How Do I Settle My Back Taxes? Here Are 10 Ways
- June 23, 2019
- Posted by: asal
- Category: Tax Resolution
When you owe back taxes, it can be scary dealing with the IRS. Many taxpayers will find dealing with the IRS on their back tax issues intimidating. Many taxpayers may not even know how to settle their back taxes. That’s where a tax relief professional can help. A tax resolution expert will help you settle your back taxes. Many professionals are working at tax relief companies who know how to deal with the IRS. At Platinum Tax Defenders, we work with tax attorneys, x-IRS tax attorneys, enrolled agents, and CPAs. Our team of tax relief professionals has helped thousands settle their back taxes. We help taxpayers settle their back taxes for less than you owe. However, it’s essential for taxpayers to know what their options are. Below are 10 ways to solve your back taxes. A tax resolution professional can help you determine which is right for you.
An Installment Agreement is a monthly payment to the IRS. A tax relief expert can help you determine how to go about applying for an Installment Agreement. If you do qualify for an Installment Agreement to pay your back taxes, the monthly payment could be high. If you get yourself into a situation where you’re paying too much, your tax debt can increase. Why would your tax debt increase if you’re paying monthly? If your monthly payment is too high, you can be at risk for penalty charges. When you owe back taxes, the IRS continues to add on interest and penalty charges. Because of these added charges, it’s imperative that you pay off your debt as soon as possible. However, not everyone can pay off their back tax debt. If you owe $10,000 or more, call Platinum Tax Defenders today.
Partial Payment Installment Agreement
This program is a relatively new back tax payment program. Taxpayers have a long-term payment plan to pay off the IRS at a lesser amount. Similar to the Installment Agreement, you pay your taxes in installments not all at once. A professional tax attorney can negotiate the lowest possible monthly payment for your needs.
A tax resolution professional can help you settle your tax debts for less than what you owe. An Offer in Compromise requires you making a lump sum or short-term payment plan to pay off your back taxes. The lump sum or short payment that you pay the IRS is also a lesser amount. However, to get this lower amount, a tax relief professional should negotiate for you. An Offer in Compromise can allow you to pay a small amount as full and final payment. If a taxpayer qualifies for an Offer in Compromise, they can save thousands on taxes, penalties, and interest. However, not everyone will be eligible for an Offer in Compromise. Therefore, it’s beneficial to work with a tax resolution expert who can help you.
The Currently not Collectible program is one in which the IRS voluntarily agrees not to collect your back taxes. The IRS will typically not collect on taxes for a year if a taxpayer is Currently not Collectible. However, to declare you as Currently not Collectible, the IRS has to determine you qualify. The IRS will evaluate that you are eligible by looking into your financial situation. In this case, a tax resolution professional can help you determine if this tax resolution option is for you. Currently not Collectible is a useful tool because it can prevent the IRS from collecting taxes. If you are in Currently Not Collectible status, the IRS must stop any levies, liens, or seizes they have out. Platinum Tax Defenders have years of experience qualifying taxpayers for Currently Not Collectible status.
While bankruptcy is not the best option to avoid back tax debt, it is a possibility for some. Some tax debts may be eligible for discharge through filing for bankruptcy. Your top tax resolution expert can help you determine if filing for bankruptcy is your best option. Usually, filing for bankruptcy is seen as a last resort to get out of back tax debt.
Innocent Spouse Relief
If you’re inheriting your spouse or ex-spouse’s tax debt, and you don’t think you should, then contact a tax expert. For Innocent Spouse Relief, you must prove that you should not be subject to taxes from your spouse or ex-spouse. A tax resolution expert can help you determine if you qualify for Innocent Spouse Relief. If the tax resolution professional determines you do qualify, they can help you apply. You will also need to gather the necessary documentation and proof for the Innocent Spouse Relief application. A tax relief professional can also help you accumulate those materials as well.
IRS Statute Of Limitations
The IRS has 10 years to collect on your back tax debt. If they don’t receive the tax from you within 10 years, you will be free from back taxes. A tax resolution expert can help you determine how much longer the IRS has to collect on your taxes. You can also strategize with you tax relief expert on waiting out the 10 years. If you have more than $10,000 in tax debt, you should seek out the help of a tax resolution expert. If you still have several years before the statute of limitations runs out, speak with a tax attorney. A tax relief expert can advise you on which tax resolution option is best for you.
Get Help From A Tax Relief Professional
Hiring a tax relief specialist can get you a better deal when attempting to pay off back taxes. A tax attorney can help you determine which repayment method is right for you. The tax resolution specialist can also negotiate with the IRS on your behalf and submit the necessary paperwork. Owing back tax debt can leave you in bad financial shape. The IRS only wants to get what money you owe them in back taxes. Often, they are willing to help you settle back taxes, but you have to know how to try. That’s where a tax relief services company can come in handy. When you hire a tax resolution professional, there are other methods you can use to avoid expensive back tax debt. Call Platinum Tax Defenders for a free consultation today.