Awards & Recognition

At the end of an audit or investigation, the IRS, FTB, CDTFA (BOE), or EDD will either determine that your taxes were correct and there is no adjustment necessary, which is extremely rare, or much more likely, that something was wrong and you need to pay additional taxes, penalties and interest and a determination that a tax crime was committed is possible. If the taxing authority does discover errors and or suspects acts of evasion, our dual-licensed Santa Barbara Criminal Tax Defense Attorneys & CPAs at the Tax Law Offices of David W. Klasing will work diligently with the taxing authority to come to an agreement that avoids criminal tax charges, corrects the errors, and sets you down a better path for future taxation. 

However, if the taxing authority is unable to agree to a beneficial plan, we will shepherd your case through the appeals, litigation, or prosecution process and attempt to overturn the taxing authorities’ assessment and vindicate you of the intentional or non-intentional “errors” they assert exist in your taxes. If you disagree with the IRS tax audit’s conclusion and subsequent recommendations, you should know you have the right to an appeal and can have our experienced dual-licensed Santa Barbara IRS Appeals Attorney and CPAs at the Tax Law Offices of David W. Klasing represent you. IRS Appeals are available based on financial disagreement only, and we will help you identify which statutes and precedents best substantiate your specific disputes. Whether you’re dealing with an IRS tax audit, challenging a tax assessment, or seeking relief from IRS collection actions, our meticulous approach ensures you’re well-prepared for every step of the appeals process. From handling trust fund recovery penalties to disallowed business expenses, we will ardently fight for you, keeping you informed throughout the process.

Successfully Appealing an IRS Tax Audit in Santa Barbara

To appeal an IRS tax audit, you must write a “protest letter” or draft a tax court petition outlining the nature of, and basis for, your dispute, including relevant facts and laws to strengthen and support your position. This letter should be sent to the address featured on the letter explaining your appeal rights – not to the actual Office of Appeals, which may result in significant delays. It is in your best interests to be represented by a knowledgeable and effective IRS Tax Appeal Lawyer serving Santa Barbara, exponentially increasing your likelihood of achieving a favorable outcome.

At the Tax Law Offices of David W. Klasing, our dual-licensed Santa Barbara Tax Appeal Attorneys and CPAs provide skilled representation before an appeals officer. An essential element of having a successful outcome in the appeals process is to have detailed and organized records. Utilizing our extensive training and experience, we ensure your documents are in order and that you are in the best position to prevail at the appeals stage. Dealing with the IRS’s Office of Appeals can seem daunting, but we bring strategic insight and a long track record of success. Whether you’re dealing with an IRS or California state tax audit, challenging a tax assessment, or seeking relief from IRS collection actions, our meticulous approach ensures you’re well-prepared for every step of the appeals process. From handling trust fund recovery penalties to disallowed business expenses, we will ardently fight for you, keeping you informed throughout the process. Call 805-200-4053 or schedule a reduced-rate initial consultation here at our Santa Barbara office or one of our other convenient locations across Southern California.

How Can I Appeal an IRS Audit in Santa Barbara?

Here’s what you need to know about appealing an IRS audit in Santa Barbara:

Basis for Appeals

It’s important to note that appeals are available solely based on financial disagreement. You will not be permitted to pursue disputes based on moral, religious, political, constitutional, conscientious, or similar grounds.

Filing a Formal Written Protest

To initiate an appeal, you must file a formal written protest. This step follows the receipt of Letter 525, which contains information and lists IRS publications on how to file an appeal/protest. You need to file your protest within 30 days from the date of this letter to appeal the proposed adjustments with the Office of Appeals.

Your formal written protest must include the following:

• The proposals you disagree with;
• The reasons why you disagree with those proposals;
• The facts that support your reasoning, and
• The relevant law or laws that support your reasoning.

Our experienced dual-licensed Santa Barbara IRS Appeals Attorneys & CPAs can help you identify which statutes and precedents best substantiate your specific disagreements.

Small Case Requests

If the amount you wish to appeal totals $25,000 or less, you may file a Small Case Request by submitting Form 12203, rather than requesting a conference. However, the following entities are not permitted to file a Small Case Request:

• Employee Plans
• Exempt Organizations
• Partnerships
• S-Corporations

Referral and Resolution

Once your examiner receives your request, your case will be referred. Many cases are resolved at this stage of the process. The IRS reports, “Every year, the Office of Appeals helps over 100,000 taxpayers resolve their tax disputes without going to Tax Court.” By understanding the appeals process and seeking the assistance of knowledgeable legal representation, you can effectively challenge the IRS’s findings and achieve a favorable resolution.

If you cannot reach a mutually acceptable resolution through a conference with your examiner’s supervisor, there are additional steps you can take in the appeals process.

Petitioning the U.S. Tax Court

If a closing conference disagrees, you may petition the U.S. Tax Court. This must be done within 90 days of issuing a 90-day letter or Notice of Deficiency (Letter 531). It’s important to note that a processing fee is associated with filing the petition.

Representation in Tax Court

As an experienced litigator, David W. Klasing can represent you in Tax Court or before the California Department of Tax and Fee Administration (CDTFA) (formerly the BOE). With his extensive experience and expertise, he can provide the legal support you need to navigate the complexities of the tax appeals process and work toward a favorable outcome. Understanding the steps to take if an agreement cannot be reached and having suitable legal representation can significantly impact the resolution of your tax dispute.

Can I Appeal an IRS Collection Decision in Santa Barbara?

In addition to appealing the findings of an IRS audit, you may also appeal an IRS collection decision through the Office of Appeals. Depending upon each taxpayer’s circumstances, it may be possible to appeal the following:

• Installment Agreements
• Levies
• Liens
• Offers in Compromise
• Seizures

What Are the Procedures for Appealing Collection Actions?

As delineated in Publication 1660 (Collection Appeal Rights), there are two procedures a taxpayer may initiate to appeal collection actions:

• Collection Appeals Program (CAP)
• Collection Due Process (CDP)

What is the Collection Appeals Program (CAP)?

CAP is both broader in scope and typically more rapid than CDP, but should you disagree with a binding CAP finding, you have no additional recourse. CAP is available for taxpayers subject to the following actions:

• Levies and property seizures, before or after being initiated by the IRS.
• Notice of Federal Tax Liens, before or after being filed by the IRS.
• The rejection, or proposed termination, or modification or proposed modification of an installment plan.

What is Collection Due Process (CDP)?

CDP generally takes more time than CAP, but the benefit is that if you disagree with a decision, you can go to court and be represented by an attorney or CPA. CDP is available for taxpayers who have received the following:

• Final Notice — Notice of Intent to Levy and Notice of Your Right to a Hearing;
• Notice of Federal Tax Lien Filing and Your Right to a Hearing under IRC 6320;
• Notice of Jeopardy Levy and Right of Appeal;
• Notice of Levy on Your State Tax Refund — Notice of Your Right to a Hearing;
• Post Levy Collection Due Process (CDP) Notice.

How Do I Navigate Appeals with the CDTFA and FTB in California?

Recently, the CDTFA issued updated guidance on protocols and procedures for disputing, or “appealing,” CDTFA determinations. While the CDTFA makes efforts to provide clear instructions for taxpayers, it is not recommended to attempt handling an appeal without professional tax representation. Given the legal and financial complexities involved, it is in your best interest to consult our experienced CDTFA Audit Attorneys before filing an appeal or petition for redetermination. 

Like the IRS, the FTB routinely conducts audits to ensure that businesses and individuals are reporting their income, paying their tax debts, and complying with other state tax laws under the California Revenue and Taxation Code (RTC). Like the results of an IRS audit, the results of an FTB audit may be challenged or “appealed” by taxpayers who disagree with FTB findings. The question is, how does a California taxpayer begin this process? In this article, our California tax attorneys will help you understand some basics about the rules and procedures for challenging (“protesting”) an FTB decision through the Office of Tax Appeals (OTA).

Contact Us for All Your IRS and California State Appeals Representation In Santa Barbara 

At the Tax Law Offices of David W. Klasing, we can help you appeal IRS and California state tax audit decisions involving a wide range of tax matters, including income taxes, payroll taxes, corporate taxes, estate and gift taxes, failure to respond to a Notice of Deficiency within 90 days, excise taxes, property taxes, small case requests, and appealing IRS collection actions such as installment agreements, levies, liens, and offers in compromise. Trust our expertise to navigate these intricate processes and achieve the best possible outcome for your case. 

Our dual-licensed Santa Barbara Tax Appeal Attorneys & CPAs possess extensive experience in a variety of federal and California state tax matters, representing clients in IRS audits, disputes with the CDTFA (BOE), EDD, and FTB, refund claims, tax collection defense, innocent spouse relief, and criminal tax defense. Our expertise is invaluable in navigating criminal tax exposure, civil tax audits, eggshell audits, reverse eggshell audits, and criminal tax investigations. As seasoned litigators, our team, led by David W. Klasing Esq. M.S.-Tax CPA is equipped to represent you in Tax Court or before the California Office of Tax Appeals. Call 805-200-4053 or schedule a reduced-rate initial consultation here at our Santa Barbara office or one of our other convenient locations across Southern California.

In addition to our fully staffed 19,700 square foot penthouse office in Irvine, the Tax Law Offices of David W. Klasing has unstaffed (conference room only) satellite offices in Los Angeles, San Bernardino, Santa Barbara, Panorama City, Oxnard, San Diego, Bakersfield, San Jose, San Francisco, Oakland, Carlsbad, Sacramento, Las Vegas, Nevada; Salt Lake City, Utah; Phoenix, Arizona, Albuquerque, New Mexico. We also have virtual offices in New York, New York; Austin, Texas; and Washington, D.C.

Our Santa Barbara office is conveniently located at:

7 W Figueroa St #300,

Santa Barbara, CA 93101

805-200-4053

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