Help Resolving IRS Back Taxes
Being able to find the proper method or professional support is important when it comes to resolving back taxes. Resolving back taxes should be taken care of as quickly as possible to prevent any future penalties or interest charges as well as tax liens and tax levies.
As time goes on, the IRS actions will most likely become more harsh with each passing week. Fortunately there are many options available to help you resolve your tax debts, even for those who have no way of paying any of the debt.
Depending on your individual financial situation and tax issues they will determine what method is best for you. Here are some steps you should take when you owe back taxes.
- Make an attempt to settle the tax debt on your own. Typically it is fairly easy to setup an arrangement with the IRS if you owe less than $10,000. In your agreement the IRS they will want you to set up an installment agreement. You can then pay back the taxes owed over a specified period of time in the form of monthly payments. There are other forms of settlements available from the IRS that are more difficult to obtain so it is highly suggested that you use a tax professional when trying to use any of those methods
- Check your return to see if you missed any deductions. If you did make a mistake and missed a large deduction you can submit an amended tax return and then receive your new tax amount that is owed.
- When you owe over $10,000 in IRS tax debt, it is wise to hire a tax professional to help with your tax issue. There are three types of tax professionals, CPA, Tax Attorney, and an enrolled agent. All these professionals are qualified to do similar work, but some may be better for different types of situations. When hiring a income tax professional you should always talk to several before making a decision. The majority of companies will offer a free consultation.
When you are dealing with IRS back taxes, you should resolve them as quickly as possible to avoid escalating fees. You most likely have heard horror stories of people losing homes and assets, getting wages garnished and more.
Keep in mind that the IRS has more powerful collection methods than any other collection agency in the United States. Fortunately they do give you fair notice and they are willing to work with you. Resolve back taxes as soon as you can because ignoring the IRS can be a very costly mistake.