Did you know, if you’re having trouble paying IRS back taxes that there are solutions for you to get assistance in paying that debt? The IRS offers a program under United States Code 26, subsection 7122 which grants qualifying individuals a settlement amount that is less than the actual debt they owe in back IRS tax. This is called an Offer in Compromise. Of course there are many factors to consider when in need of back taxes help.
Many people consider IRS debt and bankruptcy to be necessarily linked. Oftentimes back taxes penalties are placed on top of the original debt, making it that much harder for a person in debt to payback what they owe. This doubt as to collectibility, or DATC, is the likelihood that the taxpayer will never be able to make a full payment on what they owe, as assessed by the Internal Revenue Service.
There is legal help available to those who have just had a federal tax penalty or fed tax lien placed upon them as a result of their failure to pay their taxes on time. For example, many IRS tax penalties are placed there erroneously due to the failure of IRS agents to understand the intricacies of tax law and special circumstances. As such, a wage garnishment order is often sent to the taxpayer’s employer, which they must obey, that will enable the government to extract the money owed directly from the person in debt’s paycheck.
To stop wage garnishment or a tax levy, and to become eligible for the aforementioned Offer in Compromise, a tax delinquent individual should seek legal help. These firms specializing in tax debt settlement can help tax payers to file a doubt as to liability (DATL). To achieve this, the taxpayer needs to demonstrate they haven’t yet had the opportunity to dispute a tax liability which legal services can help to do. From that point, proceedings may begin to decide how much the debtor can reasonably be expected to pay back on the funds owed.
If you’re having trouble and need tax debt relief, your best choice is to contact a debt settlement firm that has the expertise needed to help you come to an amicable solution with the IRS. If not, you will be left to deal with the realities and stresses that come with this situation all on your own. IRS debt and bankruptcy don’t have to become your new reality.