Going through an IRS audit is one of the most stressful things that a person can endure. Every shred of paperwork will be scrutinized in a seemingly never ending process that can end only in one of two ways: a full acquittal, or a hefty fine. The stress is especially high for business owners who have done everything they can to stay on the right side of the law. However, a new IRS appeals process may make it faster and easier to dispute an audit.
Fast Track Settlement: The New IRS Appeals Process
Most audits end with no action taken against the taxpayer. However, having an audit go to court can be especially painful. People can choose whether to pay the fine they’ve been assigned – almost arbitrarily at times – or to go to Tax Court. Fighting an IRS charge is expensive and takes a long time. It means lawyers, specialized accountants, and time off work. However, the IRS has developed a system of Fast Track Settlement that may speed up this process.
How Can Fast Track Settlement Help You?
Fast track settlement is a system that aims to resolve disputes from audits in just two months, or sixty days. It is an alternative method of settlement that may keep many innocent taxpayers out of courts. Before this alternative, people who disputed an audit would have to spend months and even years in tax courts. This system offers a system that is cheaper for both the government and the defendant.
Fast track settlement is not for everyone. A taxpayer who is truly guilty of fraud will likely be kicked back to the court system. In addition, many innocent taxpayers will not qualify either. However, many people will be able to avoid the long and expensive process of protesting a tax charge using this new program. This is not a total change, but it is definitely a move in the right direction.
