Anon- if they can't snag the escrow they will levy your bank accounts. This won't be a human, it's ACS & it's 3 notices and a NFTL Notice of Federal Tax Lien & a bank levy, automatica, easy peasy. When the computer runs out of levy sources your balance due account will be sent to the TDA Tax Deficient Accounts unit & they get on the phone or send more notices for you to call them. When they can't collect the funds they send your account "to the field" and be assigned to a Revenue Officer. The Revenue Officer will come knock on your door (eventually, how long it sits in the "Q" is anybody's guess) and if you're not home and it's known where you are, they will drop by your place of business for an interview. (Stop them immediately, tell them you have counsel- your attorney will call them. Don't even tell them what time the clock says- btw now's the time I'd be rethinking my last stand) If all else fails and you have suffiicient equity in your home and they can't make you borrow they are going to seize the house. Unless you have a lot of young kids, that's one of the few outs. Written off some as "can't rent for less than current monthly payment) Meanwhile the penalty and interest clock ticks ticks ticks. Filing was excellent, that's the major penalty, failure to file. 4.5% per month X max 5 months (combined with .5% failure to pay, that's 25% of the balance due in 5 months. They could use the letter as a tool against you, send it to Exam (audit) and you might get the same level of scrutiny anon will have forever and ever, amen. They had Lois Lerner, proves they aren't above it.
I agree with every single word you said. I believe strongly you are going to be run over by a steam roller.
Sauce: sighs, apologizes…