IRS Tax Resolution & Representation in Prescott, AZ
Receiving an IRS notice, owing taxes you can't pay, or falling behind on tax returns can be stressful. Understanding your options is the first step toward resolving the problem.
Florence Tax LLC provides IRS tax resolution and representation in Prescott, Arizona, helping individuals and business owners address federal and Arizona tax issues, including IRS notices, unfiled tax returns, unpaid tax balances, and tax penalties.
As an Enrolled Agent, Amber Rose Florence can help you understand what the taxing authority requires, evaluate available resolution options, and determine an appropriate path forward.
Every tax situation is different. The goal is to understand the problem, address outstanding obligations, and identify practical next steps.
Experienced Guidance
EA representation with a practical, personalized approach.
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Enrolled Agent
federally licensed with unlimed representation rights before the IRS.
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Virtual-First Process
Secure. Convenient. Personalized.
Prescott & Beyond
Helping clients in Prescott and surrounding areas — and nationwide.
Find the Help You Need for Your Situation
Not Every Tax Problem Requires the Same Solution
“Tax resolution” can describe many different situations.
Florence Tax begins by identifying the actual problem before recommending a response.
I Received a Tax Notice
A notice doesn't automatically mean the taxing authority is correct—or that something catastrophic is about to happen.
Start by determining what the notice says, which tax period it concerns, whether the information appears accurate, and when a response is required.
I Haven't Filed in Several Years
Before some tax-resolution options can even be considered, missing tax returns may need to be completed.
Florence Tax can help determine what needs to be filed and prepare prior-year returns as part of getting your tax situation back on track.
I Owe More Than I Can Pay
Being unable to pay a tax balance in full doesn't necessarily mean you have no options.
Depending on your circumstances, payment arrangements or other collection alternatives may be available.
I'm Being Charged Penalties
Some penalties may qualify for relief depending on the type of penalty and the taxpayer's circumstances.
Relief isn't automatic, so the facts need to be evaluated.
The IRS Has Started Collection Activity
If notices have progressed to collection actions or warnings involving liens or levies, deadlines can become especially important.
The sooner you understand what the notice means, the sooner you can determine what response may be appropriate.
Not sure which situation applies to you?
UNDERSTANDING AND RESPONDING TO TAX NOTICES
Received an IRS or Arizona Tax Notice?
Don't Ignore It—and Don't Assume It's Correct
A letter from the IRS or Arizona Department of Revenue can be intimidating, particularly when it's filled with unfamiliar terminology, tax periods, penalties, interest, and response deadlines.
Before reacting, start with the notice itself.
Florence Tax can help you:
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Identify why the notice was issued
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Determine which return or tax period is involved
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Review the amount or adjustment being proposed
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Compare the notice with your tax records
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Identify important response dates
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Determine what supporting documentation may be needed
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Evaluate whether a response should be submitted
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Communicate with the taxing authority when representation is appropriate
The IRS itself advises taxpayers to carefully review notices and determine whether the information is correct before responding. (IRS)
Sometimes the appropriate response is relatively straightforward.
Other times, a notice is the first indication of a larger problem that needs to be addressed.
Either way, understanding the notice comes first.
BRINGING OVERDUE TAX FILINGS CURRENT
Unfiled & Prior-Year Tax Returns
Falling behind on tax returns can happen for many reasons.
A difficult year turns into two. Records are incomplete. A business closes. Life changes. Or someone simply becomes overwhelmed and avoids dealing with the problem.
Eventually, getting current becomes part of moving forward.
Florence Tax can help identify which federal and state returns need attention, organize the information necessary to prepare them, and complete prior-year returns as part of the resolution process.
This can be particularly important when someone is considering an IRS collection alternative.
For example, the IRS requires taxpayers applying for an Offer in Compromise to have filed all required returns and made required current-year estimated tax payments. Employers also have additional federal tax-deposit compliance requirements before applying. (IRS)
In other words:
Sometimes the first step toward resolving a tax problem is filing the returns that should already have been filed.
Because Florence Tax also provides tax preparation, Amber can help clients address the filing problem and the resulting resolution issue as parts of the same process.
EXPLORING OPTIONS FOR UNPAID TAX DEBT
What If You Owe More Than You Can Pay?
Discovering that you owe the IRS doesn't necessarily mean you must have the entire amount available immediately.
The IRS currently provides several potential approaches for taxpayers who cannot pay their federal tax debt in full, including payment plans, Offers in Compromise for taxpayers who qualify, and temporary collection delays in certain financial-hardship situations. (IRS)
Which approach may be appropriate depends on the facts.
Florence Tax can help you review:
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The amount owed
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The tax periods involved
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Whether all required returns have been filed
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Your current income and expenses
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Your assets and liabilities
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Your ability to make payments
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Whether you're currently compliant with tax obligations
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What collection activity has already occurred
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Which available options warrant further evaluation
The objective isn't to force every taxpayer into the same “tax relief” program.
It's to identify an approach that makes sense for the actual circumstances.
A STRUCTURED APPROACH TO PAYING TAX DEBT
IRS Payment Plans
Paying a Tax Balance Over Time
An IRS payment plan, also known as an installment agreement, allows qualifying taxpayers to pay a tax liability over an extended period rather than paying the entire balance immediately. The IRS offers different payment-plan options depending on the taxpayer's circumstances. (IRS)
For relatively straightforward situations, taxpayers may be able to establish a payment plan themselves through the IRS.
More complicated circumstances may warrant professional assistance—particularly when the proposed payment isn't affordable, financial information needs to be provided, multiple tax periods are involved, a previous agreement has defaulted, or collection activity has progressed.
Florence Tax can help you understand the balance and evaluate whether a payment arrangement may be appropriate for your situation.
It's also important to understand that entering into a payment plan doesn't necessarily stop the cost of carrying the tax debt. Applicable penalties and interest can continue until the balance is paid. (IRS)
A payment plan solves one problem—how the balance will be paid.
Staying current afterward matters too.
UNDERSTANDING IRS TAX SETTLEMENT ELIGIBILITY
Is an Offer in Compromise Actually an Option?
You've probably seen advertisements suggesting taxpayers can settle IRS debt for a fraction of what they owe.
An Offer in Compromise, or OIC, is a legitimate IRS program—but it isn't available simply because someone would prefer to pay less.
The IRS describes an OIC as an agreement that may allow a qualifying taxpayer to settle a tax liability for less than the full amount owed. In evaluating an offer, the IRS considers factors including the taxpayer's ability to pay, income, expenses, and asset equity. The IRS also explicitly states that the program isn't for everyone and advises taxpayers to explore other payment options first. (IRS)
That makes the right question:
“Do my circumstances support an Offer in Compromise?”
—not—
“How much can someone make the IRS erase?”
Florence Tax can help evaluate whether an Offer in Compromise warrants consideration based on your financial circumstances and IRS eligibility requirements.
If it doesn't, other resolution options may be more appropriate.
Penalty Relief Isn't Automatic—but It May Be Worth Evaluating
Tax penalties can substantially increase the amount a taxpayer owes.
Depending on the type of penalty and the circumstances, relief may sometimes be available.
That doesn't mean every penalty can be removed.
The appropriate question is whether the taxpayer meets the requirements for a particular type of penalty relief.
Florence Tax can review the penalties involved, the surrounding circumstances, prior compliance history when relevant, and available documentation to determine whether requesting relief may be appropriate.
When a request depends on reasonable cause, the facts matter.
The IRS evaluates reasonable-cause penalty relief based on the taxpayer's particular circumstances and the efforts made to meet federal tax obligations. Arizona also provides a process for requesting penalty abatement based on qualifying circumstances. (IRS)
A well-supported request is very different from simply asking the taxing authority to remove a penalty.
Penalty Abatement & Penalty Relief
EVALUATING ELIGIBILITY FOR TAX PENALTY RELIEF
WHEN IRS COLLECTION ACTION REQUIRES ATTENTION
When the IRS Has Moved Beyond Sending Notices
Tax collection problems can become more serious when the IRS progresses beyond ordinary balance-due correspondence.
Depending on the situation, collection activity can involve a Notice of Federal Tax Lien or a levy against property or financial assets. Certain IRS collection actions can also carry appeal rights and important response deadlines. (IRS)
If you've received a notice involving potential collection action, don't assume that waiting will create better options. Read the notice carefully.
Pay particular attention to:
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What action the IRS says it intends to take
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Which tax periods are involved
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The balance shown
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The response deadline
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Any appeal or hearing rights described in the notice
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Instructions for contacting the IRS
Florence Tax can help you understand the notice and determine what response or representation may be appropriate.
Received an IRS Collection Notice?
ADDRESSING ARIZONA STATE TAX ISSUES
Arizona Department of Revenue Tax Problems
IRS Problems Aren't the Only Tax Problems
Florence Tax is an Arizona tax practice, and taxpayers can encounter problems involving the Arizona Department of Revenue (ADOR) as well as the IRS.
An Arizona tax issue might involve:
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A notice from ADOR
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An Arizona balance due
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A missing or unfiled Arizona return
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Penalties
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A disputed adjustment
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Payment arrangements
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Collection activity
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Questions about an Arizona tax account
Florence Tax can help review the issue, determine what ADOR is requesting, evaluate the underlying records, and identify an appropriate next step.
When a taxpayer owes Arizona taxes but can't pay the entire amount immediately, payment arrangements may be available depending on the circumstances and compliance status.
The important point is the same whether the notice comes from Washington or Phoenix:
Understand the issue before deciding how to respond.
AUTHORIZED IRS REPRESENTATION & SUPPORT
Tax Representation With an Enrolled Agent
You don't necessarily have to deal with the IRS by yourself.
Amber Rose Florence is an Enrolled Agent (EA).
Enrolled Agents are federally licensed tax practitioners with unlimited representation rights before the IRS. According to the IRS, EAs may represent taxpayers in matters including audits, payment and collection issues, and appeals. (IRS)
That distinction is particularly relevant in tax-resolution work.
Depending on the situation and authorization provided, representation can allow Florence Tax to communicate with the IRS on your behalf, obtain information about the tax account, respond to issues, and work through applicable resolution procedures.
The IRS also recognizes a taxpayer's right to retain an authorized representative. (IRS)
For Florence Tax clients, representation can be part of a broader process that may also include:
Tax preparation → Tax account review → Resolution analysis → IRS communication → Ongoing tax planning
That continuity can be valuable when the problem involves more than a single notice.
How the Tax Resolution Process Works
Every tax problem is different, but the process can generally begin with five steps.
Review
Understand the notices, tax periods, balances, and curent status.
Resolving the immediate problem is important. Preventing another one matters too.
Once the issue is addressed, Florence Tax can help establish a better process for tax preparation, estimated payments, bookkeeping, or proactive tax planning going forward.
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A STRUCTURED APPROACH TO ESTATE & TRUST TAX FILINGS
Get Current
File missing returns and address compliance issues.
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Evaluate
Consider the available options based on your situation.
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Prepare and submit the appropriate response or request.
Respond
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Resolve & Stay Current
Work toward resolution and establish a plan for the future.
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WHEN BUSINESS TAX ISSUES OVERLAP
Tax Resolution for Business Owners
Business tax problems can be particularly complicated because multiple obligations may intersect.
A business owner might be dealing with:
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Unfiled business tax returns
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Unfiled individual returns
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Business income flowing to an individual return
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Incomplete bookkeeping
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Payroll tax issues
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Estimated tax problems
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Multiple years of balances
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IRS or Arizona notices
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Collection activity
Florence Tax's broader business services can be especially useful in these situations.
For example, incomplete books may need to be cleaned up before a delinquent business return can be prepared. That return may then affect the owner's individual return. Only after the required filings are complete may it become possible to accurately evaluate the resulting tax balance and potential resolution options.
Instead of treating each problem as unrelated, Florence Tax can help determine how the pieces fit together.
FROM TAX RESOLUTION TO LONG-TERM COMPLIANCE
After the Problem Is Resolved: Staying Current
Tax resolution shouldn't end with fixing yesterday's problem.
It's also an opportunity to understand why the problem happened.
Maybe withholding wasn't sufficient.
Estimated payments weren't being made.
The books were several months behind.
Business profitability increased unexpectedly.
Tax returns weren't being filed.
Or there simply wasn't a process for reviewing the tax situation during the year.
Once the immediate issue is addressed, Florence Tax can help establish a more proactive approach.
That might include:
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Keeping bookkeeping current
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Reviewing business results during the year
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Making appropriate estimated tax payments
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Evaluating withholding
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Preparing returns on time
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Planning for major taxable events
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Reviewing tax strategy before year-end
The goal is to move from:
Tax Problem → Tax Resolution → Tax Compliance → Proactive Tax Planning
LOCAL ROOTS. CONVENIENT VIRTUAL SERVICE.
IRS Tax Resolution in Prescott & Surrounding Communities
Florence Tax LLC is based in Prescott, Arizona, and provides IRS tax resolution and representation for individuals and business owners in Prescott and surrounding communities, including Prescott Valley, Chino Valley, and Dewey-Humboldt.
Because Florence Tax operates primarily as a virtual practice, the firm can also assist clients outside the immediate Prescott area when their tax needs are a good fit for the practice.
Tax Resolution FAQs
ANSWERS TO COMMON TAX RESOLUTION QUESTIONS
Have questions about IRS notices, unpaid tax balances, unfiled returns, or tax relief options? Explore answers to common questions about IRS tax resolution, payment plans, penalty abatement, and Enrolled Agent representation, including how Florence Tax LLC can help you understand your options and take the next steps.
Tax resolution generally refers to identifying and addressing an existing tax problem with the IRS or another taxing authority. That might involve a tax notice, unfiled returns, unpaid taxes, penalties, payment arrangements, collection activity, or another tax-account issue.
Read the notice carefully and identify the tax period, issue, amount, and response deadline. Don't automatically assume the notice is correct, but don't ignore it either.
Florence Tax can review the notice and help determine what it means and whether a response is appropriate.
Yes. Amber Rose Florence is an Enrolled Agent. Enrolled Agents have unlimited representation rights before the IRS, including for audits, payment and collection matters, and appeals. (IRS)
Yes. Florence Tax provides tax preparation and can help identify and prepare prior-year returns that need to be filed as part of getting your tax situation current.
The IRS provides several potential options depending on the taxpayer's circumstances, including payment plans and, for taxpayers who qualify, other collection alternatives. Florence Tax can help you understand and evaluate the options that may apply. (IRS)
Florence Tax can help evaluate and work through payment-plan options. Some taxpayers with straightforward circumstances may also be able to establish an agreement directly with the IRS online. (IRS)
An Offer in Compromise can allow a qualifying taxpayer to settle a tax liability for less than the full amount, but qualification depends on the taxpayer's circumstances. The IRS considers ability to pay, income, expenses, and asset equity, and the program isn't appropriate for everyone. (IRS)
Certain penalties may qualify for relief depending on the type of penalty and the taxpayer's facts and circumstances. Penalty relief isn't automatic. Florence Tax can evaluate whether requesting relief may be appropriate.
Yes. Florence Tax can assist with Arizona tax problems in addition to federal IRS matters, including reviewing notices, tax balances, filing issues, penalties, and other Arizona tax-account concerns.
In general, a federal tax lien is the government's legal claim against property when a tax debt isn't paid, while a levy is a legal seizure of property to satisfy a tax debt. The particular notice and stage of the IRS collection process matter, so taxpayers facing either situation should carefully review their correspondence and applicable deadlines.
If you've received an IRS notice, it's generally better to understand what it says and what deadline applies rather than assuming another notice will provide more time. Some collection notices can involve important response or appeal periods.
No.
Some straightforward matters can be handled directly by taxpayers using IRS tools and instructions. Professional assistance can become more valuable when the situation involves missing returns, multiple tax periods, disputed amounts, financial disclosures, collection activity, business taxes, representation, or uncertainty about which resolution option is appropriate.
No. Florence Tax is based in Prescott and serves the surrounding communities, but its primarily virtual model also allows the firm to work with taxpayers elsewhere when their tax needs are a good fit.
