IRS Doc Requests

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If you are working with the IRS in an effort to resolve a back tax debt, chances are you will have to divulge to them some, if not most, of your financial information.  You may also be required to submit documentation to substantiate (or prove) that the information you have provided is accurate.  And it’s not just out of curiosity; the IRS requires certain documents to verify that what you have told them is correct.

The most common types of documentation have to do with proving your income and expenses.  Income is typically substantiated by submitting one or more paycheck stubs, and expenses are typically substantiated by providing bank statements, receipts, or other proof of payment.  It is also common for the IRS to require you to demonstrate the absence of something.  For example, proof that you do not have access to a 401(k) or proof that you were unable to obtain a home equity loan, etc.

If you are working with a tax attorney or other representative, they will advise you on what information will have to be provided to the IRS.  And if it must be divulged, a tax attorney has the skills to present your case in a favorable light to help you obtain the best possible deal.