Tax Relief

How Do I Find IRS Tax Relief?

There are many methods of obtaining IRS tax relief.  Getting rid of a tax liability can be arranged by paying it in full or making payment arrangements.  If the taxpayers can pay the debt in full it would be best.  This way he can avoid any interest or fees which accumulate through structured payments.  A payment in full will also keep the IRS from attempting to collect delinquent tax debt in the future by lien, levy, or garnishment of wages.

In the event that the taxpayer can’t come up with a full payment to cover the delinquent tax liabilities the nest step would be to arrange an installment agreement. There are five main payment agreement plans.  They are Streamline Installment Agreements, Guaranteed Installment Agreements, In-Business Trust Fund Agreements, Long-Term Installment Agreements, and Installment Agreements on Specified Balance Due Accounts. A person who owes delinquent taxes should try to pay them as quickly as possible to avoid the accumulation of fees and interest.

If the taxpayer, being behind on their taxes, hires a tax attorney or tax firm they will make sure to handle any negotiation or any type correspondence with the IRS.  When you visit a tax relief attorney hea will talk you to bring to the office such items as 401 K Statements, pay stubs, and other documents.  In fact, they should let you know all of the information you will need and the quicker you can gather it, the quicker negotiations can begin toward IRS tax relief.

If there has been a levy, or lien, or a garnishment taken out against you your representative will ask for leniency so that he can make an attempt to remedy the situations.  Then the representative will prepare your offer and submit it to the IRS.

An IRS tax relief can come in the form of an OIC – an Offer In Compromise.  It is regarded as the best solution for delinquent tax liability cases. Generally, 12% on the dollar is what is collected by the IRS through an OIC, meaning a savings of 88%.  There are three grounds under which an OIC can be accepted.  Doubt as to Collectibility, meaning that the taxpayer cannot pay the liability.  Then there is Doubt As To Liability which means that the taxpayer agrees that he doesn’t owe the debt.  The last of the main grounds under which OIC can be negotiated favorably is Effective Tax Administration which means that the IRS realizes that twelve cent on the dollar is as much as they will get.  The taxpayer states that they cannot pay without creating a burden then it is up to them, the taxpayer who owes the IRS, to prove that they are not liable for the unpaid taxes or, that they would never be able to make such a payment.  

Another beneficial reason for the taxpayer to file an OIC is because IRS cannot collect the debt during the offer processing time, during the thirty day period following a rejection of the OIC can be paid by paying 20% when you made the offer and 80% within the ninety days after your offer is accepted.  Another way is making 24 payments beginning at the time of submitting the offer.