Are you unable to pay your tax? Don’t lose your sleep if you can’t pay your full tax. The IRS has several methods to help you out.
The methods differ based on various factors such as amount owed, your current financial status, and any fines incurred as a result of the tax debts. The debt relief programs provided by IRS are available for different types of tax debts such as income, property, employment, or business liabilities.
- Offers in Compromise
With an Offer in Compromise you can make an offer to pay as much of your tax debts as you can afford. It is same as debt settlement, the only difference being, here, the IRS is involved. Here you need to clear the income tax debts that you owe to government. The offer you make is looked over by the IRS and it accepts it, counters, or rejects it according to their guidelines.
By submitting an Offer of Compromise, you can keep the IRS from placing a tax lien on you. After an IRS debt tax attorney submits an offer and it is accepted, the IRS will be restricted from placing a lien on your property.
- Payment Plans
Payment plans are a form of IRS tax debt relief. These plans are mainly for those businesses or individuals who have huge tax debts and penalties. These may be incurred due to errors or miscalculations in their accounting processes. Payments plans can be handled through a personal loan or include an installment agreement with interest and/or payment extensions as determined by the IRS. These extensions are normally short term, but if the situation demands, may be extended if there is any hope for your financial improvement.
- Reassessment of Penalty
Penalty reassessment is a prominent part of IRS tax debt relief for various reasons. As penalties are mostly calculated on a computer, errors can easily occur. In this kind of situation, a reassessment of your penalty is needed if you want to remove any of these errors. You can request a reassessment or a waiver during extraordinary circumstances such as a death in the family. If you want to make a proper request you need to provide the right documentation.
- IRS tax debt relief companies
Tax debt relief companies are a reliable option if you want to settle your tax debt issues. Tax debt companies have many professionals trained in these matters to handle your problems better. Because these professionals are aware of the legal and obligations the government imposes, they can provide you the best relief measures. They can look over other problems such as wage garnishment, tax liens, levies, and tax seizures as well. With a tax debt settlement company you can resolve your tax debt problems without getting into any legal complications.