By law, the IRS may attempt to collect taxes up to 10 years from the date of their assessment. During these ten years, many things may occur as the IRS tries to collect while a taxpayer tries to pay or find some other solution. Taxpayers are not without rights in this...
When You Have Serious Tax Issues, You Need Someone Who Knows Tax Law
IRS Tax Debt
USING AN INSTALLMENT AGREEMENT TO REPAY TAXES
Taxpayers who fail to file a tax return or fail to pay taxes by the deadline are subject, by law, to penalties assessed by the IRS. Taxes unpaid by the original filing due date are subject to interest and a monthly late payment penalty. The failure to file a tax...
WHAT HAPPENS DURING THE OFFER IN COMPROMISE PROCESS?
Once a taxpayer successfully submits an Offer in Compromise (OIC) application to the IRS, certain events occur as the IRS considers whether to accept the OIC. Offer in compromise applications typically require specific IRS forms and substantial paperwork to document...
UNPAID TAXES MAY CAUSE THE LOSS OF YOUR PASSPORT
The Fixing America’s Surface Transportation (FAST) Act allows the IRS to notify the State Department with the names of those taxpayers certified as owing a seriously delinquent tax debt, which is currently $52,000 or more. Federal law, through the Internal...
HOW DOES THE IRS ASSESS TAX ON AN UNFILED RETURN?
A tax assessment is the official step the IRS must step to legally declare that you owe tax. Once this step is completed (and after you’ve had the chance to dispute the assessment), the IRS can move your case to collections. Typically, tax is assessed when a return is...
3 WAYS TO GET MORE TIME TO PAY YOUR TAX DEBT
Paying your IRS tax debt in a lump sum is often difficult. This is especially true if you owe $25,000, $50,000, or $100,000 in back taxes, penalties, and interest. If you need more time to pay your tax debt, consider any of the following three strategies. IRS...
TAX PROBLEMS RELATED TO UNEMPLOYMENT
Unemployment may be a cause of IRS tax debt problems. It may also exacerbate existing tax problems because you’ll have less money available to make regular payments towards your tax debt. Past-Due Tax Bills If you already have accumulated tax debt, you may be unable...
3 THINGS YOU NEED TO KNOW WHEN YOU RECEIVE A NOTICE OF DEFICIENCY
A Notice of Deficiency is an official tax assessment letter from the IRS. The notice is informing you of your rights and what you have to do to contest the tax assessment. You Have 90 Days The Notice of Deficiency is also referred to as a 90-day letter. You...
CAN YOU GET RID OF TAX DEBT IN BANKRUPTCY?
It is possible to have some tax debts discharged in bankruptcy. However, not all tax debts can be discharged, so you should discuss these issues with a bankruptcy attorney and a tax attorney prior to filing bankruptcy. Bankruptcy and Tax Debt The automatic stay in...
PAYROLL TAX RELIEF OPTIONS
Many businesses get into IRS tax debt because of payroll taxes. Using this money for other debts or to keep your business running can lead to tax penalties, interest, or eventually IRS collection actions. Get Into Tax Compliance If you have payroll tax debt, your...