When you’re in debt, you probably live in fear of the IRS. The near future might be a scary one and it can be hard to determine which step to take next. Many regular citizens are not too skilled at filing taxes, let alone dealing with the ins and outs of tax relief.
While some do manage to deal with the IRS unassisted, the option of a tax relief firm is a useful one. This professional help can make it easy to reduce your taxes and gain several other benefits.
Wondering when to take this step?
Let’s check out some factors.
1. You Haven’t Paid Your Tax Bill by Its Due Date
If your tax bill has gone past the due date, you could be in serious trouble with the IRS. However, you may not have to deal with them all on your own. A lot of taxpayers in the U.S. are delinquent. So, you have some company.
Moreover, a tax debt relief program can help you find out about the available options if your finances don’t cover that bill.
At the end of the day, you don’t want to ignore the IRS entirely. Such negligence could result in facing huge penalties and fees. With this in mind, hiring a tax relief firm is the more economical way to go.
2. You Want to Know More about Forgiveness of Tax Debts
Who doesn’t want to get out of the spiral of tax debt? The IRS cares more about fees in addition to tax bills that you already can’t deal with. With a tax relief firm on your side, you’ll be able to find out how the IRS might waive a certain percentage or all of the debt you owe.
This forgiveness is called an OIC or Offer in Compromise. The IRS will hopefully agree to settle on a lesser amount than your original debt.
A regular citizen might make several OIC mistakes. So, make sure you hire a professional for the job. The chances of the IRS accepting the OIC are also low. But a company that works with tax debt relief knows how to include the right things before submitting.
3. You’re Looking for an Affordable Payment Plan
People prefer affordable payment plans. But what if they don’t have ready cash for paying their tax debt? A tax relief firm can provide a somewhat simple solution.
First, you have to request a monthly payment plan with the IRS. This installment agreement might give a taxpayer around 72 months for the payments. However, this plan will also make it harder to get a debt reduction in the future. This is where the experts will come in. A tax relief firm will check whether you can get some tax relief first, and then, work on the installment plans.
A tax relief company will also ensure that you understand the options available. Payment plans can be an attractive prospect. But they could mean that you have to pay more in total.
4. You Received a Tax Levy or Tax Liens Notice
A tax liens notice might be hard to understand for regular citizens. This means that the government is making claims on your assets, including real estate properties.
A tax levy occurs when the government actually takes that property away. The IRS can then seize your assets, freeze your accounts, and grab your wages as well. A tax relief company, hired in time, can help you work alongside the IRS and work on paying them back.
The Takeaway
Owing to the IRS above a certain amount is serious business. There’s no need to skip town or change your identity, though. There is a legal way out that won’t burn a huge hole in your pockets. However, you do have to conduct research and hire the right firm. The factors above will help you determine whether you need a tax relief company’s assistance or not. If the answer is yes, start dialing up some likely companies today!
