Why is a legal memorandum needed?
We want to make sure that the IRS clerk processing the OIC knows the law, its own Manual, the tax policy and the legislative history. We want the IRS to know that you have strong representation; thus, eliminating any potential abuse of power, abuse of discretion, and/or misapplication of the law and their administrative rules. The IRS takes extreme positions in OIC cases, and strong representation is critically necessary. The IRS will consider exceptions to their normal “reasonable collection potential” standards – those exceptions are “special circumstances” The legal memo is used to articulate and document those “special circumstances.” We know and understand those “special circumstances” from the experience we have in working thousands of OIC cases throughout the United States. Those “special circumstances” depend on the facts and circumstances in individual cases. The IRS will also consider doubt as to liability and effective tax administration as the basis for abatement. The issue
