Tax debt help is an option offered by various reputable companies to help you relieve the burden of tax debt. These companies usually offer some of the best qualified and experienced tax attorneys who look into various aspects of your unique situation and provide you sound advice for IRS tax debt relief. Regardless of how complicated your situation is or how staggering the pending tax amount is; there is always a solution that helps with IRS debt.
Reasons to get Tax Debt Help
Each person’s situation is unique. For most, common reasons which push a person to seek IRS tax debt help are:
1. Failure To File A Tax Return
This is the most common reason for anyone requiring tax debt help. Once your income passes a certain specified limit; it is illegal not to file your tax returns. In case you do not file your returns, the IRS files a Substitute for Return (SFR). The issue with it is that it lists only your income and not your allowable deductions. Consequently, you find yourself with a massive tax liability as well as penalties and interest.
In other instances, you might file your federal tax return but forgot to complete your state tax return. Here again, the IRS files an estimated tax return which again skips on allowable deductions. This implies that you get placed in a higher tax bracket and are informed of a tax debt which is way higher.
2. Incorrect Tax Return Preparation
Due to numerous reasons, there can be an error in the tax returns that you had filed. The mistake could also have been made by a Certified Public Accountant (CPA) or tax preparer who you hired, who are not as well versed as a tax lawyer and thus made mistakes. These errors can cost you as accuracy penalties can be even 75% of your tax debt.
3. Not Making Timely Estimated Tax Payments
It is not uncommon for people to forget to pay their quarterly Estimated Tax Payments (ETP’s). Consequently, the tax debt gets accumulated in the following year and soon you find yourself in a situation where you seek tax debt help.
Opting for less withholding than advisable for you will lead you to a higher payable tax amount at the end of the year.
5. Early Withdrawal From Retirement Funds
Any unqualified withdrawal from your retirement fund before the age of 59 attracts a 10% penalty from the IRS. Most are taken by surprise with it and are burdened with an extra penalty at the end of the year.
6. High Deductions Claim
Your returns might attract an audit from the IRS, which might end up with higher tax liabilities as a result of penalties, disallowed deductions or any other reasons.
7. Errors From Another CPA Or Tax Company
The entire tax code is highly complex and constitutes over 70, 000 pages. A CPA or any other random company often lack the desired skills, knowledge and expertise on tax intricacies. Even a slight error from them would land you with substantial tax liabilities. Your only way out would be to seek tax debt help from an experienced and expert tax lawyer.
8. Miscellaneous issues
Apart from the issues mentioned above; there can be various other reasons like gambling winnings, unpaid payroll; claiming an un-rightful dependent, etc. These reasons can make your tax debt go so high that you would be in dire need of some tax debt relief.
Professional Assistance for Tax Debt Help
The IRS grants you the right to represent yourself. However, you might be unaware of the various loopholes and exit doors available that can smoothly help with IRS debt. This situation is absent from an experienced tax attorney, who is well versed with the latest IRS rules and regulations and can easily exploit them to your benefit.
There are plenty of rules and regulations present that can bring you tax debt relief. Based on your unique situation which will be microscopically examined by the tax lawyer; you would be presented with the best possible tax debt help. Few solutions that can be taken up for an IRS tax debt relief are:
- Offer in Compromise
- Penalty Abatement
- Installment Agreement
- Not Currently Collectible
- Innocent Spouse Relief
- Release Wage Garnishments
- Filing for Bankruptcy
- Bank Account Levy Release
- Lump-Sum Payment
- Expired Statute of Limitations
All these are some terrific ways of tax debt help. But each has its own stipulations and clauses and is not a one-fit for all. You must fulfill the criteria and qualify for a particular solution. This can be achieved with the help of an experienced tax lawyer. Tax lawyers’ skills and knowledge can easily negotiate with the IRS to get you the best IRS tax debt relief.
Our tax professionals can get you to help reduced tax liability, lump-sum payment or freedom from liability to pay pending taxes. Call us today for the best legal representation.