The IRS has several programs that exist to help US taxpayers to pay back taxes and come into compliance with the IRS. Many taxpayers are aware of a program known as an “Offer in Compromise,” where a taxpayer with back tax debt can make an offer to pay off the IRS based upon several factors including income, assets, the type and age of the tax debt and ability to pay. The IRS accepts between 38% to 42% of these offers each year. The formula is fairly straight forward, but what happens if you don’t qualify for an offer in compromise?
This is why it is imortant to work with an experienced tax attorney when approaching the IRS. The IRS initiated a program in 2012 known as the “Fresh Start” initiatives, that broadened the scope of who could qualify for an offer in compromise, as well as programs designed to help US taxpayers to avoid liens, levies and garnishments.
Unfortunately, several taxpayers continue to wait until they receive a Notice of Intent to Levy or a Lien Notification before taking action to retire their back tax debt. The IRS will not go away. The agency’s tax collection tools are powerful and can be quite severe to California residents. The tax attorneys at Allen Barron have deep experience with the IRS including audits and collections. We will work with you to negotiate a payment plan or proposal with the justification and documentation to maximize the likelihood of success.
If you owe back tax debt to the IRS you need to take action. The IRS has recently tended to be as flexible in some cases as it has been in years. If you owe more than $10,000 to the IRS we invite you to contact us at 866-631-3470 for a free consultation. We will review your unique circumstances and work with you to develop a strategy to retire your debt to the IRS in a manner you can afford and live with.