IRS Negotiations: Resolving Tax Issues

Tax debts are grave issues and evading taxes owed to the IRS is next to impossible. While private lenders will take legal course of action to extract payment from you, the IRS will take more stern measures to ensure that you pay your taxes. The IRS might be strict but definitely not inconsiderate. If you are in some serious financial trouble but are willing to clear your tax debts, then the IRS won’t let you down; you can negotiate your tax obligations with the IRS and get your tax issues resolved. Let’s find out how:

• Find out if you can pay the taxes by April 15

  Check out whether you will be able to pay your taxes by April 15 or not. If you think you cannot make your payments then request that the IRS allows you to pay in installments. The earlier you figure out your financial standing, the earlier you will be able to start your negotiation with the IRS. The earlier you negotiate the better are your chances of getting the installments application approved.

• Hire an enrolled agent

  You can also hire an enrolled agent to handle the negotiation on your behalf. They are federal agents, trained by the IRS to work on the taxpayers’ behalf. They will work on your tax issues and successfully try to resolve the complications of your tax debts.

• Connect a recording device to your phone.

  It is always better to deal with the IRS over email so you can keep a track on paper. However, this might not be possible always. So, a recording device will help you keep a transcript of all conversations you have with the IRS. But do not forget to check your state laws concerned with recording telephonic conversations. Record the conversation only if your state laws permit so.

• Contact the IRS

  Call up the IRS. But make sure you have all your tax information and credit score details before you while talking to the IRS. Also inform them that you are facing financial hardship and you would like to go for a payment plan that would help you pay off your taxes in affordable installments.

• Make a lump-sum offer

  Offer a partial lump-sum payment to accelerate the chances of getting a favorable repayment plan. It will not only reflect good faith on your part but also persuade the IRS agent to adjust the penalties and garnishments already placed on you.

• Negotiate logically

  Wisely negotiate any repayment plan proposed by the IRS. Always keep in mind that it is the IRS which has an upper hand. So, be very logical while dealing with the IRS, so you can get the best repayment plan. A little careless you become and the IRS might reject your proposal and continue to garnish your wage and levy your accounts. Also request that they waive off penalties while adjusting your payment.

• Read the agreement carefully

  Get the repayment agreement in writing and go through the document carefully before you sign it.

The IRS is not for terrorizing taxpayers. It is a federal body that is meant to help consumers. So, if you are an honest taxpayer and sincerely want to pay off your obligations, then be assured. The IRS is by your side!