If you find yourself experiencing financial hardship, paying your taxes can be very difficult. The situation that brought you to this place might have been unavoidable, such as loss of employment, unexpected medical bills, or even the death of a breadwinner. No matter what the reason is, you need to move forward financially and avoid more fines or fees, now is the time to look into tax resolution methods.
What are 3 common methods to help people resolve their tax debt issues?
One thing is for sure, you’re not alone. Many people have had to work with the IRS to get back into compliance. While there are several different avenues you can take to get there, here are three of the most common.
• Installment: This common form of resolution involves paying what you owe over time. It can take up to six years to make your payments, this allows you to bargain with the IRS for an amount you can afford each month. Once you have paid in full, the federal tax lien against you is lifted.
• Offer in Compromise: When you can prove to the IRS that you can’t afford to pay what you owe, you may choose to go with this method. Offer in Compromise means you negotiate to pay back a smaller amount than what you owe. You might pay a smaller amount in one lump sum, or arrange a payment schedule. In either case, you have to give evidence of financial hardship for the IRS to agree to this method. You also have to participate in periodic checks on your income and financial situation to ensure the hardship still applies.
• Currently Not Collectable: If your expenses are greater than your income, you may qualify for this resolution method. It stops all collections but doesn’t necessarily halt interest or penalties. You go through a detailed process of proving hardship when you file for Currently Not Collectible, and it doesn’t stop the IRS from taking any future refunds to cover what is owed.
Why is it important to use a CPA?
A Certified Public Accountant (CPA) understands all of the various methods of tax resolution, from the most common to the ones that are useful for only special circumstances. They are experts in how to become and remain compliant with the IRS. It isn’t guesswork with them; it’s what they do.
Because you want to settle your debt with the IRS, you need expert guidance. Leaving your financial future to any other source is leaving yourself open to further fines and penalties, as well as continued interest. It is important to use a CPA to show you which method best suits your situation and how you can file for it successfully. If you want to get back on track the right way, you need a professional.
How can tax consulting services help?
You know that to have a firm financial future, it’s time to take care of your tax issues. The best way to do that is to speak with a tax consulting professional and find out the resolution method that helps you settle with the IRS while still being able to put food on your table.
Tax consulting services help you make a plan to get back on your feet. They show you the roadmap to compliance with the IRS and handle all of the filings for you. They have the answers and they know how to get you on the right path with as little pain as possible.
Preferred Tax Consulting and Accounting Services Near Canton
There are different ways to take care of your tax debt, including an installment plan, paying back a partial amount, or halting collections. To find out which one is best for you, talk with a CPA that specializes in tax problem resolution.
Connect with Tax Avenger in Canton for help with tax preparation, tax consulting and planning as well as tax problem resolution. We are an experienced and knowledgeable tax and accounting firm that has been partnering with business owners and individuals for more than twenty years. Staying up to date on tax laws at every level ensures compliance and maximized benefits.
Let us know how we can help, call and speak to an expert CPA and tax professional today.