute the IRS proposed adjustments to your tax return. Removing this ninety day deadline will help your tax attorney guide you through the appropriate channels for tax relief.

An IRS attorney will be assigned to your handle your case – against you. Hiring a tax attorney to represent you will ensure there’s a fair bridge between you and the IRS. They will deal with the IRS attorney on your behalf. Atlanta area taxpayers are at an advantage by hiring an Atlanta tax attorney, because chances are the IRS attorney on your case, and possibly the Appeals officer, will be from the local IRS Atlanta office and may be professionally familiar with the person representing you.

Ask your tax attorney about an Appeals Settlement with the IRS. When you work with a tax professional instead of on your own, it’s more likely that your tax settlement will be for less than what the IRS said you owed.

Jeffrey S. Gartzman is an Atlanta tax attorney and CPA who has been helping people find tax relief for over 28 years. He will help you with tax resolution, tax problems, and settling back taxes. To get the tax help you need, contact The Gartzman Law Firm, P.C., today at (770) 939-7710.