Often struggling business entities and professionals find themselves in a situation where due to losses in work, a medical expense that burrows heavily in their pocket or other reasons they face financial constraint and fail to pay their tax in time. Every year, there’s a fixed date deadline for filing return but many people owing to different problems don’t file their return not for one but for two, three or more years. A huge tax debt pile-up draws attention of government tax collectors like IRS who initiate action with notices for payment reminders and follow these with visits from IRS agents or collectors who can question the taxpayer or gather their bank and other financial records. Unless taxpayers take matters in hand with legal representation by tax debt relief Austin law firms, a perfectly resolvable tax case could be deemed serious enough for being taken to court as a criminal offense.
Approaching Solutions
There are many people who for instance owe certain amount in tax for 1-2 years and after the delay file return but don’t realize they are eligible for different tax deductions. The way out is to approach the part where filing the return is required carefully and with caution. Resolving tax debt can be attempted on own for a certain cap amount in the debt owed. However it’s better to hire tax professional who can evaluate the financial papers and tax history for deciding on solutions to emerge hassle-free from tax burden. Different debt plans are available and IRS offers different solutions in form of installment, waivers, extensions etc.
Debt Relief Strategies
The top strategy for dealing with pending tax which has collected to a considerable amount is initiating an agreement for installment where taxpayer pays some amount which he can afford and is approved by IRS every month for certain period. This repayment takes into account additional liabilities like the interest charged etc. Agreements like the one for partial payment allow repayment in long term at low rate. Offer-in-compromise is a program where tax is paid in lump sum but is vastly reduced to an amount agreeable to both the taxpayer and IRS. Not-currently collectible program is one where tax debt is not collected for minimum one year and more by IRS. When all solutions fail, filing bankruptcy helps save many assets from seizure or lien.
Hiring Attorney
In negotiating these solutions IRS approves only certain qualified professionals working in taxation sector, like certified public-accountants, tax attorneys and also enrolled agents. Taxpayers should check their credentials before hiring them for tax debt relief Austin services.
Reading the reviews provided by the author is one of the best ways to gain necessary information on
