A contractor from Cherry Hill, NJ got into trouble with delinquent tax returns and business returns. The taxpayer is single and owns a home which has equity. The Taxpayer tried to get a home equity loan to resolve his tax debt but due to his deteriorating credit and significantly lower income, he was rejected by all of the banks.
We withdrew the initial oic because the agent was unwilling to compromise on the equity of his home, even though he was unable to gain access to it. We convinced the collection agent that the debt was currently uncollectible.
After this determination was granted, all enforcement actions against his assets stopped. While they will review his case annually, unless he has a significant increase in income, the enforcement actions will stay dormant. He can now be able to focus on rebuilding his business in this horrible economy.