Tax Law (Questions About Taxes)/Tax Lien.


Dear Sir.

I am 75 years old, an American living in the Philippines because of not enough income to live state side. I have a Filipino wife and a 3 year old son. My sole income is $1105 and $664 for my son from social security. No other income or assets.

In September 2014 I received a letter from the IRS demanding payment on taxes due in 2004 in the amount of $7,100. I had not filed taxes that year. I called them and they said to file taxes to determine what I truly might owe. I told them I do not have the capability to file taxes and have no one to assist.

In January I received a letter from the treasury stating they would be extracting $1106 from my social security at the rate of $165.90 per month. Starting with January my social security was hit for $165.90 per month through June which took are of the $1106. However my social security has continued to be hit for $165.90 per month for July, August, September and October. The telephone number to contact the IRS in Bensalem is a bad number. I have written two letters to them at least two months ago and heard nothing. Social Security says don't contact them. So what do I do.

Also, I wonder because of my low income if I might have been eligible for some sort of forgiveness. The $165.90 is money that I desperately need to try to save for a trip to the states for medicare attention on a bad leg that prohibits me from walking any distance because of knee joint pain and numbness into my foot. I appreciate any advice you might render.

Thank you.



Thanks for your question.

1. Social security cannot do anything about it, you will have to contact the IRS.

2. Call or fax the IRS, preferably call. Use a stateside number if necessary.

3. File a return for 2004 and petition for a refund of your over-withheld funds.

4. I would suggest getting a CPA or enrolled agent o assist you, but the cost may be prohibitive.

5. There is no forgiveness specifically for low-income individuals. Since they have your money, getting back the amount of your taxes is low. All you can hope for, realistically. Ida refund of the excess.

Hope this helps.

John Stancil, CPA  

Tax Law (Questions About Taxes)

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John Stancil, CPA


I can answer questions on personal income taxes, partnerships, and some corporate income taxes. I can deal with some state tax questions. Limited gift and estate tax questions. I am also familiar with ministerial and church tax reporting issues. I am Professor Emeritus at Florida Southern College. Sales taxes and property taxes are state and local issues so I am not likely be be able to give you an in depth answer on those types of taxes. I have maintained a CPA practice, specializing in tax, for over 35 years. I am a member of the National Association of Tax Professionals, The Florida Insititute of CPA's, The NCPE Fellowship. In addition I am a Certified Mentor for SCORE. Visit my website at I also offer seminars and consultations to churches and clergy on their tax issues at Also visit my blog, I am listed on Tax Connections at Prepare and file your own taxes at


I hold a doctorate in Accounting, and am a CPA. My certifications of CIA, CFM, and CMA are inactive. I passed all certification examinations on the first attempt, and received honorable mention for my scores on the CIA exam. I have operated a CPA firm for over 37 years and have taught accounting and tax at the college level for over 35 years.

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The CPA Journal, Florida CPA Today, Green Consumer, Green Business, Global Sustainability as a Business Imperative, Palmetto Review, NATP TaxPro Quarterly, Mustang Journal of Finance and Accounting.

DBA University of Memphis MBA University of Georgia BS in Accounting Mars Hill University

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