Defenses to Collection:
The taxpayer may show that the tax has not been properly assessed; that the statute of limitations has expired; or that the taxpayer qualifies for relief as an innocent spouse. Alternatively, the IRS may agree to allow the taxpayer more time to pay under an installment agreement. The IRS may also agree to accept the taxpayer’s offer in compromise, thus settling the tax dispute. Lastly, the taxpayer may be able to postpone collection by filing a petition in bankruptcy.