by TaxRezPro

Is It Bad To Settle With The IRS

Can you settle with the IRS

You may have heard on the radio, TV, and online, that you can settle your tax bill for less than what you owe. But are these claims actually true? And can you really settle your tax debt without hurting yourself in the long run?

Some of these national tax resolution firms you hear advertising offer very little service, just look at their Google and Yelp Reviews. It’s important to know who to trust and get educated on what your options are to resolve your tax problem.

As a Tax Resolution Firm ourselves, we encourage all readers facing a tax problem to call us today at 1.888.4TAXREZ or use our contact form for a free consultation.

The truth is that though it’s often harder than they claim to settle for less than you owe the IRS, it is possible and you must first learn if you qualify for the program. This is called an “offer in compromise,” but settling is not necessarily a bad thing.

Offer in Compromise

An “offer in compromise” is a negotiated settlement between the taxpayer and the IRS that is intended to help taxpayers who owe more than they can pay. In a lot of cases, you can settle your entire tax bill for a fraction of what you owe, if you qualify. You can only get one if you genuinely can’t afford to pay back taxes or if doing so would cause extreme hardship. This can apply, for example, if you have become disabled.

You have to be current on all legally required income tax returns and must be current on any estimated tax payments if you are self-employed and you can not file for bankruptcy.

The IRS would rather take an offer in compromise than send you to collections and potentially get less money. Taking an offer in compromise will NOT affect your credit score. Having your offer in compromise accepted is a far better financial decision in the long run.

However, working out what offer to make on your own and learning the whole process can be challenging. That’s like representing yourself in a court of law without a lawyer. Not smart. A better answer is to find a tax resolution specialist that can help you with the process to see if you qualify and determine what you will have to pay. A tax resolution specialist will also be a licensed CPA, Enrolled Agent or an Attorney.

One of the great things about working with a qualified and local tax resolution firm is that you get protection from the overbearing IRS, letting you sleep better at night knowing you’re on your way towards permanent tax resolution. They can head-off any impending garnishments of your paycheck or levies on your bank account.

Settling with the IRS is a good thing and is often the best answer to dealing with your back tax bill and moving on with your life.

Contact Us Today

If you need an expert tax resolution provider who knows how to navigate the IRS maze, call us today at 1.888.4TAXREZ or use our contact form, and we’ll schedule a no-obligation confidential consultation to explain your options to permanently resolve your tax problem.

in Tax
 by TaxRezPro

If You Don’t Have Money to Pay Your Taxes, You Have Legitimate Options

If you don’t have money to pay what you owe the IRS, you have a few options to work with. Whatever you do, don’t ignore the letters from the IRS and don’t let your back tax problem go unattended. The IRS has a great deal of power when it comes to recovering money they think is theirs.

When you owe the IRS money, they can garnish your wages, levy your bank accounts, put a lien on your home and seize other assets. Here’s a link to their website to see how they collect, Topic No. 201 The Collection Process | Internal Revenue Service (irs.gov)

Here’s what you can do if you find yourself not being able to pay your taxes. Note, we always recommend getting in touch with a tax resolution professional to help avoid the harsh penalties and interest that accrued on your back taxes. It’s far easier to navigate towards tax resolution, if you have a professional working on your behalf. If you’d like to schedule a no-cost confidential tax relief consultation, contact us here.

First, make sure that you file your returns

Even if you have no hope of being able to pay your taxes, you must at least file your income tax returns. Whatever the penalties are for not paying your taxes, the penalties for not filing are much larger and non-filers can be subject to a criminal investigation. . The IRS will remove penalties for not filing and not paying but you have to have a good reason. We can request to have your penalties removed or reduced. It’s also important to remember that when you file for an extension, it only gives you more time to file. Your payment date remains unchanged.

Revisit your W-4 withholdings

If your employer withholds money from your salary to pay your taxes with, you shouldn’t have to worry about paying anything extra from that income source. If you do owe more, it’s a sign that your withholding exemptions are incorrectly reported on your W-4 form. To make sure that you don’t get into tax trouble repeatedly, you should make sure your W-4 form is correct and get advice from a tax professional about the kind of withholdings necessary for exemptions.

Make a partial payment

If you can’t afford to pay all that you owe, you should pay whatever you can. While you will still be hit with interest and penalty charges, they will be smaller than they would be if you paid nothing. These charges are proportional to what you owe the IRS.

Try to work with the IRS

If you can’t pay, there are resolution options available to you if you qualify for them. They include a payment plan or an offer in compromise to name a few. You need to first step up and admit to your inability to pay, though.

An offer in compromise is an agreement between the IRS and the taxpayer that allows the taxpayer to settle their debt for less than the amount owed. Sometimes, for a fraction of the amount owed. There are strict eligibility requirements and you should consult with a tax resolution specialist first.

An installment agreement, aka payment plan, is an agreement between the IRS and the taxpayer that permits the taxpayer to pay back their debt over time, generally in 60-72 months. Depending upon the amount owed, and ability to make monthly payments, determines the type of installment agreement the IRS will allow, as there are several variations of these payment plans. An experienced tax resolution specialist will guide you through the maze and myriad of these different options.

Contact Us Today

If you need an expert tax resolution provider who knows how to navigate the IRS maze, call us today at 1.888.4TAXREZ or use our contact form, and we’ll schedule a no-obligation confidential consultation to explain your options to permanently resolve your tax problem.

in Tax
 by TaxRezPro

Do You Owe Money to the IRS?


Possible Tax Resolution Strategies to Set Your Mind at Ease

Even for honest taxpayers, the IRS can be extremely frightening. Unlike most other government agencies, the IRS has unbridled power to attach your wages, freeze your bank account(s) and even confiscate your property, which is enough to send a chill up the spine of any taxpayer.

If you receive a letter from the IRS saying that you owe additional taxes, it is important not to panic. It may be a frightening situation, but there are things you can do to settle your tax debt and get back on the good side of the IRS.

Taxpayers do have options when resolving tax disputes and paying additional taxes due, and simply knowing what those options are can set your mind at ease.

As an expert Tax Resolution Firm, we encourage all readers facing a tax problem, whether it’s the feds or the state, to call us today 1.888.4TAXREZ for a free consultation.

Here are three strategies you can use to resolve your tax debt and get on with the rest of your life. Not all of these options will be right for everyone, but it is important to be an informed taxpayer.

Review the Amount Owed and Your Tax Return in Question

If the IRS says you owe money, you should not simply assume they are right. The tax agency does make mistakes (a lot), as do tax preparers and ordinary taxpayers.

Whether you filed your taxes on your own or hired someone else to do it for you, it is important to examine your return and compare what you find with what the IRS is claiming. It pays to seek professional help for this tax review, even if you originally filed your own taxes. A professional with IRS experience may be able to uncover errors and inconsistencies you would have missed on your own, and that could end up saving you money.

There is no guarantee this review will eliminate the extra taxes the IRS says you owe, but it never hurts to be sure. There have been many cases in which taxpayers who thought they owed money to the IRS ended up owing nothing – or even being due a refund from the IRS.

Set Up a Payment Plan

Getting a notice of additional tax due from the IRS is frightening, especially if you cannot afford to pay what the agency says you owe. Keep in mind, however, that you do not necessarily have to pay the bill all at once.

The IRS is often willing to set up payment plans with taxpayers, and those payment plans could make paying what you owe easier and less stressful. Once again, it is a good idea to seek professional help and guidance here – the IRS can drive a hard bargain, and you do not want to end up with a payment plan you cannot afford and wind up defaulting on it.

If you fall behind on the payment plan you agreed to, you could be subject to additional enforcement action, including the tax agency garnering your paycheck or seizing funds from your bank accounts. Getting the help of a tax resolution professional upfront can help you avoid these serious consequences.

Explore an Offer in Compromise Settlement

If you are genuinely unable to pay the money the IRS claims you owe, you may be able to work out a (much) smaller lump sum payment. The IRS may not advertise this program, but they are often willing to work with taxpayers by accepting lesser amounts, especially if those taxpayers have little in the way of equity in assets and a limited income. Sometimes these settlements can be for a fraction of what’s owed if you qualify. We offer a free no-obligation consultation to find out if you qualify.

If you plan to explore this last option, it is critical that you work with a tax resolution expert. An offer in compromise can be extremely complicated, with legalese and language that can be difficult to understand. You do not want to make a misstep here, and you want to ensure that you only pay the lowest amount allowed by law in settling your tax bill.

Few things are as frightening as getting a letter from the IRS. That official-looking letterhead is bad enough, but what the letter says is even worse. If you receive such a letter, you need to take positive steps right away. Ignoring the situation will make it worse, and it won’t go away. The sooner you start exploring your tax resolution options, the better off you will be.

If you want the help of an expert tax resolution professional who knows how to navigate the IRS maze, CALL US TODAY at 1.888.4TAXREZ (1.888.482.9739), and we’ll schedule a no-obligation confidential consultation to explain all your options to permanently resolve your tax problem.

Your Tax Resolution Professionals

Our experienced and certified tax experts can assist with a variety of tax-related issues, including IRS payment plans, collection appeals, and more. We also offer representation before the IRS, so you can rest assured that your case is in good hands. If you’re facing a tax problem, don’t hesitate to reach out to our team at TaxRezPro. We are here to help provide you with a tax resolution and get back on track. Call 1.888.4TAXREZ (1.888.482.9739) today.

in Tax help
 by TaxRezPro

Small Business Owner: Owe Payroll Taxes? Here’s What To Do!

Unpaid payroll taxes are a serious matter to the IRS and are some of the worst kinds of back taxes you can owe. If you’re a small business owner with a payroll tax problem, read on to learn what you can do to avoid the IRS crippling your business or worse, shutting your business down completely.

Already in payroll tax trouble? Contact us to schedule a free, no-obligation consultation, and let’s get your payroll tax issue resolved.

Why Small Business Owners Get into Payroll Tax Trouble in The First Place

It’s hard being a small business owner today, trying to pay your employees their paychecks every week, and pay the IRS all those payroll taxes!

When money is short, you pay the employees first. It’s a natural thing to do—you need to take care of your employees, even if you have to skip paying yourself! Besides, if you don’t pay them, they may quit, and the cycle of hiring has to start all over again.

It can seem easy to “just pay the 941 taxes next pay period” and give yourself a little cash flow cushion but skipping paying your employee payroll tax deposits is never a good idea.

What happens too often is that 1 pay period turns into 2, 3, and 4, and eventually, you’re so deep in payroll tax debt that the only thing you want to do is completely ignore your problem.

The IRS does not care about your financial problems. They just want you to pay your payroll taxes!

The IRS doesn’t care if you can’t pay your employees. They don’t care if they put your employees out on the street. They don’t care if you can’t collect your receivables. They don’t care if one of your largest and best customers just went “belly-up”. All they care about is you have money that belongs to them, and they will do whatever they have to, even put you out of business, to collect it. They don’t care who you are, or even what business you are in.

Penalties are The Kiss of Death When It Comes to Back Payroll Taxes

Penalties for failing to file and pay your payroll taxes are the “kiss of death” for any small business owner. They tack on penalties totaling 33% in just the first 16 days! And it doesn’t stop there. The IRS adds interest on top of the penalties. It is not uncommon that a payroll tax liability doubles in short order. And if you don’t pay them or work something out, they will shut you down! It’s much less work for the Revenue Officer to simply close you down than work out an arrangement with you.

The IRS Will Collect, or They Will Shut You Down

It’s as simple as that. The IRS is the most brutal collection agency on the planet. They have more authority than the President of the United States! And they have all the ways and means to do whatever it takes to collect what’s owed to them. You didn’t wake up in the morning, go to work, and say to yourself, I’m not paying my payroll taxes because you didn’t want to. The money simply wasn’t there. It’s not your fault. One week you’re short of cash. It was a slow week, a customer’s check bounced, or any number of legitimate reasons that just prevent you from paying the IRS. You’re a good person. You figure you will make it up the next week. But then next week comes and goes, and you realize you still don’t have enough money to make that payroll tax deposit. And then the entire situation starts “snow-balling” into an avalanche.

Should You Call the IRS To Get Your Payroll Issue Fixed?

If you were to call the IRS and were able to get through after waiting on “hold” for an hour or two and try to explain your situation—you might as well have a conversation with the wall—because they don’t care. The IRS representative that you’re talking to is more than likely overworked, under trained, and under paid. Do you think they ever had to make a payroll in their life? Do you think they know what it’s like running a small business? Do you really think they will have any sympathy for you?

Not only is the answer “NO” but they can also dictate the fate of your case. What they will try to get, while you’re on the phone, is all your personal and financial information. They want to know where you bank; they’ll want to know all about your customers who owe you money, they’ll want to know about the value of all your assets, like your home, cars, motorcycles, etc. Why? Because now they have all the information, they need to levy your bank accounts, take your receivables and seize your property.

What Should You Do?

Now that you know you shouldn’t be talking to the IRS because they are not going to help you, you might be wondering what you should do? Where should you turn for help? The smartest thing you can do to protect your business and family is to have someone represent you—someone who deals with the IRS for a living. You need to get help—but not just from anyone—you need help from someone who is an experienced competent professional, and deals with the IRS every day, helping small business owners keep their businesses and settle IRS payroll tax problems.

If you were charged with a serious misdemeanor or felony, would you go to court without a lawyer? You don’t want to represent yourself before the IRS either. You need professional, expert representation. Contact us today to get expert tax resolution help. We’ll schedule a no-obligation confidential consultation to explain your options to permanently resolve your tax problem.

Once you decide to retain us, we step into your shoes and protect you from the IRS’s abusive tactics. We take over all communications from the IRS on your behalf. You don’t have to speak with the IRS anymore. We do. Not only that—they are not allowed to talk to you once you’ve signed our Power of Attorney! Once they realize you have someone on your side protecting you who knows their tricks as well as they do, they have to step back and follow the law. We can protect you from the IRS harassing you, calling you, showing up at your front door, and levying your bank accounts and other assets!

Contact us now and let’s get your payroll tax issue resolved!

in Tax
 by TaxRezPro

7 Reasons to Work with a Tax Resolution Professional to Resolve Your Back Taxes

7 Reasons to Work with a Tax Resolution Professional to Resolve Your Back Taxes

When you owe money to the IRS, it is hard to think about anything else. While being in debt is never fun, no matter who the debtor is, the IRS enjoys almost unlimited power to collect the money they are due.

Unlike your mortgage lender or credit card company, the Internal Revenue Service has the power to attach your wages, raid your bank account and even take your freedom. No other creditor even comes close in terms of its power and influence. Taking on the agency, on your own, could be asking for trouble.

If you have received a notice from the IRS, you need to act fast, and you need the right assistance in your corner. Taking on the IRS requires specific expertise, and that is why it is so important to work with a quality tax resolution company. Here are seven reasons why working with a tax resolution specialist could save your good name – and your bank account.

1. You gain specific expertise. The IRS is a specialized agency, and you need expert advice and guidance to get the most positive resolution.

2. It will give you peace of mind. Being contacted by the IRS can make your heart beat a bit faster but working with a tax resolution expert can set your mind at ease, especially once you hire a tax resolution specialist. Once you hire a tax resolution expert you won’t have to meet or speak with the IRS. They will handle all communications and correspondence with the IRS.

3. The tax resolution process could save you a lot of money. Tax resolution professionals are experts at settlements and working with one could save you a ton of money.

4. Timely action could save your home and property. If you wait too long, you could put your home, business, bank accounts and personal property at risk. Time is of the essence when it comes to resolving tax issues, and timely assistance could make a world of difference.

5. You will feel less alone. Few things feel as lonely as fighting the IRS on your own. When you work with a tax resolution expert, not only do you not have to go it alone, but they actually step into your shoes to represent your best interests.

6. You will have a chance to file missing returns. When faced with a big tax bill, it is easy to do nothing, but failing to file legally required tax returns could have serious consequences down the line. If you have years of unfiled returns, a tax resolution expert can help you catch up.

7. You could save your credit score. Unresolved issues with the IRS will reflect badly on your credit report, lowering your credit score and making it harder to borrow money or qualify for a mortgage. Timely tax resolution could preserve your stellar credit score and help you avoid those serious consequences.

Owing money to the IRS can be pretty frightening. There is a reason those three letters strike so much fear into the hearts of ordinary citizens, even those who have done nothing wrong.

If you are in trouble with the IRS, you cannot afford to ignore the issue, so act fast and get the help you need today. Working with a tax resolution expert carries a host of benefits, starting with the seven outlined above.

Most likely, you wouldn’t go to court without a lawyer. Similarly, it’s best not to deal with the IRS without expert representation which can be provided by a tax resolution expert.

Contact us today and we’ll schedule a no-obligation confidential consultation to explain your options in full to permanently resolve your tax problem.

in Tax / Tax help