Resolved: $4.6 Million Liability for Staffing Company Published October 6, 2025

Tax Guard successfully resolved an IRS liability of $4.6 million for a staffing company in the Southern U.S. through an installment agreement of $4,100 per month. As a result, the business was able to continue factoring with United Capital. The staffing company fell behind with the IRS due to the cyclical nature of the industry, as well as the loss of one of its largest clients.

Several years ago, Tax Guard negotiated a lien-deferred installment agreement for the business. When that agreement defaulted, the IRS filed federal tax liens. Tax Guard then negotiated a new installment agreement with lower monthly payments and secured a subordination within 45 days. Unfortunately, that agreement also defaulted. Due to a history of noncompliance, the revenue officer was reluctant to grant another installment agreement, initially indicating she would not accept less than $15,000 per month while also threatening to levy the business’s customers.

Charmagne Castillo, an Associate at Tax Guard:

• Prevented the IRS from levying bank accounts and accounts receivable,
• Filed Appeals to protect the business and lender, United Capital, throughout negotiations,
• Negotiated an installment agreement with a payment of $4,100 per month based on the business’s ability to pay,
• Obtained a subordination of federal tax lien to protect United Capital’s interests and preserve the funding relationship.

The payment of $4,100 per month constitutes a partial payment installment agreement (PPIA), which the IRS acknowledges “will not fully satisfy the liability” and positions the business to pay approximately $492,000 over the statute of limitations.

“It felt like no one at the IRS would work with us,” said the business owner. “But all we needed was an opportunity to get back into good shape, and Charmagne provided that for us, keeping the IRS from levying so we could get compliant. Then she negotiated an even lower monthly payment than we had before. My business wouldn’t be here without Tax Guard.”

“Our client, like many staffing companies, struggled with tax compliance due to years of cash flow issues,” said Ivan Baker, CEO at United Capital. “We were concerned that the IRS would not accept another agreement because of the prior defaults. Charmagne not only secured an agreement, but she also negotiated terms where our client may not have to pay the full liability. Tax Guard delivered a result we didn’t think was possible.”