1. When a taxpayer applies for a Taxpayer Assistance Order, which of the followi
ID: 2812962 • Letter: 1
Question
1. When a taxpayer applies for a Taxpayer Assistance Order, which of the following factors is not considered in determining whether a significant hardship exists?
A.. Whether the taxpayer will be able to remain employed.
B.. Past actions and events, such as the prior history of the taxpayer.
C.. Whether the taxpayer will be able to obtain reasonable clothing and/or shoes.
D.. Whether the taxpayer will sustain irreparable damage to his credit rating.
2. In which of the following situations would the Taxpayer Advocate Service be useful?
A.. To contest the merits of a tax liability.
B.. To facilitate the release of a bank levy issued by the state department of revenue.
C.. To assist a terminally-ill taxpayer in securing the release of a bank levy which has prevented
the taxpayer from purchasing life-prolonging medication.
D.. To force a revenue officer to accept a taxpayer's offer in compromise.
3. Which of the following can be handled by the Practitioner Priority Service at the IRS?
A.. A request to release a wage levy issued by a revenue officer.
B.. An inquiry regarding whether the IRS has received tax returns for a given tax period.
C.. A request for subordination of a tax lien.
D.. A request for a change of auditor.
Explanation / Answer
Part (1)
Correct ans is statement B i.e Past actions and events, such as the prior history of the taxpayer.
Explanation- Significant hardship includes situations in which a system or procedure fails to operate as intended or fails to resolve the taxpayer’s problem or dispute with the IRS.
Part 2
Both B and C statements are correct, as Taxpayer Advocate Service will be useful in resolving the problem with IRS in both the situations
Expalnation-The Taxpayer Advocate Service (TAS) is an organization within the Internal Revenue Service that is designed to help taxpayers resolve problems with the IRS.
Part 3
Correct statement is B i.e An inquiry regarding whether the IRS has received tax returns for a given tax period.
Explanation- PPS is only used for account related isssues.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.