Are you behind in payments to the IRS? It can happen unexpectedly. A divorce, an illness or death in the family, or a bad year for your business can all be reasons you find yourself unable to pay your taxes. Unfortunately, the IRS still wants its money.
We can interact with the IRS on your behalf. We act as a buffer between you and the government while we try to work out a deal to resolve your tax problems.
Offer In Compromise:
An IRS program called an “Offer In Compromise” allows you to pay the IRS less than what you owe. If the IRS accepts your offer, your debt is eliminated as long as you make good on your promise to pay the amount offered. To qualify for this program, however, you must demonstrate to the IRS either that you simply do not have the money to pay the full amount or paying the full amount would result in a serious hardship.
Unlike other firms, our firm does not promise we can eliminate your debt for “pennies on the dollar.” If you have the capability to pay, in most cases the IRS will still want you to pay. However, we will advocate tirelessly on your behalf to achieve the best possible resolution of your tax debt whether through an Offer In Compromise, an installment payment plan, or other option. We know the circumstances in which the IRS is likely to look favorably on an offer and will tell you whether your case falls within those parameters.
When you find you cannot pay what you owe, the IRS may be willing to work out a payment arrangement. The IRS guidelines for what expenses they will allow each month are very stringent. However, the bottom line is that you only pay the IRS what you can afford each month. For example, a taxpayer who owes the IRS $43,000.00 may only pay $50 per month while a taxpayer who owes only $15,000.00 may be paying $800 per month. How much you owe does not matter. The payment arrangements are based on what you can pay. Accordingly, it is essential to have a representative who understands the IRS guidelines and can negotiate a lower payment for you. Our firm will review your finances, estimate what the IRS is likely to accept and explain why.
The IRS assesses penalties for a variety of reasons. Underpayments and failing to file returns are the most common. Penalties, and the interest on them, can rapidly compound making a difficult situation even worse. Under certain IRS guidelines, a taxpayer can be relieved of penalties for good cause, for example, a sudden illness that prevents you from filing your return on time. Our firm will work with you to put your case in the best light. We can identify reasons that may help reduce or eliminate penalties and request penalty abatement on your behalf.
Get a Fresh Start!
In order to be considered for any type of tax relief, however, a taxpayer must be up to date on filing all of his or her returns. If you have not filed returns, and do not already have an accountant, we can recommend a CPA who will prepare and file the returns for you. Then our firm will begin helping you to get out from under your tax burden.
Whether the taxes you owe are business or personal, we can help. We can give you peace of mind and a fresh start.
IRS CIRCULAR 230 DISCLAIMER: To assure compliance with requirements imposed by the IRS, please be advised that any U.S. tax advice contained in this website (or any reprint in any brochure) is not intended or written to be used, and cannot be used, for the purpose of tax or penalty avoidance under the Internal Revenue Code or for promoting, marketing, or recommending to another party any specific transaction or matter addressed herein. If you would like to receive written advice regarding tax matters, please consult this office or another qualified attorney, CPA or tax professional.