Tax Attorney in Schaumburg, IL

Federal IRS representation for Schaumburg households and businesses — Motorola Solutions and Motorola Mobility RSU and ISO disputes, Zurich North America equity-compensation cases, FBAR and FATCA cleanup for H-1B and L-1 families with Chinese, Indian, Polish, Korean, and Filipino bank ties, audits, back taxes, liens, levies, payroll-tax exposure, and U.S. Tax Court litigation at the Kluczynski Federal Building in Chicago. We also coordinate Illinois Department of Revenue matters under Form IL-2848 Power of Attorney where they sit alongside a federal case.

Reviewed by Parham Khorsandi, Esq. — California Bar #266658. Last reviewed: May 25, 2026.

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Serving the Village of Schaumburg, Cook County, the Woodfield corridor, and adjacent Hoffman Estates and Streamwood

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If you owe back taxes in Schaumburg, here is what shapes your 2026 case

Schaumburg is, by population and corporate tax base, the largest incorporated village in the United States — legally a village under Illinois municipal law, with the Mayor and Board of Trustees seated at 101 Schaumburg Court. Illinois keeps a 4.95% flat personal income tax under 35 ILCS 5/201; the graduated-rate constitutional amendment failed at the November 2020 ballot. Corporate income tax sits at 7%, with the 1.5% personal property replacement tax pushing the combined rate to about 9.5%. Sales tax inside Schaumburg adds up to about 8.75% (6.25% state + 1.75% Cook County + 0% Village home-rule sales-tax surcharge + 0.75% RTA), driven up by the Cook County rate even though the Village itself does not impose a municipal sales-tax surcharge on the state base. Illinois Use Tax under 35 ILCS 105/ is enforced aggressively across the Woodfield corridor.

If an IRS CP504, LT11, or Statutory Notice of Deficiency is in front of you, or if the Illinois Department of Revenue has issued a Notice of Tax Liability or a Notice of Deficiency, the deadline to act is short. The Illinois Independent Tax Tribunal still requires a petition within 60 days of a final Notice of Deficiency. The IRS retains its ten-year Collection Statute Expiration Date under IRC § 6502. We pull your IRS account transcripts, calculate the CSED, file Form 2848 with the IRS and Form IL-2848 with the Illinois DOR, and put administrative brakes on collection while the case is built.

Federal tax representation for Schaumburg taxpayers

Victory Tax Lawyers, LLP is a California-Bar-admitted tax-resolution law firm based in Los Angeles. Our federal practice runs nationwide: the Internal Revenue Service accepts our Form 2848 Power of Attorney in every state, and the U.S. Tax Court — a single federal tribunal with jurisdiction over IRS deficiency cases — holds regular trial sessions in Chicago at the John C. Kluczynski Federal Building, the venue assigned to Schaumburg taxpayers. From our Robertson Boulevard office in Los Angeles, we represent Village of Schaumburg residents and Illinois-domiciled businesses in IRS audits, collection cases, Tax Court petitions, Offers in Compromise under IRC § 7122, Installment Agreements under IRC § 6159, lien discharges under IRC § 6325, levy releases under IRC § 6343, and Trust Fund Recovery Penalty defenses under IRC § 6672.

For Illinois state tax matters — the 4.95% flat personal income tax, the parallel 7% corporate rate plus 1.5% replacement tax, the 6.25% state sales tax (with Cook County's 1.75% county tax and the RTA 0.75% add-on combining for an approximately 8.75% rate in Schaumburg), withholding-tax assessments, and contested matters headed to the Illinois Independent Tax Tribunal — we file Form IL-2848 with the Department of Revenue and handle the administrative track directly. For formal litigation in the Illinois Independent Tax Tribunal or the Illinois state courts, we refer to locally admitted Illinois counsel under a co-counsel arrangement. The federal layer is where most Schaumburg corporate-equity, FBAR, and cross-border cases live, and that is where our engagement carries the load.

Schaumburg's economy is unusual for a Chicago suburb: Motorola Solutions, Inc. headquartered at 500 W Monroe Street in Chicago has historically been anchored in Schaumburg under its prior corporate footprint, and Motorola Mobility — spun off in 2011 and acquired by Lenovo Group of China in 2014 — continues to occupy a major Schaumburg facility, with U.S. employees holding equity tied to a Hong Kong-listed Chinese parent. That single fact pattern drives IRC § 6038D Form 8938 reporting, FinCEN Form 114 (FBAR), § 1503(d) dual-consolidated-loss analysis, and Section 965 transition-tax exposure for the Schaumburg-resident executive base. Zurich North America, the U.S. holding company of the Swiss insurance group, runs its headquarters at 1299 Zurich Way in Schaumburg with Swiss-parent RSU plans subject to U.S.-Switzerland tax-treaty allocation under the 1996 Convention (as amended). Woodfield Mall — the second-largest enclosed shopping center in the United States by gross leasable area, opened in 1971 at 5 Woodfield Road — supports thousands of Schedule C franchisees, retail sales-tax filers, and Form 8027 large-food-and-beverage establishments. AMITA Health Alexian Brothers Medical Center, Edward Hospital, and Northwest Community Hospital (Endeavor Health) generate 1099 physician and locum-tenens engagements. Roosevelt University's Schaumburg campus and the Harper College district pull faculty and adjunct W-2 plus 1099 mixed income. The American Bar Association headquartered in the Chicago Loop at 321 N Clark Street uses Schaumburg venues for CLE programming, putting attorneys in town routinely. The federal procedures are uniform; the facts are Schaumburg-specific.

Your tax rights as a Schaumburg taxpayer

Two parallel rights frameworks apply when you owe tax. Federal rights come from the Internal Revenue Code and IRS Publication 1, the Taxpayer Bill of Rights. State rights come from the Illinois Income Tax Act (35 ILCS 5/), the Illinois Department of Revenue Law of the Civil Administrative Code (20 ILCS 2505/), and the Illinois Taxpayers' Bill of Rights Act (20 ILCS 2520/). Knowing both is the difference between a clean resolution and a missed 60-day Illinois Independent Tax Tribunal deadline that turns into a state tax lien recorded against your Cook County home.

Right to representation

IRC § 7521(b)(2) and (c) give you the right to be represented by an attorney, CPA, or Enrolled Agent during any IRS examination or interview. Once Form 2848 is on file, the IRS must deal with us first, not you. Illinois mirrors this through Form IL-2848 Power of Attorney filed with the Department of Revenue.

Right to U.S. Tax Court review

IRC § 6213(a) gives you 90 days from a Statutory Notice of Deficiency to petition the U.S. Tax Court without paying the tax first. Miss the 90 days and the federal assessment becomes final. The Tax Court holds regular trial sessions in Chicago at the Kluczynski Federal Building, approximately 30 miles east of Schaumburg.

Right to Illinois Independent Tax Tribunal review

35 ILCS 1010/1-45 gives you 60 days from a final Illinois DOR Notice of Deficiency to petition the Illinois Independent Tax Tribunal — an independent administrative tribunal established by statute in 2013 and seated at 160 N LaSalle Street, Suite S-1000, Chicago IL 60601. The 60-day window is tighter than the federal 90-day Tax Court deadline. Jurisdiction generally covers protests where the amount at issue exceeds $15,000. Victory Tax Lawyers refers Tribunal litigation to locally admitted Illinois counsel.

Collection Due Process

IRC § 6320 (lien) and IRC § 6330 (levy) give you a 30-day window to request a CDP hearing once the IRS files a Notice of Federal Tax Lien or issues a Final Notice of Intent to Levy. A timely CDP filing halts collection and preserves judicial review in the U.S. Tax Court.

Right to settle for less than owed

Federally, IRC § 7122 authorizes Offers in Compromise based on doubt as to liability, doubt as to collectibility, or effective tax administration. Illinois runs a parallel Offer-in-Compromise process under 35 ILCS 5/911.2 and the Board of Appeals procedure (20 ILCS 2505/2505-65), with hardship and insolvency standards similar to the federal program. Both regimes require all returns filed before consideration.

Right to recover fees

IRC § 7430 allows recovery of administrative and litigation costs if the IRS takes a position that is not substantially justified and the taxpayer prevails. The threshold is high, but real, especially in audit reconsideration and Innocent Spouse cases under IRC § 6015.

How Victory Tax Lawyers helps Schaumburg taxpayers

Offer in Compromise under IRC § 7122

We file Form 656 with Form 433-A(OIC) or 433-B(OIC), document the Reasonable Collection Potential, and negotiate doubt-as-to-collectibility offers when full collection is not feasible within the remaining CSED. For Schaumburg taxpayers, a federal OIC does not resolve Illinois state liability; we run a parallel Illinois OIC or Board of Appeals petition with the Illinois DOR where the state debt is real. Cook County offers turn on the Reasonable Collection Potential calculation against home equity, retirement accounts, deferred compensation, and unvested Motorola Solutions or Zurich North America equity grants — a careful asset and income analysis under Internal Revenue Manual 5.8.5 makes or breaks the submission.

Installment Agreements under IRC § 6159

Streamlined IAs (under $50,000), partial-pay IAs under IRC § 6159(d), and full-pay agreements. We push for partial-pay structures where the IRC § 6502 ten-year CSED will extinguish the balance before payoff — a path worth running for Schaumburg taxpayers between $50,000 and $250,000 in federal debt. Illinois runs its own state installment-agreement program through MyTax Illinois.

Lien discharge, subordination, and withdrawal

When a Notice of Federal Tax Lien blocks a Schaumburg property sale or refinance — common across the 60173, 60193, 60194, 60195, and 60196 ZIP codes near the Woodfield corridor — we file Form 14135 (discharge), Form 14134 (subordination), or Form 12277 (withdrawal). NFTLs filed with the Cook County Recorder of Deeds at 118 N Clark Street, Room 230, Chicago, encumber title; the IRS procedures under IRC § 6325 set the cure path. Timing must align with the closing.

Levy release under IRC § 6343

Wage levies, bank levies, and accounts-receivable levies. We document economic hardship under IRC § 6343(a)(1)(D) and Treasury Reg. § 301.6343-1(b)(4), and where the levy is procedurally defective, we challenge it through Collection Due Process or Appeals. Illinois state levies follow a parallel track under 35 ILCS 5/1109 and the Department of Revenue Law.

Audit defense and U.S. Tax Court litigation

Correspondence audits, office audits, and field examinations — including sensitive issues like cryptocurrency, foreign accounts under FinCEN Form 114 (FBAR) for accounts held in India, China, Poland, Korea, and the Philippines, S-corporation reasonable-compensation for Schaumburg professional-services firms, equity-compensation timing on RSU vesting and ISO disqualifying dispositions at Motorola Solutions and Zurich North America, and IRC § 6038D Form 8938 reporting for Lenovo-owned Motorola Mobility employees holding Chinese-parent equity. If the audit closes unfavorably, we petition the U.S. Tax Court within the 90-day IRC § 6213(a) window. Schaumburg taxpayers' trial sessions are held in Chicago at the Kluczynski Federal Building.

Penalty abatement under IRC § 6651 and IRM 20.1.1

First-Time Abate administrative relief, reasonable-cause abatement, and statutory exceptions for failure-to-file and failure-to-pay penalties. On accuracy-related penalties under IRC § 6662, we document substantial authority or adequate disclosure to defeat the assessment. Illinois penalties under 35 ILCS 735/3 follow a separate reasonable-cause analysis. Foreign-disclosure penalties under IRC § 6038D for unreported specified foreign financial assets — common in Schaumburg's H-1B and L-1 expat households tied to State Bank of India, Bank of China, ICBC, PKO Bank Polski, Kookmin Bank, and BDO Unibank — respond to the Streamlined Filing Compliance Procedures rather than ordinary abatement.

Twelve types of Schaumburg tax matters we handle

Federal cases for Schaumburg residents and businesses, framed against the Illinois DOR overlay where it matters.

Motorola Solutions and Zurich RSU disputes

Schaumburg hosts the U.S. operations of Motorola Solutions and the U.S. headquarters of Zurich North America at 1299 Zurich Way. RSU vesting is ordinary W-2 income on the year of vest; ISO exercise can trigger Alternative Minimum Tax under IRC § 55 if held past year-end. Disqualifying ISO dispositions, missed 83(b) elections under IRC § 83(b), and Section 409A deferred-compensation timing errors drive most of our equity-compensation engagements. Zurich's Swiss-parent RSU plans require allocation under Article 14 of the 1996 U.S.-Switzerland tax treaty for the cross-border earnings portion.

Motorola Mobility and Lenovo-parent § 6038D reporting

Motorola Mobility was spun off from Motorola Inc. in 2011 and acquired by Lenovo Group Limited (Hong Kong Stock Exchange: 0992) in October 2014. Schaumburg-based Motorola Mobility employees who receive Lenovo equity hold a specified foreign financial asset under IRC § 6038D. Form 8938 reporting thresholds (starting at $50,000/$100,000 single/joint for U.S. residents) and FinCEN Form 114 (FBAR) thresholds ($10,000 aggregate) apply. Missed filings carry a $10,000 per-failure penalty under IRC § 6038D(d), with continuation penalties capped at $50,000. Streamlined Filing Compliance Procedures provide the cure path.

FBAR for Indian, Chinese, Polish, Korean, and Filipino accounts

FinCEN Form 114 (FBAR) for foreign accounts over $10,000 aggregate, plus IRS Form 8938 for specified foreign financial assets under IRC § 6038D. The northwest Cook County suburbs around Schaumburg, Hoffman Estates, and Streamwood carry a heavy Indian-American, Chinese-American, Polish-American, Korean-American, and Filipino-American H-1B and L-1 population. Streamlined Filing Compliance Procedures are a frequent engagement for accounts at State Bank of India, ICICI Bank, HDFC, Bank of China, ICBC, PKO Bank Polski, Bank Pekao, Kookmin Bank, Hana Bank, BDO Unibank, and Metrobank.

Woodfield Mall Schedule C and Form 8027

Woodfield Mall — opened in 1971 at 5 Woodfield Road and reported as the second-largest enclosed shopping center in the United States by gross leasable area — supports several hundred retail tenants. Many are franchisees and small-business operators filing Schedule C or as pass-through entities. Restaurant operators in the food court and at the AMC IMAX area must file IRS Form 8027 (Employer's Annual Information Return of Tip Income and Allocated Tips) for large food-and-beverage establishments. Illinois Retailers' Occupation Tax under 35 ILCS 120/ collection is separate.

IRC § 911 Foreign Earned Income Exclusion

H-1B and L-1 professionals who spent prior tax years abroad, plus Schaumburg residents on overseas assignments through Motorola, Zurich, or Chicago-area consulting and tech firms, claim the Foreign Earned Income Exclusion under IRC § 911 (indexed to roughly $126,500 for 2024). Bona-fide-residence and physical-presence tests drive eligibility. The exclusion does not eliminate U.S. self-employment tax or Illinois state tax for Illinois domiciliaries.

Trust Fund Recovery Penalty

IRC § 6672 imposes personal liability on officers, partners, and check-signers for unpaid employment-tax withholding. Schaumburg restaurant operators along Golf Road and Higgins Road, retail and hospitality tenants at Woodfield and Streets of Woodfield, professional-services firms in the Schaumburg Towers office market, and construction businesses are frequent targets. The IRS uses Form 4180 interviews to identify responsible persons.

Notice of Federal Tax Lien

NFTLs filed with the Cook County Recorder of Deeds at 118 N Clark Street, Chicago, encumber title on every Schaumburg property and trigger CDP rights under IRC § 6320. A parallel Illinois state tax lien may be recorded by the DOR under 35 ILCS 5/1101 with a 20-year duration. The Village of Schaumburg sits wholly within Cook County, so the recording venue is uniform across Village ZIP codes.

IRS bank or wage levy

Bank levies on accounts held at BMO Harris, Chase, Wintrust, Inland Bank & Trust, MB Financial (Fifth Third), or any Illinois-chartered bank. Wage levies hit Schaumburg employers including Motorola Solutions and Mobility, Zurich North America, Experian, the Village of Schaumburg, and AMITA Health within days of CP90 or LT11 issuance — we move on Form 12153 CDP requests and Form 433-F hardship submissions concurrently.

Passport revocation under IRC § 7345

A seriously delinquent tax debt (over $62,000 for 2025, indexed annually) triggers State Department certification and passport hold. Schaumburg's H-1B, L-1, and dual-citizen families travel internationally for work and family reasons — particularly back to India, China, Poland, Korea, and the Philippines — and a passport block disrupts career and personal life. We file the IRC § 7345(e) action to reverse the certification.

1099 physician self-employment

AMITA Health Alexian Brothers Medical Center, Northwest Community Hospital (Endeavor Health), and the broader Endeavor Health system contract with locum-tenens, hospitalist, anesthesiology, and emergency-medicine physicians on a 1099 basis. Self-employment tax under IRC § 1402 (15.3%), quarterly estimated payments under IRC § 6654, IRC § 199A QBI phase-outs for specified service trades, and S-corporation reasonable-compensation under Rev. Rul. 59-221 are recurring physician issues across the northwest suburb medical campuses.

Clergy housing under IRC § 107

Schaumburg hosts a dense network of houses of worship across denominations — Catholic parishes affiliated with the Archdiocese of Chicago, the United Methodist Conference, large evangelical congregations along the Higgins and Roselle Road corridors, and several Hindu temples and gurdwaras serving the Indian-American community. Clergy parsonage allowances under IRC § 107 and the Self-Employment Contributions Act treatment of ministers under IRC § 1402(c)(4) and (e) drive a recurring set of audits and amended-return projects.

Unfiled returns and SFR substitutes

When the IRS files a Substitute for Return under IRC § 6020(b), the assessed tax is almost always overstated. Filing the correct original return is the first move — it routinely reduces the balance. Illinois runs a parallel substitute-return process under 35 ILCS 5/904, and the DOR uses federal return matching to issue Illinois Notices of Tax Liability whenever a federal SFR posts. Many post-2020 transplants from New York and California into the Schaumburg market discover unfiled prior-state-of-residence returns alongside the federal exposure.

Nine common causes of tax debt for Schaumburg taxpayers

Patterns we see repeatedly in Schaumburg-based engagements. None of them are unusual — all of them are resolvable.

1. RSU underwithholding

Employer payroll typically withholds federal tax on RSU vesting at the 22% supplemental flat rate. A Schaumburg executive at Motorola Solutions or Zurich North America in the 32%, 35%, or 37% marginal bracket carries a 10-to-15-point shortfall on each vest. Without a quarterly Form 1040-ES estimated payment, the IRS CP14 arrives the following April with penalties under IRC § 6654.

2. ISO Alternative Minimum Tax

An Incentive Stock Option exercised and held past year-end produces an AMT preference item under IRC § 56(b)(3). Schaumburg option holders at pre-IPO Chicago-area tech firms regularly land in AMT for the first time after a multi-thousand-share exercise — with no cash to pay the AMT bill if the stock price drops the following year.

3. Self-employment underpayment

Independent IT consultants serving Schaumburg's enterprise tech corridor, 1099 physicians at AMITA Health and Northwest Community Hospital, financial advisors, and Schedule C operators file with no estimated-tax payments. The first IRS CP14 lands the following spring with penalties under IRC § 6654 and parallel Illinois penalty under 35 ILCS 735/3-3.

4. Business closure

When an LLC or S-corp closes with unpaid Form 941 payroll-tax balances, IRC § 6672 follows the responsible officer personally — well after the entity is dissolved. The post-2008 Schaumburg retail and restaurant casualty list is long; many former operators carry latent personal exposure. Illinois pursues a parallel responsible-officer claim under 35 ILCS 735/3-7.

5. Divorce and joint-return fallout

A jointly-filed return tied to a now-former spouse's understatement leaves both parties liable until Innocent Spouse relief under IRC § 6015 is granted. Cook County divorce filings track the federal record.

6. Cryptocurrency CP2000 surprise

Exchanges issue Form 1099-DA (introduced 2025), and the IRS computer matches reported gains. Missed basis records turn into ordinary-income assessments at the full sale price. Schaumburg's tech, engineering, and finance population overlaps heavily with the retail crypto investor base.

7. Late-filed or unfiled returns

Failure-to-file under IRC § 6651(a)(1) compounds at 5% per month, capped at 25%. After three years, refunds are barred under IRC § 6511. Illinois imposes a parallel late-filing penalty under 35 ILCS 735/3-3. Post-2020 New York and California transplants into Schaumburg routinely surface unfiled returns from prior states of residence.

8. Real-estate sale without estimated tax

A Schaumburg home in the Lexington Fields, Town Square, or Weathersfield subdivisions generating substantial capital gain, with no Form 1040-ES payment, produces a tax bill the next April. Investor flips taxed at ordinary-income rates — not capital-gain — under the dealer-status rules of IRC § 1221.

9. Illinois Use Tax on out-of-state purchases

35 ILCS 105/3 imposes a 6.25% Use Tax on goods purchased out of state (online retailers, items shipped from out-of-state warehouses, vehicles bought across state lines) and brought into Illinois for use. The DOR enforces through Form ST-44 and vehicle-registration cross-matching at the Secretary of State; many Schaumburg taxpayers discover the liability years late on a CarMax or out-of-state dealer purchase.

Eight tax liabilities that pull in Schaumburg taxpayers

Federal authority alongside the Illinois statute where there is a parallel.

Failure to file federal return

IRC § 6651(a)(1) imposes 5%/month, max 25%, plus interest under IRC § 6601. The Illinois mirror is 35 ILCS 735/3-3 imposing a 2%/month late-filing penalty capped at 20% of unpaid state tax.

Failure to file Illinois state return

35 ILCS 735/3-3 imposes a late-filing penalty separate from the federal penalty. The Illinois DOR may issue a Notice of Tax Liability under 35 ILCS 5/904 triggering protest rights and, if the amount exceeds $15,000, an Illinois Independent Tax Tribunal petition window.

Federal § 7122 Offer in Compromise eligibility

All federal returns must be filed (IRC § 7122(d) compliance) and the offer must reflect Reasonable Collection Potential. The non-refundable $205 application fee may be waived for low-income certified offers.

Illinois Retailers' Occupation Tax delinquency

35 ILCS 120/ (the Retailers' Occupation Tax Act) imposes penalties on unpaid state sales tax (6.25% state + Cook County 1.75% + RTA 0.75% = approximately 8.75% combined in Schaumburg, with the Village home-rule share at 0% on the state base). Personal liability for responsible persons under 35 ILCS 735/3-7 pierces the corporate veil for trust-fund sales tax — a recurring issue for Woodfield retail tenants.

Trust Fund Recovery Penalty

IRC § 6672 imposes 100% personal liability on responsible persons for unpaid trust-fund employment tax. Illinois applies a similar responsible-person rule to withheld state income tax under 35 ILCS 735/3-7.

Accuracy-related penalty

IRC § 6662 imposes 20% on substantial-understatement or negligence; IRC § 6663 imposes 75% on fraud. Defense is built on substantial authority, adequate disclosure, or reasonable cause. IRC § 6662(j) adds a 40% gross-valuation-misstatement penalty on undisclosed foreign financial-asset transactions — relevant to Schaumburg expat families and Lenovo-equity holders at Motorola Mobility.

Illinois Use Tax assessment

35 ILCS 105/ imposes a 6.25% Use Tax on out-of-state purchases brought into Illinois. The DOR pursues unreported Use Tax through ST-44 audits, vehicle-registration cross-matching, and out-of-state retailer reporting. Voluntary disclosure programs under 35 ILCS 745/ can resolve historical exposure on favorable terms.

IRC § 6038D Form 8938 disclosure

IRC § 6038D requires Form 8938 reporting of specified foreign financial assets above filing-status thresholds ($50,000/$100,000 for unmarried/married filing in the U.S.; higher for taxpayers abroad). A $10,000 penalty applies per failure, with continuation penalties capped at $50,000. Form 8938 sits alongside FBAR — the two filings overlap but are not identical. Schaumburg's Motorola Mobility (Lenovo) workforce, Zurich Swiss-parent employees, and broader Indian-American, Chinese-American, Polish-American, Korean-American, and Filipino-American H-1B and L-1 households see this filing routinely; Streamlined Filing Compliance Procedures address both.

What resolution can look like

Debt reduced

An accepted IRC § 7122 Offer in Compromise can resolve six-figure balances for cents on the dollar where Reasonable Collection Potential supports the offer. The acceptance rate sits around 33% nationally; preparation determines the outcome.

Penalties abated

First-Time Abate removes a single year of failure-to-file or failure-to-pay penalties for taxpayers with a clean three-year compliance record. Reasonable-cause abatement under IRM 20.1.1 reaches further when supported by documentation.

Lien released or withdrawn

Once a debt is paid in full, the IRS releases the Notice of Federal Tax Lien within 30 days per IRC § 6325(a). On an Installment Agreement of $25,000 or less, lien withdrawal under Form 12277 can be requested to clear title with the Cook County Recorder of Deeds.

Sample tax-resolution outcomes

Anonymized client matters drawn from our $100M+ aggregate tax-relief record across 2,000+ resolved cases.

Year	Tax debt	Resolution	Final outcome
2024	$152,296	IRC § 6159 Installment Agreement	Accepted at $25/month, partial-pay
2024	$138,296	Streamlined Installment Agreement	Accepted at $25/month
2023	$130,555	Partial-Pay Installment Agreement	Accepted at $50/month
2023	$128,206	IRC § 6159 Installment Agreement	Accepted at $25/month
2022	$116,451	Partial-Pay Installment Agreement	Accepted at $50/month

Past results do not guarantee future outcomes. Each tax case is unique. Results depend on the specific facts of the matter, including the taxpayer's financial condition, compliance history, and the discretion of the Internal Revenue Service and the Illinois Department of Revenue.

Why Victory Tax Lawyers for a Schaumburg federal-tax case

Victory Tax Lawyers is California-Bar-admitted, not Illinois-Bar-admitted. That distinction matters — and it does not block our work. The U.S. Tax Court is a federal court with nationwide jurisdiction; an attorney admitted to that court may petition and try cases at any of its trial locations, including Chicago at the Kluczynski Federal Building (the assigned trial city for Schaumburg taxpayers). IRS administrative practice runs on Form 2848 Power of Attorney, which is accepted from any attorney in good standing with any state bar plus an active Centralized Authorization File number. Most of our Schaumburg clients never need a separately admitted Illinois attorney because the case is, at its core, federal.

For administrative work before the Illinois Department of Revenue — protests, audit responses, OIC submissions, and installment-agreement requests — we file Form IL-2848 Power of Attorney and handle the matter remotely. When a case must move to the Illinois Independent Tax Tribunal (the independent administrative tribunal authorized under 35 ILCS 1010/ and seated at 160 N LaSalle Street, Suite S-1000, in Chicago) or an Illinois state court, we coordinate with locally admitted Illinois counsel under a co-counsel arrangement. The federal portion of the engagement, which is usually the larger exposure for Schaumburg households with Motorola Solutions or Zurich RSU, Lenovo-parent equity, FBAR, or cross-border facts, stays with us.

What distinguishes our firm: a California-Bar-admitted managing attorney with active U.S. Tax Court admission, an Enrolled Agent on staff for IRS administrative work, a 5.0 / 72-review Google rating, and $100M+ in cumulative tax relief secured across 2,000+ resolved matters. No marketing claim of being an Illinois-licensed firm — we are not. A factually accurate offer of federal tax representation, available to any Schaumburg taxpayer, at the same standard we apply to a Los Angeles client. Our 100% remote workflow runs through a secure document portal — you never have to drive into the Loop or down to Robertson Boulevard.

Our seven-step process for Schaumburg clients

Free consultation

A 30-minute call with a tax attorney to scope your matter, identify deadlines, and decide whether engagement is the right move.

Engagement letter

A written scope, fee structure, and conflict check. Flat fees for administrative resolution; hourly or hybrid for litigation.

Form 2848 and CAF

We file the federal Power of Attorney with the IRS and Form IL-2848 with the Illinois DOR, register on the CAF system, and step in as the contact of record.

Transcript and CSED analysis

We pull IRS account transcripts via Form 8821, calculate each year's CSED under IRC § 6502, and identify tolling events.

Strategy memo

A written summary: the resolution path (OIC, IA, CNC, audit response, CDP, Tax Court), the timeline, and the realistic outcome range.

Filing and negotiation

We file the operative document — Form 656, Form 433-A(OIC), Form 9423, Form 12153, or an Illinois Independent Tax Tribunal petition through local counsel — and handle every IRS and Illinois DOR contact.

Compliance monitoring

After resolution we monitor compliance through the OIC five-year terms or the IA term, file future returns, and prevent default.

Two collection clocks: federal CSED and Illinois's 20-year lien rule

The IRS has ten years from the date of assessment to collect a federal tax under IRC § 6502. After the Collection Statute Expiration Date, the debt is extinguished by operation of law. The clock pauses (“tolls”) when an Offer in Compromise is pending, when a Collection Due Process petition is filed, during bankruptcy, when an installment agreement is requested, and when the taxpayer is outside the United States for six months or more — relevant to Schaumburg's H-1B, L-1, and overseas-assignment population travelling to India, China, Poland, Korea, the Philippines, or Switzerland on Zurich assignments.

Illinois runs a parallel state collection rule. Under 35 ILCS 5/911, the Illinois DOR must issue a Notice of Deficiency within three years of the return's due date (six years for omissions exceeding 25% of gross income, no limit for fraud or unfiled returns). Once an Illinois tax lien is recorded under 35 ILCS 5/1101, it remains a lien on the taxpayer's real and personal property for 20 years — far longer than the federal ten-year CSED. Many Schaumburg homeowners carry a federal CSED that will expire well before the Illinois lien is released. Pull both records and know both dates before agreeing to any payment plan or amended return that could restart a clock.

Schaumburg tax authorities and venues

A working knowledge of the tribunals, agencies, and field offices serving Schaumburg is what separates an answered Notice from a wage levy. Below is the working list our firm uses on every Schaumburg matter.

IRS Taxpayer Assistance Center — Schaumburg

The IRS Taxpayer Assistance Center serving Schaumburg sits at 1605 Woodfield Road, Suite 100, Schaumburg IL — a short walk from the Woodfield Mall and from the Motorola Solutions and Zurich North America campuses. Appointments are required; call 844-545-5640. The federal tax authority is at irs.gov.

U.S. Tax Court — Chicago trial sessions

The U.S. Tax Court holds regular trial sessions in Chicago at the John C. Kluczynski Federal Building, 230 S Dearborn Street — the trial city assigned to Schaumburg taxpayers when filing a petition, approximately 30 miles east of the Village. Petitions are filed electronically through DAWSON at ustaxcourt.gov; the 90-day deadline runs from the IRS Statutory Notice of Deficiency under IRC § 6213(a).

Illinois Department of Revenue

The state tax authority, at tax.illinois.gov. Springfield headquarters with a Chicago regional office at the James R. Thompson Center, 100 W Randolph Street, 7th Floor, Chicago IL 60601 — the regional office serving Schaumburg, about 30 miles east. Administers the 4.95% flat personal income tax, the 7% corporate income tax plus 1.5% replacement tax, the 6.25% state sales tax, withholding tax, and Use Tax under 35 ILCS 105/.

Illinois Independent Tax Tribunal

The independent administrative tribunal established by statute in 2013, authorized under 35 ILCS 1010/ and seated at 160 N LaSalle Street, Suite S-1000, Chicago IL 60601 (approximately 30 miles east of Schaumburg). Hears disputes between taxpayers and the Illinois Department of Revenue where the amount in controversy exceeds $15,000. 60-day petition deadline from a final Notice of Deficiency. Decisions are appealable to the Illinois Appellate Court.

Cook County Treasurer

The county tax-collection authority for all of Schaumburg. Office at 118 N Clark Street, Room 112, Chicago IL 60602. Page: cookcountytreasurer.com. Administers Cook County property-tax billing and collection. Schaumburg homes are billed through the Cook County system on the second-installment cycle.

Cook County Assessor

The county assessment authority. Office at 118 N Clark Street, Room 320, Chicago IL 60602. Page: cookcountyassessor.com. Sets the assessed value of every Schaumburg property — the starting point for the county tax bill. Property-tax appeals run through the Cook County Board of Review and the Illinois Property Tax Appeal Board on further appeal.

Village of Schaumburg Treasurer

The municipal revenue authority at 101 Schaumburg Court, Schaumburg IL 60193. Schaumburg is legally a village, not a city — and by population (approximately 75,000) the largest incorporated village in the United States. The Village administers a local food-and-beverage tax, hotel-and-motel tax, telecommunications tax, and business-license fees. Illinois law bars municipal income taxes, so no Schaumburg city-level income tax applies.

U.S. District Court — Northern District of Illinois, Eastern Division

Refund suits filed after payment of tax and exhaustion of administrative remedies under IRC § 7422 may be brought in the U.S. District Court for the Northern District of Illinois, Eastern Division, at the Everett McKinley Dirksen Federal Building, 219 S Dearborn Street, Chicago IL 60604 — the primary venue for Schaumburg taxpayers, which sits within NDIL Eastern Division — or the U.S. Court of Federal Claims in Washington, D.C.

IRS Independent Office of Appeals

The administrative-appeals body within the IRS that resolves cases without litigation. Schaumburg cases run through the Appeals offices serving the Midwest region. Filings: Form 9423 (collection appeal) and Form 12153 (CDP). Page: irs.gov/appeals.

Taxpayer Advocate Service — Chicago

An independent organization within the IRS that helps when normal channels stall. The Chicago TAS office serves taxpayers across northern Illinois, including the northwest Cook County suburb corridor. Page: taxpayeradvocate.irs.gov.

Speak with a tax attorney about your Schaumburg matter

Free consultation, attorney-client privileged, no obligation. If a Notice of Deficiency, a Final Notice of Intent to Levy, or an Illinois DOR Notice of Tax Liability is in front of you, the deadline to respond is real and short — call today.

Call (800) 883-8301 Free Consultation

Frequently asked questions — Schaumburg tax

Is Schaumburg a city or a village under Illinois law?

Schaumburg is legally a village under the Illinois Municipal Code (65 ILCS 5/), not a city. It also happens to be, by population (approximately 75,000), the largest incorporated village in the United States. The Mayor and Board of Trustees are seated at 101 Schaumburg Court. For federal tax purposes the city-vs-village distinction is irrelevant — the IRS recognizes the same jurisdictional address as the Village of Schaumburg in Cook County, Illinois. For state tax, the Illinois DOR and the Illinois Independent Tax Tribunal address taxpayers by the municipal name on file.

Does Illinois have a state income tax?

Yes. Illinois has a 4.95% flat personal income tax under 35 ILCS 5/201. The graduated-income-tax constitutional amendment failed at the November 2020 ballot, so the flat structure has held. Corporate income tax is 7%, with an additional 1.5% personal property replacement tax that pushes the combined corporate rate to 9.5%. Schaumburg residents pay no village income tax (Illinois municipalities cannot impose a local income tax under the state constitution). Sales tax inside Schaumburg lands at about 8.75% (6.25% state + 1.75% Cook County + 0.75% RTA), lower than the City of Chicago's 10.25% combined rate but higher than the lower-tax DuPage County suburbs.

Where is the closest U.S. Tax Court trial location to Schaumburg?

The U.S. Tax Court holds regular trial sessions in Chicago at the John C. Kluczynski Federal Building, 230 S Dearborn Street — approximately 30 miles east of Schaumburg and reachable via the Metra Milwaukee District North line from the Schaumburg station into Chicago Union Station, or via I-90 into the Loop. A Schaumburg taxpayer requests the Chicago trial location when filing the petition. Petitions are filed electronically through DAWSON at ustaxcourt.gov; the 90-day deadline from the IRS Statutory Notice of Deficiency under IRC § 6213(a) is jurisdictional — a single day late and the federal assessment becomes final.

Where is the IRS Taxpayer Assistance Center for Schaumburg?

The IRS operates a dedicated Taxpayer Assistance Center at 1605 Woodfield Road, Suite 100, Schaumburg IL — a short walk from the Woodfield Mall complex and convenient to the Motorola Solutions and Zurich North America campuses. The TAC is appointment-only; call 844-545-5640 to schedule. The TAC handles identity-verification meetings, payment processing, transcript pickup for taxpayers without IRS online accounts, and account-resolution matters that cannot be completed by phone or through the IRS website.

What is the Illinois Independent Tax Tribunal and what is its deadline?

The Illinois Independent Tax Tribunal is an independent administrative tribunal established by the Illinois General Assembly in 2013 (effective January 1, 2014), authorized under 35 ILCS 1010/ and seated at 160 N LaSalle Street, Suite S-1000, Chicago IL 60601 — about 30 miles east of Schaumburg. It hears disputes between taxpayers and the Illinois Department of Revenue in matters where the amount at issue exceeds $15,000. The petition deadline is 60 days from a final DOR Notice of Deficiency — tighter than the federal 90-day Tax Court deadline. Decisions are appealable to the Illinois Appellate Court. Victory Tax Lawyers refers Illinois Independent Tax Tribunal litigation to locally admitted Illinois counsel; we handle the federal portion and DOR administrative work directly.

I work at Motorola Mobility (owned by Lenovo) — do I have to report my Lenovo equity?

Yes. Lenovo Group Limited is a Hong Kong-listed Chinese company (HKEx: 0992) that acquired Motorola Mobility from Google in October 2014. Schaumburg-based Motorola Mobility employees holding Lenovo restricted stock, options, or share-savings plan accounts hold a specified foreign financial asset under IRC § 6038D. Form 8938 reporting kicks in at $50,000 single / $100,000 joint year-end value (or $75,000 / $150,000 at any point during the year) for U.S. residents. FinCEN Form 114 (FBAR) kicks in at $10,000 aggregate across all foreign accounts — including any Lenovo employee-stock-purchase plan custodial account held outside the U.S. Missed Form 8938 carries a $10,000 per-failure penalty under IRC § 6038D(d), continuation-capped at $50,000. Missed FBAR carries up to $10,000 per non-willful violation and up to the greater of $100,000 or 50% of account balances per willful violation. We bring these into compliance through the Streamlined Filing Compliance Procedures.

I work at Zurich North America — how do my Swiss-parent RSUs get taxed?

Zurich Insurance Group Ltd (SIX:ZURN) is a Swiss company headquartered in Zurich, Switzerland. RSUs granted to Schaumburg-based Zurich North America employees are taxed federally as ordinary W-2 income at vest. Where the grant covers a period when the employee performed services in Switzerland, allocation under Article 14 of the 1996 U.S.-Switzerland Income Tax Convention (as amended by the 2009 Protocol) determines which country has primary taxing rights on each tranche. The U.S. taxes Schaumburg residents on the full vest amount, with a foreign tax credit under IRC § 901 for any Swiss tax actually paid. Illinois adds its 4.95% on the same wages. If the holding includes any Swiss share-savings or pension-fund component (Pillar 2 or Pillar 3a), Form 8938 and possibly FBAR apply.

I'm an H-1B or L-1 visa holder in Schaumburg — do I have to report my Indian, Chinese, Polish, Korean, or Filipino bank accounts?

Yes, if you are a U.S. tax resident under the substantial-presence test of IRC § 7701(b) and the aggregate value of all foreign financial accounts you own or have signature authority over exceeded $10,000 at any point during the calendar year. FinCEN Form 114 (FBAR) is due April 15 with an automatic extension to October 15. IRS Form 8938 under IRC § 6038D adds a parallel disclosure with different (higher) thresholds. Non-willful failure to file FBAR carries up to a $10,000 civil penalty per violation; willful failure can reach the greater of $100,000 or 50% of account balances. The IRS Streamlined Filing Compliance Procedures — Domestic for U.S. residents, Foreign for those who lived abroad — offer a path to bring accounts at State Bank of India, ICICI, HDFC, Bank of China, ICBC, PKO Bank Polski, Bank Pekao, Kookmin, Hana Bank, BDO Unibank, and Metrobank into compliance with substantially reduced penalty exposure.

I'm a Woodfield Mall franchisee — what taxes do I have to file?

Tenants at Woodfield Mall — reported as the second-largest enclosed shopping center in the United States by gross leasable area — range from national-chain corporate-owned stores to single-unit franchisees and independent operators. Independent operators typically file a Schedule C with Form 1040 (sole proprietor) or a corporate / partnership return (S-corp, C-corp, LLC). Sales tax flows through Illinois Retailers' Occupation Tax registration (35 ILCS 120/) with monthly or quarterly remittance through MyTax Illinois at the Schaumburg combined rate of about 8.75%. Food-and-beverage operators with eight or more employees must file IRS Form 8027 (Employer's Annual Information Return of Tip Income and Allocated Tips). Federal employment-tax filings include Form 941 quarterly and Form 940 annually, with Trust Fund Recovery Penalty exposure under IRC § 6672 on unpaid withholding.

What is Illinois's collection statute of limitations?

35 ILCS 5/911 gives the Illinois DOR three years from a return's due date to issue a Notice of Deficiency (six years for omissions exceeding 25% of gross income, no limit for fraud or unfiled returns). Once an Illinois tax lien is recorded under 35 ILCS 5/1101, the lien remains in place against the taxpayer's real and personal property for 20 years — substantially longer than the federal ten-year CSED under IRC § 6502. Pulling both records is the first step before agreeing to any payment plan that might restart a clock.

Can a California-Bar-admitted attorney represent me in Schaumburg?

For federal IRS matters — yes. The IRS accepts Form 2848 Power of Attorney from any attorney in good standing with any state bar. The U.S. Tax Court is a single federal court with nationwide jurisdiction; an attorney admitted to that court may represent a taxpayer at any Tax Court trial location, including Chicago. For Illinois DOR administrative work, we file Form IL-2848 Power of Attorney and handle the matter remotely. For formal litigation in the Illinois Independent Tax Tribunal or an Illinois state court, we co-counsel with locally admitted Illinois attorneys. Most engagements — audit defense, OIC, IA, levy release, Tax Court, FBAR cleanup — are federal and stay entirely with our firm.

I'm a 1099 physician at AMITA Health or Northwest Community Hospital — what tax issues should I expect?

AMITA Health Alexian Brothers Medical Center in Schaumburg and Northwest Community Hospital in nearby Arlington Heights (now part of Endeavor Health following the Edward-Elmhurst Health and NorthShore University HealthSystem merger) contract with locum-tenens, hospitalist, anesthesiology, emergency-medicine, and radiology physicians on a 1099 basis. The 1099-NEC income carries self-employment tax under IRC § 1402 at 15.3% on top of federal income tax (up to 37% marginal) and Illinois 4.95%. Quarterly Form 1040-ES estimated payments under IRC § 6654 are mandatory. The IRC § 199A Qualified Business Income deduction phases out for specified service trades or businesses (health is on the SSTB list) above income thresholds. An S-corporation structure with reasonable compensation under Rev. Rul. 59-221 can reduce self-employment tax exposure but invites IRS scrutiny if the W-2 portion is set too low.

What if I have unfiled returns going back several years?

The IRS Voluntary Filing Compliance policy and IRM 5.1.11.6 generally require the last six years of returns to bring a taxpayer back into compliance. Filing prior-year returns is the first step before any OIC, IA, or CNC request — IRC § 7122(d) compliance is a prerequisite for a federal Offer. Refunds claimed on returns filed more than three years after the original due date are time-barred under IRC § 6511(b)(2). Illinois follows a parallel filing-compliance posture; the DOR may issue a substitute Notice of Tax Liability under 35 ILCS 5/904 when a taxpayer fails to file.

Can the IRS levy my Schaumburg bank account or wages?

Yes — after a Final Notice of Intent to Levy (CP90 or LT11) and expiration of the 30-day Collection Due Process window under IRC § 6330, the IRS may levy bank accounts at BMO Harris, Chase, Wintrust, Fifth Third (formerly MB Financial), Inland Bank & Trust, or any Illinois-chartered institution and serve wage levies on Schaumburg employers including Motorola Solutions, Motorola Mobility (Lenovo), Zurich North America, Experian, AMITA Health, and the Village of Schaumburg itself. A timely Form 12153 CDP request halts collection while the case is reviewed by Appeals. After a CDP determination, the taxpayer has 30 days to petition the U.S. Tax Court under IRC § 6330(d)(1). Illinois issues parallel state levies under 35 ILCS 5/1109 that work similarly through bank and employer service.

Does Illinois offer an Offer in Compromise equivalent to the federal program?

Yes, through two paths. The Illinois DOR accepts Offers in Compromise on doubt-as-to-collectibility grounds under 35 ILCS 5/911.2 administrative procedure. Separately, the Illinois Board of Appeals (authorized under 20 ILCS 2505/2505-65) considers requests for relief from final assessments based on financial hardship or doubt as to the underlying liability. All Illinois returns must be filed before consideration, and a financial-disclosure package is required. We typically run an Illinois OIC or Board of Appeals petition in parallel with the federal Offer where both debts are real.

About the author

This page was written and reviewed by Parham Khorsandi, Esq., Managing Attorney of Victory Tax Lawyers, LLP. Cal Bar #266658. Admitted to practice before the United States Tax Court. Mr. Khorsandi has resolved over 2,000 federal tax matters and secured more than $100 million in tax relief for clients across all 50 states.

Page last reviewed: May 25, 2026. Editorial standard: every federal-statute citation links to law.cornell.edu (Legal Information Institute, Cornell Law School). Every Illinois statute citation references the Illinois Compiled Statutes maintained by the Illinois General Assembly. Every administrative authority links to its primary .gov source. Material changes to the law are reflected within 30 days of effective date.

Attorney Advertising. This page is provided by Victory Tax Lawyers, LLP for general informational purposes only. Nothing on this page constitutes legal advice, creates an attorney-client relationship, or substitutes for consultation with a licensed attorney about your specific tax matter. Prior results described or referenced do not guarantee a similar outcome. Each tax case turns on its individual facts, applicable law, and the discretion of the Internal Revenue Service, the Illinois Department of Revenue, the U.S. Tax Court, the Illinois Independent Tax Tribunal, or other adjudicating body.

Victory Tax Lawyers, LLP is California-Bar-admitted with its principal office at 1100 S. Robertson Blvd., Los Angeles, CA 90035. The firm represents clients in federal tax matters nationwide via Form 2848 Power of Attorney and admission to the United States Tax Court. The firm is not admitted to practice in the courts of the State of Illinois; where an Illinois state-court appearance or Illinois Independent Tax Tribunal litigation is required, the firm associates with locally admitted counsel.

IRS Circular 230 Disclosure: The discussion of U.S. federal tax issues on this page is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed under the Internal Revenue Code or for promoting, marketing, or recommending to another party any tax-related matters addressed. For specific tax advice, consult independent tax counsel.

Authorities cited on this page

26 U.S.C. § 7122 — Federal Offer in Compromise
26 U.S.C. § 6159 — Installment Agreements
26 U.S.C. § 6321 — Federal Tax Lien
26 U.S.C. § 6325 — Lien Release and Discharge
26 U.S.C. § 6331 — Levy and Distraint
26 U.S.C. § 6343 — Release of Levy
26 U.S.C. § 6502 — Collection Statute Expiration
26 U.S.C. § 6213 — Tax Court Petition Window
26 U.S.C. § 6320 — CDP for Liens
26 U.S.C. § 6330 — CDP for Levies
26 U.S.C. § 6651 — Failure-to-File and Failure-to-Pay
26 U.S.C. § 6672 — Trust Fund Recovery Penalty
26 U.S.C. § 6015 — Innocent Spouse Relief
26 U.S.C. § 7345 — Passport Revocation
26 U.S.C. § 83 — Property transferred in connection with services (RSU/ISO)
26 U.S.C. § 911 — Foreign Earned Income Exclusion
26 U.S.C. § 6038D — Foreign financial-asset disclosure (Form 8938)
26 U.S.C. § 1503 — Dual-consolidated-loss rules (Lenovo/Motorola Mobility)
26 U.S.C. § 107 — Clergy parsonage allowance
35 ILCS 5/201 — Illinois flat-rate personal and corporate income tax
35 ILCS 5/904 — Illinois Notice of Tax Liability
35 ILCS 5/911 — Illinois assessment statute of limitations
35 ILCS 5/911.2 — Illinois Offer in Compromise authority
35 ILCS 5/1101 — Illinois tax lien
35 ILCS 5/1109 — Illinois levy authority
35 ILCS 105/ — Illinois Use Tax Act
35 ILCS 120/ — Illinois Retailers' Occupation Tax Act
35 ILCS 735/3-3 — Illinois late-filing penalty
35 ILCS 735/3-7 — Illinois responsible-officer liability
35 ILCS 1010/ — Illinois Independent Tax Tribunal Act
65 ILCS 5/ — Illinois Municipal Code (Schaumburg village charter)
20 ILCS 2505/2505-65 — Illinois Board of Appeals
20 ILCS 2520/ — Illinois Taxpayers' Bill of Rights Act