Do You Owe the IRS Money That You Can’t Pay?
It can occur by accident. You may not have actually kept enough from your income in the past year and wind up with a whopper of a tax costs in April. It could be you entered into some money, invested it, and didn’t recognize that a huge piece of it was owed to the IRS in taxes.
At the Tax Attorney Network Los Angeles, our Tax Attorneys, CPA and Enrolled Agents all have years of experience in helping our customers to solve their back tax financial obligation problems. If your financial obligation has been piling up for a while, it can be frustrating and extremely difficult. You may feel stuck or frozen, not knowing what you ought to do or how you are going to get out of your circumstance. But the worst thing you can do is nothing. The charges and interest simply keep adding up, sinking you further and even more into trouble.
The IRS takes their money seriously! They will seek every legal method to gather the money they are owed. They can take your assets, freeze your savings account, garnish your income, and even restrict your passport. They can submit levies and liens on your home. We hope this hasn’t occurred to you yet, however it will if you don’t act quick enough.
Problems You Face if You Fail to Pay Taxes
If you owe money to the IRS but can’t pay, there are numerous choices offered to you depending on your situations. Among the most important things is to start paying you present taxes first. You need to be all overtaken filing your tax return and paying your present taxes prior to the majority of these treatments are offered to you.
Here are some of the options the IRS provides to taxpayers who owe money. Whether these are applicable to you depends on your circumstances.
1. Installment Plan
This is where you work out a payment arrangement with the IRS. There are several forms of agreements, including regular, partial-pay, and streamlined. Which one you should use is highly dependent upon your current financial situation and the amount you owe.
2. Offer In Compromise
An Offer In Compromise is where the IRS agrees to accept less than the full amount owed. The IRS does not have to accept an Offer, but if the Offer is presented so that it meets the IRS guidelines, it increases the chance that the IRS accepts the Offer to resolve the outstanding balance.
Not all tax professionals know the ins and outs of preparing an Offer that has a good chance of getting accepted. It’s important to look for a professional who has an excellent track record of getting Offers accepted by the IRS.
3. “Currently Not Collectible” status
This status allows you to defer your debt. The debt does not go away; you still owe the IRS money. But you’ll stop the process of getting your bank accounts levied or other collection efforts if you are granted this status. This often happens when you don’t have enough income to cover your current living expenses. Once your income rises, the IRS will re-evaluate your situation.
Bankruptcy can be extremely useful to stop IRS collection efforts, potentially discharge income taxes that are old enough, and force repayment plans on an otherwise unwilling IRS. Tax penalties may also be discharged through the bankruptcy. Since this is such a complex area, your best bet is to consult with several professionals – an accountant, a tax resolution professional, and an attorney that is expert at bankruptcy issues.
Getting Help – A tax resolution expert can assist you:
- Respond professionally to any IRS correspondence you get.
– Contact the IRS on your behalf so that you do not have to face them straight.
– Represent your case prior to the IRS.
– Get you caught up on filing back income tax return that are late.
– Understand the IRS Collections process and your rights.
– Negotiate charges, interest, and taxes due to reduce your debt.
– Work out a payment plan on any money you owe to the IRS.
– Fight for you on problems that show up, such as innocent spouse situations or positions handled tax returns.
– Help you get levies and liens eliminated from your properties.
Solutions for Resolving Your IRS Debt.
Contact us at no commitment to you so we can understand your particular tax circumstance and offer recommendations on the choices available to you. Your tax problem is managed with the utmost privacy and privacy.
Our Tax Attorney’s have years of experience in complex and constantly altering state and regional tax rules to uncover the problems and secure our clients. When dealing with a tax issue you need an attorney in your corner you can depend on. Let us assist you settle and solve your tax concern at last.
Tax Attorney Network Los Angeles
3731 Wilshire Blvd
Los Angeles, CA 90010