Bookstein Low Income Tax Clinic Helps People Resolve Tax Disputes, While Training Students to Negotiate With the IRS

When low-income taxpayers have unresolved tax problems or receive a notice from the Internal Revenue Service regarding any type of tax controversy, there is a free resource available at CSUN to help: The Bookstein Low Income Taxpayer Clinic (LITC).

Funded in part by donations from Harriet and Harvey Bookstein (‘70, ‘16 Hon.D.), the Bookstein LITC assists clients in resolving tax disputes, responding to examinations, setting up payment plans and even representing them in U.S. Tax Court if necessary. Students screen taxpayers for service eligibility, and once admitted, the students work on their clients’ cases to find resolution and settle any tax issues. Because matters may not be resolved in a single semester, LITC student volunteers must carefully document all prior procedures and future tasks to guarantee a seamless transition between semesters.

“These are actual real cases with real people and real financial consequences,” said Lucy Nalbandian, a CPA who serves as the LITC Coordinator. In addition to clinic service, the students meet weekly with John Balian, accounting professor and LITC Lead Faculty, to learn federal tax procedure and concepts.

Accounting student Dianifer Rodriguez previously volunteered at the LITC and now works as a supervisor. The native of Colombia came to the United States to study accounting and found her passion helping clients resolve their tax issues. She plans to earn a credential as an IRS Enrolled Agent, to continue helping clients.

“To be able to assist the low-income taxpayer with any type of IRS controversies is really helpful,” Rodriguez said. “Especially when we finish their case or we solve their issue, they come back and thank us for everything.”

Professor Charles Cobb, who teaches federal tax procedure in Nazarian’s graduate program, joined the Bookstein LITC as a pro bono attorney after he retired from a long career at Deloitte, where he served as Managing Director of its tax controversy practice. Now, he represents LITC clients in U.S. Tax Court, bringing students along for the experience. He said students who volunteer at the LITC get invaluable career skills before they even graduate.

“It is really helpful, because when they go out and practice, they’re going to be dealing with the Internal Revenue Service,” Cobb said. “It is good to have hands-on experience early on, not just learning what an offer-in-compromise is, but actually being able to go through the paces,” Cobb said.

Nalbandian agreed. “You are not going to find this experience in a textbook,” she said. “This is practice, versus theory. They learn to discuss matters with the taxpayer, negotiate with IRS agents, and deal with their peers and supervisors. They cannot waste time. They have to be efficient and write well.”

When it comes to praising the benefits of the LITC, there is no greater advocate than its benefactor Bookstein.

“The clinic benefits the students because they are getting an education and a resume-builder, but the low-income taxpayers also get the help they need,” Bookstein said. “Taking the concern off these taxpayers is a real blessing. So it helps the student, the taxpayer and CSUN in terms of its reputation.”

Nalbandian echoed the clinic’s namesake, saying LITC clients are so thankful for the help they receive. “The people we successfully help say a major weight has been lifted off their shoulders,” she said. “Taxpayers have actually told us that they can now sleep at night, they can breathe more easily.”

Nalbandian keeps a folder of thank you notes from clients. One taxpayer, identified with the initials J.P., wrote: “We are deeply appreciative of (the) knowledgeable professionalism, (the) frank assessment of our situation and (the) uplifting sense of humor in the face of a complicated challenge.” The client added that their student clinician “broke down complicated steps and answered all our very repetitive questions. In the face of a complicated challenge, he helped us to NOT give up hope. And indeed, he got us through the process.”

Cobb recalled a recent case in tax court where a LITC client was told by the IRS she could not claim her son as a dependent to receive a higher Earned Income Tax Credit. “They said he was not taking enough college credits to qualify as a full-time student,” Cobb said.

The professor and LITC student clinicians were able to prove to the IRS that the woman’s son, who is Deaf, qualified as a fulltime student due to his specific learning accommodations. “Even though his required learning lab was a non-credit course, it should have counted toward being a full-time student, and they basically conceded, and the mother received $3,500, which, for a person below the poverty line, is a lot of money,” Cobb said.