{"id":7890,"date":"2015-11-24T02:10:10","date_gmt":"2015-11-24T07:10:10","guid":{"rendered":"http:\/\/www.escapeartist.com\/?p=7890"},"modified":"2020-09-17T11:25:40","modified_gmt":"2020-09-17T16:25:40","slug":"going-to-battle-irs-form-433-a","status":"publish","type":"post","link":"https:\/\/www.escapeartist.com\/blog\/going-to-battle-irs-form-433-a\/","title":{"rendered":"Going to Battle \u2013 IRS Form 433-A"},"content":{"rendered":"
When you go into battle with the most aggressive and hostile collection agency on the planet, you must be ready. Here\u2019s where to start if you will battle with the IRS.<\/p>\n
Your most important weapon is IRS 433-A, Collection Information Statement for Wage Earners and Self-Employed Individuals. It is where the war on your income and expenses will be waged. Lose here and your chances of a comeback are slim and few.<\/p>\n
This meant you and your finances must go to boot camp to get ready for the conflict. Trust me when I tell you it\u2019s impossible to put too much effort into IRS Form 433-A.<\/p>\n
Your first step is to make a list of your income sources and your expenses. If you have multiple income streams, review your last 12 months of bank statement … this is what the IRS will do.<\/p>\n
Remember all deposits are income unless you can prove otherwise. For example, if friends and family have lent you money, have the loan agreements and cancelled checks ready.<\/p>\n
Now, compare your actual expenses to your allowed expenses. This is quite involved and there are a number of articles on this site on your expenses.<\/p>\n
Let me note you are only allowed expenses necessary to live (at a minimal standard), those for the production of income (business expenses), and legal obligations (child support and other secured debts or court-ordered payments).<\/p>\n