How to Solve Any IRS Problem
Consult with a Santa Clarita Debt Relief Attorney
Being constantly harassed and pursued by the Internal Revenue Service (IRS)
over owed debts can be an overwhelming experience. Collection letters,
levies, and wage garnishments can not only have a detrimental impact on your
financial situation, but they can also inflict a considerable amount emotional
and physical stress. While many would like to believe otherwise, these
problems will not simply disappear if ignored. The reality is quite the
opposite – these problems will only get worse until being faced head on.
Even though your situation may feel hopeless, it is important to know that
relief is available and that you are not alone during this difficult time.
In fact, almost 30 million other taxpayers are in trouble with the IRS
in some form. No matter how difficult or seemingly insurmountable your
situation may appear to be,
every IRS problem has a solution.
In many cases, IRS problems fall into one of two categories:
- You are behind on filing some tax returns, and/or
- You have a bill from the IRS that you cannot pay
If you are behind on your tax returns, your first order of business is
to get caught up. The IRS will often not be willing to cooperate or negotiate
a solution until you have made a good faith effort to get back in its
good graces. Furthermore, filing your tax returns is a crucial step in
finding out exactly what you owe and what the IRS expects.
What Does the IRS Know About Me?
In order to negotiate a solution, you must first find out what exactly
the IRS knows about you and what information it claims to be missing.
If your taxes are backed up so far that you don’t even know what
you are missing, call the IRS and request a record for any tax years or
periods that are in question. This will allow you to see your history
of filed returns, payments, liens, and any other actions that the IRS
may have taken against you. Once you have caught up on your filings and
gotten an idea of what you owe, there are several possible solutions you
Pursue an Offer in Compromise: Through the
offer in compromise (OIC) program, you may be able to negotiate with the IRS for a considerable
reduction in the amount of your owed debts. It is important to note that
this program has strict qualification criteria and the amount the IRS
will settle for will depend largely on your income, expenses, and assets.
Generally speaking, the less assets and income you have, the better. If
you qualify and are able to negotiate a settlement, your tax troubles
will be over. If you do not qualify, you may still be able to pursue a “penalty abatement” which could eliminate up to 60% of your tax debt.
Negotiate an Installment Agreement: Possibly the most common resolution option is to negotiate a repayment
plan known as an Installment Agreement in which you will make affordable
monthly payments to the IRS to pay back your owed debts. Payments may
fluctuate in amount based on seasonal income if needed. In some cases,
you may simply be required to make payments until the statute of limitations
on the debt expires – at which time, the remaining amount will be forgiven.
Have your taxes deemed “uncollectible”: If you are unable to pay back the debt due to insufficient income and
assets, the IRS may declare your tax accounts uncollectible and leave
you alone until your financial situation improves. This status may last
for one or more years and will be reviewed periodically by the IRS.
File for bankruptcy: Under certain circumstances, personal income tax debts may be discharged through
Chapter 7 bankruptcy. In order to be discharged, taxes must be at least three years old, have
been timely filed or were filed more than two years ago, and were not
assessed in the last 240 days. If you do not qualify for Chapter 7 bankruptcy,
your taxes may be paid back through a Chapter 13 repayment plan.
Pay the IRS the full amount: This option is self-explanatory. If you have substantial assets or income,
paying the IRS the full amount may be your only option for getting them
off your back.
Put an End to Your Tax Struggles Today
Arguably the most important step of eliminating your tax debt is simply
making the decision to take action. If you are tired of having the IRS
constantly breathing down your neck and wondering if you will have the
funds to get through another week, contact the skilled Santa Clarita debt
relief attorneys at RJB Law Offices today. Having helped countless individuals
and businesses overcome their debt since 2001, we are equipped with the
knowledge and skills to help you come clean with the IRS and move towards
a debt-free future. From getting current on your tax returns, collecting
documents, negotiating with the IRS, and exploring all debt relief options
available to you, we can ensure your rights are protected and help you
achieve much needed peace of mind once again.
We proudly offer free case reviews to all who approach us for assistance.
Fill out an online form or call our office today at (888) 256-8581 to get started.