Kramer Levin Obtains Permanent Delay in IRS Collection for Pro Bono Client

Tax partner Pamela M. Capps and associate Rita Celebrezze D’Souza successfully assisted our unemployed disabled client in obtaining a potentially permanent delay in IRS collection with respect to several years of outstanding federal tax debts. Shortly after our client’s NYC cab driver husband tragically passed away from COVID complications in the spring of 2020, she learned for the first time that the IRS had engaged a third party collection agency to collect unpaid taxes, penalties and interest from her. We were able to immediately cease those collection efforts and negotiate with the IRS to classify our client’s debts as “currently not collectible” so that they will not be subject to enforcement action and after 10 years will be cleared completely, unless the taxpayer’s financial situation changes.