(Tax Debt Solutions Page)
Get Offer in Compromise Help Now!
Americans are surely familiar with the “pennies on the dollar” advertisements on television, referring to the Offer in Compromise program. An Offer in Compromise (OIC) is an agreement between a taxpayer and the IRS, allowing a taxpayer to settle their tax debt for a small percentage of the overall amount. This amount will either be paid in a lump sum, or split into payments. Furthermore, under this agreement, the taxpayer must file all tax returns and pay all amounts due on time for 5 years after the offer is accepted, or face potential default.
Offer in Compromise Facts
The hard truth about an Offer in Compromise is just that; hard. The real picture is that most taxpayers do not qualify for this program. The IRS accepts a fraction of Offer in Compromise applications annually, and with over 10 million Americans having some type of tax debt with the IRS, that could mean quite a lot of rejections.
The IRS has a mathematical formula to determine which taxpayers qualify for the Offer in Compromise. The formula considers many factors of a taxpayer’s situation, including:
- Doubt as to Collectability: The IRS has determined that it is unlikely that a taxpayer’s tax debt will be satisfied before the Statute of Limitations expires.
- Doubt as to Liability: A taxpayer can provide documented proof that the assessed tax debt is incorrect or unjust.
- Effective Tax Administration: A taxpayer can prove that settling their tax debt in full, either with a lump sum or monthly payment plan, would cause them financial hardship.
In February 2012, the IRS announced updates to the Offer in Compromise program in order for more taxpayers to be eligible, including:
- Taxpayers with an annual income of $100,000 or less can apply.
- Tax debt amounts of $50,000 or less are eligible.
- Only 1 to 2 years of a taxpayer’s future income will be considered.
To submit an Offer in Compromise a taxpayer should use Form 656, and include 20 percent of their settlement offer with the application. This nonrefundable payment will be put towards the tax debt if the application is denied. Call today for a free tax debt consultation before you apply for an OIC to ensure you qualify!
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Click on “Free Consultation” or call us toll-free at (800) 719-6545 for your free, no-obligation consultation. Get your IRS back taxes resolved today!
(Tax Debt Problems)
Below are some of the most common problems you can face when you owe the IRS. Contact us today for a resolution to your IRS tax debt problems!
- Owe Back Taxes
- IRS Lien
- IRS Levy
- IRS Wage Garnishment
- Payroll Tax Debt
Fill out the form below or call us toll-free at (415) 415-8679 for your free, no-obligation consultation. Get your IRS tax debt problems resolved today!
Owe Back Taxes
Get a Real Resolution for IRS Back Tax Debt!
When a taxpayer owes back taxes to the IRS, they begin to look for ways to pay it off. The truth is entering into an agreed resolution with the IRS can vary in difficulty, depending on the particular IRS program a taxpayer applies for.
IRS Program Options
Taxpayers who owe back taxes to the IRS will need to choose from the various IRS programs to resolve their tax debt, and avoid further collection actions from the IRS. Such programs include:
- Installment Agreement: This IRS program allows a taxpayer to satisfy their tax debt through monthly payments over a pre-determined amount of time.
- Innocent Spouse: This program allows taxpayers who were unaware of their spouse’s tax-filing inaccuracies to be absolved of the tax debt responsibility if their situation qualifies.
- Penalty Abatement: This program allows taxpayers to reduce or eliminate the monthly charged penalties that can substantially increase their tax debt amount if approved by the IRS.
- Currently Not Collectible: This program allows taxpayers to enter into an agreement where they will not be required to pay anything on the debt amount while in their current financial situation if they can prove they are unable to pay.
If you owe back taxes to the IRS, you should consult a professional about your IRS program options. Call now for a free consultation to resolve what you owe the IRS!
We’ll End Your IRS Tax Lien for Good!
When a taxpayer owes the IRS, there are many things to be afraid of: a wage garnishment, a bank levy, and property seizures, but many are not aware of a subtle collection action that the IRS pursues to secure tax debt payment.
What is an IRS Lien?
An IRS Lien is the IRS’ legal claim on a taxpayer’s name or property as collateral for a tax debt. If a taxpayer fails to properly make arrangements with the IRS 10 days after receiving a “Notice and Demand for Payment” to satisfy their tax debt, the IRS will file an IRS lien and send a “Notice of Federal Tax Lien” to the taxpayer.
An IRS lien can damage a taxpayer’s credit, lowering the score and making it extremely difficult to apply for lines of credit, such as loans, credit cards, or the purchase property or a vehicle. If the tax lien is attached to a taxpayer’s property, it prevents a taxpayer from being able to sell or refinance the property.
Removing an IRS Lien
The best way to have a tax lien removed is by satisfying the entire tax debt amount. For many taxpayers, paying their tax debt amount in a single payment isn’t an option. That is why the IRS has numerous IRS programs that taxpayers can apply for to arrange an agreement to resolve the tax debt.
Taxpayers who are currently under an IRS lien or received a lien notice should consult with a tax professional for a free tax debt consultation on IRS lien solutions!
We’ll End Your IRS Bank Levy for Good!
The most devastating IRS collection method is an IRS levy. This action is the IRS’ legal seizure of a taxpayer’s property and/or assets to satisfy an unpaid tax debt. Unlike an IRS tax lien, which only lays claim to a taxpayer’s property or assets, an IRS levy is the physical action of the government seizing and selling the assets.
When the IRS decides to issue a bank levy, it will notify a taxpayer’s financial institution and the taxpayer through a Notice of Intent to Levy. The bank will be legally bound to freeze all funds in all accounts under the taxpayer’s name, including checking, savings, joint accounts, and CDs.
The bank will hold the frozen funds for 21 days, which is a grace period for taxpayers to either make arrangements to pay the debt, or prove that the seizure of funds would put them in financial distress. If a taxpayer fails to do either, after the 21-day period, the funds are released to the IRS. Furthermore, if the IRS levy did not resolve the tax debt, the IRS may begin other collection actions.
When the IRS begins a wage garnishment, it will notify a taxpayer’s employer and the taxpayer through a Notice of Intent to Levy. Once received, the employer is required to seize a portion of the taxpayer’s paycheck or salary and send it to the IRS. This remains in effect until the entire back tax debt is paid off.
Taxpayers who have received a Notice of Intent to Levy need to call us today for a free consultation about their IRS levy.
We’ll Stop Your IRS Wage Garnishment!
When the IRS begins collection actions to satisfy a tax debt, there are many methods in its arsenal. One of the most damaging collection actions is a wage garnishment, due to the fact that it is continuous and directly affects a taxpayer’s income and well-being.
Wage Garnishment Process
When the IRS decides to implement a wage garnishment, it will send the taxpayer a Notice of Intent to Levy. In the letter, taxpayers will be notified they have 30 days from the notice date to make arrangements to pay the debt amount or appeal the debt before the garnishment commences.
The IRS calculates the amount it will seize per pay period through its own formula. The factors the IRS considers includes the amount of the tax debt, dependents claimed, filing status, and the length of the Statute of Limitations. However, taxpayers can expect between 30-75 percent of their wages to be sent to the IRS every paycheck.
Lower income taxpayers can appeal the garnishment if they can prove that the collection action would put them in financial hardship. This status means that a taxpayer would be unable to pay for basic living necessities due to the portion the IRS takes from their wages. The IRS defines basic necessities as:
- Rent or Mortgage
- Utilities: electricity, gas, water only
- Transportation expenses: gas and car payments for one car
- Medical Bills
Taxpayers who are suffering under a wage garnishment should consult with a tax professional to resolve their tax debt. Call now for a free consultation about your tax situation!
Resolve Your IRS Payroll Tax Debt for Good!
Employers not only have to pay their own taxes and their business’ taxes, but their employees’ taxes as well. All employers are legally required to withhold payroll taxes from their employees’ salary to be paid to the IRS. Business owners who find themselves with a tax debt should immediately move to resolve their issue with the IRS.
Payroll taxes are considered by the IRS as a trust tax because it is the personal responsibility of the owners of a business to pay their portion of their employees’ taxes, including Social Security and Medicare taxes. The IRS takes the failure to submit payroll taxes quite seriously, and will use the full extent of their power to collect from business owners with payroll tax debt more aggressively than it would with individuals.
The IRS may place a tax lien on a business owner’s bank account(s) and accounts receivable, notifying its vendors of the levy and making it extremely difficult to conduct business. If the case becomes even more severe, the IRS will move to seize and sell the business’ assets to satisfy the back tax debt. In certain cases, the IRS will pursue the business owners personally, if necessary, to satisfy the delinquent taxes, as well as assess civil penalties.
For help with your payroll tax debt, consult our tax professionals. Call now for a free tax debt consultation to resolve any problems you may have with payroll tax debt!
About Our IRS Back Tax Debt Solutions
We have been helping taxpayers across the country reach convenient, affordable resolutions to their IRS back tax debt problems. Whether you owe personal back taxes or business back taxes, we’ll take the time to get to know your particular situation and match you with the best tax debt resolution for you.
- Have a team of attorneys, enrolled agents and CPAs on your side.
- Pay off your tax debt in affordable monthly payments.
- Stop the IRS harassment for good!
Fill out the form above or call us at (214) 415-8679 for your free, no-obligation consultation. We will only match you with Better Business Bureau accredited companies holding at least an A rating. Get your IRS back taxes resolved today!