Did you know that there are approximately 20 million taxpayers that are either in some stage of the collection process with the IRS or are believed to be non-filers. This is expected to continue to increase in the current economic environment related to COVID-19.
Unfortunately, if you don’t solve your tax problems timely, you can expect penalties and interest that can rapidly increase the tax owed, levies, liens, a negative impact on your credit, and stress in your daily life and relationships that can be avoided by taking the proper action. By gaining the knowledge or hiring a firm that specializes in IRS problems, taxpayers can navigate the IRS system effectively and favorably resolve their tax collection problems.
How do you Solve Your Tax Problems?
There are several different methods of settling collection issues. First you must address the problem and get into compliance by filing all delinquent tax returns. Once you are ready, some of the most common solutions include:
- Fully pay the debt. That’s the simplest solution but will require an immediate full payment of the tax debt.
- Set up an Installment Payment Plan that allows you to pay your debt over time.
Negotiating an Offer In Compromise where you will make an offer to the IRS for less than the full amount of the debt.
- Be placed in Currently-Not-Collectable if you qualify as not required to make payments at this time.
- Have the Tax Debt discharged thru Bankruptcy for qualified debt
Not everyone qualifies for each of solutions. The IRS has specific rules to qualify for each of these solutions but by understanding the rules, you can find the best solution to your specific problem. There are also steps to effectively removes bank or payroll levies or allow you to sell your home that has a lien attached against it, and to reduce or remove penalties. Once the issue is resolved, there are compliance requirements that you should be aware of in order to insure the agreement is not voided.
Do you Need Help?
In order to settle your debt, you need to understand the rules and communicate properly. If you are in or near Dallas TX, and need help, feel free to contact me at (972) 821-1991 or at [email protected]. To learn more about us, visit our website at https://jablonskyandassociates.com/.