New Lost LHer

[iplawyer]

Hello
To start from the beginning, I went and made amended returns to my 2004, 2005, and 2006 tax returns. The IRS turned around and hit me with three frivilous charges at $5,000 each and have listend to nothing I have sent back which includes statement from the Constitution, Federal Cases, and the IRC. I am at the point that they have sent me a Notice of Federal Tax Lien(Form 668(Y)(c)) along with a Notice of Federal Tax Lien Filing and Your Right to a Hearing Under IRC 6320. I am a person that lives off of Social Security and Disability checks and they have already started to take 15% of my Social Security payment. HAVE I MENTIONED HOW HEARTLESS THESE PEOPLE ARE YET. They also included my wife to the tune of $15,000 also for the same years. I am very desperate. I only have 3 weeks to figure out what to do. Does anyone know a good inexpensive lawyer that might feel sorry for me(Just kidding, kind of). I'll wait for responses and as always....Peace and Freedom...Larry
Oh..my email is larryfitz_54@hotmail.com if needed to reach me that way

So far he's gotten no repsonses on LH. Imagine that? The real killer in my opinion is that if he's living off of SS payments - there is no way he could have owed a tax. Filling out a false form gave him $5K penalties. I'm sure he's thanking Pete all the way to the bank.

[Randall]

Doesn't he realize that living off of SSA makes him federally connected?

[ASITStands]

And, I can't resist. "Larry Fitz is having fits!"

I also can't believe I beat the 'Captain' (or anyone else) to the punch.

[Quixote]

The real killer in my opinion is that if he's living off of SS payments - there is no way he could have owed a tax.

He's living off SS and disability, which is, in general, fully taxable. However, the tax would almost certainly be much less than the two $5,000 frivolous return penalties he and his wife were hit with for the joint CTC returns.

[ASITStands]

And, what a shame to involve a spouse.

We see these folks involve their husbands or wives again and again. Irresponsible.

It's one thing to believe in what you're doing, and have agreement from the spouse, but it's another when it does such financial damage that both are liable for the stupidity of one.

The stupidity arises when once you're shown the error, and you persist in your action.

I can understand the confusion that comes from the complexity of law but not seeking other counsel in the face of potential loss such as we see in tax cases is hard to comprehend.

[Red Cedar PM]

He's living off SS and disability, which is, in general, fully taxable.

Not sure if I agree with that. If he's receiving disability benefits from a worker's comp insurance policy for personal injuries or sickness he incurred on the job, any benefits are exempt under IRC 104(a)(1). Additionally, if he has low MAGI (which is what it sounds like in this case), most of his SS benefits are also probably excluded, although that calculation gets fairly complex.

[Quixote]

It's one thing to believe in what you're doing, and have agreement from the spouse, but it's another when it does such financial damage that both are liable for the stupidity of one.

If the wife was hit with the frivolous document penalty she must have signed the amended return. She had options; she took the wrong one.

[Quixote]

He's living off SS and disability, which is, in general, fully taxable.

Not sure if I agree with that. If he's receiving disability benefits from a worker's comp insurance policy for personal injuries or sickness he incurred on the job, any benefits are exempt under IRC 104(a)(1). Additionally, if he has low MAGI (which is what it sounds like in this case), most of his SS benefits are also probably excluded, although that calculation gets fairly complex.

Note the weasel words, "in general". OK, the SS benefits led me to assume that he was retired on disability, rather than living on worker's comp. And I intended "fully taxable" to refer only to the disability pension, not the SS. His desperation suggests a low income, but I have found that even taxpayers with high AGI consider any reduction in their cash flow to be a hardship.

[Quixote]

I am at the point that they have sent me a Notice of Federal Tax Lien(Form 668(Y)(c)) along with a Notice of Federal Tax Lien Filing and Your Right to a Hearing Under IRC 6320. ... I am very desperate. I only have 3 weeks to figure out what to do. Does anyone know a good inexpensive lawyer that might feel sorry for me(Just kidding, kind of).

Obviously he hasn't been reading the LH forum or he would have realized that a lawyer won't do him any good unless he breaks free of the CTC delusion. If he's willing to face reality, the Taxpayer Advocate Service (TAS) could do him a lot of good. If the federal payment levy of his SS benefits is causing a financial hardship, TAS can lift the levy. In theory TAS could do so even if he does not face reality, but 99% of case advocates wouldn't.

[Red Cedar PM]

He's living off SS and disability, which is, in general, fully taxable.

Not sure if I agree with that. If he's receiving disability benefits from a worker's comp insurance policy for personal injuries or sickness he incurred on the job, any benefits are exempt under IRC 104(a)(1). Additionally, if he has low MAGI (which is what it sounds like in this case), most of his SS benefits are also probably excluded, although that calculation gets fairly complex.

Note the weasel words, "in general". OK, the SS benefits led me to assume that he was retired on disability, rather than living on worker's comp. And I intended "fully taxable" to refer only to the disability pension, not the SS. His desperation suggests a low income, but I have found that even taxpayers with high AGI consider any reduction in their cash flow to be a hardship.

Just keepin ya on your toes

FWIW, when I hear most people say they are "on disability" they mean worker's comp benefits, so that was the impression I got when I read the original post. We really have no way of knowing without more information. Either way, this is going to turn into a train wreck of horrific proportions if he does not get legitimate help soon.

[Red Cedar PM]

Obviously he hasn't been reading the LH forum or he would have realized that a lawyer won't do him any good unless he breaks free of the CTC delusion.

I wonder if that's what Pete is planning on doing, since it appears he has a legitimate lawyer now, or (more likely) he is just trying to get the best plea deal he can.