Tax resolution services are specialized services offered by professionals to assist individuals and businesses in resolving outstanding tax debts, navigating complex tax issues, and achieving a compliant status with tax authorities.
The cost of tax resolution services varies based on the complexity of the case, the professional’s experience, and the specific services required. On average, fees can range from $1,000 to $10,000, but it’s essential to get a personalized quote for an accurate estimate.
A tax resolution company usually offers services such as tax negotiation, audit representation, offer in compromise, installment agreements, penalty abatement, and guidance on tax liens, levies, and garnishments. Review the list of services we offer or take a look at the list of common tax issues successfully resolved using our services.
Engaging tax resolution services generally falls in the range of $1,000 to $10,000, but prices can fluctuate based on the nature of tax issues and service extent. Book a free consultation with a Tax Resolution services specialist today to discover your options.
When contacting tax resolution services, be open about your tax challenges, provide essential details, and inquire about their expertise, success rate, and fees. Clear communication ensures they can best assist with your specific tax situation.
Tax resolution services work by analyzing your tax situation, determining the best resolution strategy, negotiating with tax authorities on your behalf, and implementing solutions such as payment plans or settlements to address your tax liabilities.
Individuals typically seek tax resolution services when facing challenges like unpaid back taxes, tax liens, audits, or other complex tax situations. A tax resolution business provides expertise and assistance to navigate these challenges and achieve favorable outcomes.
Tax forgiveness refers to programs and policies that allow taxpayers to settle their tax debts for less than the full amount owed. One of the most common and effective methods of achieving tax forgiveness is through an Offer in Compromise (OIC).
An Offer in Compromise is a program offered by the IRS and some state tax agencies that allows qualified individuals and businesses with unpaid tax debt to negotiate a settlement for less than the total amount owed. This option is designed for taxpayers who are unable to pay their full tax liability, or where doing so would create financial hardship.
- Eligibility Assessment: The first step in obtaining an OIC is determining eligibility. Tax resolution services can help evaluate your financial situation to see if you meet the criteria set by the IRS, which typically involves proving that you cannot pay the full amount due to financial hardship.
- Application Process: If you’re eligible, the next step is to submit an application. This includes completing the necessary forms and providing detailed financial information. Tax resolution specialists can assist in preparing and submitting a compelling case to the IRS.
- Offer Submission: Along with your application, you’ll propose an offer amount to the IRS. This amount is what you can reasonably afford to pay, based on your income, expenses, and asset equity. The goal is to reach a fair compromise that reflects your ability to pay.
- IRS Review: The IRS will review your offer, which may include a thorough examination of your financial information. During this time, they may request additional documentation or clarification.
- Approval and Payment: If the IRS accepts your offer, you’ll need to comply with the payment terms. This could involve a lump sum payment or installment payments. It’s crucial to adhere to the agreed terms to avoid defaulting on the agreement.
- Tax Compliance: To qualify for an OIC, you must be in compliance with all filing and payment requirements. This includes filing all required tax returns and making estimated tax payments as necessary.
Benefits of Using Tax Resolution Services for an OIC
- Expert Guidance: Navigating the OIC process can be complex. Tax resolution services provide expert guidance to help you understand your options and make informed decisions.
- Maximize Your Chances: Professionals experienced in tax resolution can help prepare your application and negotiate with the IRS to maximize the chances of your offer being accepted.
- Financial Analysis: Tax resolution specialists conduct a thorough financial analysis to propose a realistic offer amount that reflects your ability to pay, increasing the likelihood of acceptance.
An Installment Agreement is a monthly payment plan set up with the IRS to help individuals repay their tax debt over time.
The monthly payment amount is based on your ability to pay and your total tax debt.
While the debt is being paid through an Installment Agreement, interest and penalties still accrue on the owed amount.
It’s essential to contact the IRS or your representative at Tax Relief Systems immediately if you foresee difficulties in making a payment. Not addressing this can lead to a default on the agreement.
At Tax Relief Systems, we adhere to the IRS regulations which state that CPAs, attorneys, and enrolled agents are authorized to represent taxpayers before the IRS.
IRS audits can be complex and intimidating. With Tax Relief Systems, you benefit from our expertise in navigating the intricate IRS procedures, ensuring your rights are protected and achieving the best possible outcome.
Our fees are competitive and tailored to the specifics of your case. We believe in transparent pricing and will provide a detailed quote after understanding your situation.
Certainly! One of our clients faced a detailed field audit questioning multiple deductions. With our representation, we provided the necessary documentation, clarified the deductions, and reduced the client’s liability significantly.
While representation isn’t mandatory, it’s highly recommended. Complex audits or situations where large sums are at stake can benefit from the expertise of a representative like Tax Relief Systems.
An IRS audit is a review of an individual’s or organization’s financial information to ensure taxes were filed correctly. It can range from a simple document verification to a detailed examination of financial records.
Various factors can trigger an audit, such as discrepancies in reported income, high deductions relative to income, or certain large transactions. At Tax Relief Systems, we help clients understand and address these triggers.
The duration varies based on the audit’s complexity. With Tax Relief Systems by your side, we ensure the process is as smooth and efficient as possible.
The IRS typically notifies individuals of an audit through a formal letter. Remember, the IRS will never initiate an audit through a phone call or email.
While not always necessary, a tax attorney or a qualified representative like those at Tax Relief Systems can provide valuable expertise, especially in complex cases.
Ensuring accurate tax filings, reporting all income, and maintaining thorough records are key. Tax Relief Systems offers consultation services to help clients minimize audit risks.
Penalties can range from additional taxes and interest to more severe fines for fraud. With Tax Relief Systems, we work diligently to minimize or eliminate potential penalties.
Always check for credentials such as CPA, attorney, or enrolled agent status. At Tax Relief Systems, our team comprises qualified professionals with years of experience in IRS representation.
They are essentially the same. The term “examination” is a more formal term used by the IRS, but both refer to the review of a taxpayer’s return.
Typically, the IRS keeps audit records for three years from the date of filing. However, in cases of significant errors or fraud, they might keep them longer.
To qualify, you must prove that when you signed the joint return, you didn’t know or had no reason to know of the understated tax. Various other criteria also apply, which our experts can guide you through.
When you sign a joint tax return, the law holds both individuals responsible for all the tax due. This is why innocent spouse relief is essential, as it offers an avenue for one spouse to claim ignorance of the mistake.
Generally, you must file Form 8857, Request for Innocent Spouse Relief, no later than two years after the date the IRS first attempted to collect the tax from you.
Even if you’re divorced or separated, you can still apply for innocent spouse relief, provided you meet the criteria.
Innocent spouse relief provides relief from an understated tax. Separation of liability relief allocates a separate portion of the understated tax between two former spouses or current spouses who live apart.
Yes, if you owe taxes and haven’t addressed the outstanding debt, the IRS can issue a wage garnishment, which directs your employer to withhold a certain percentage of your wages and send it directly to the IRS.
Absolutely. You have the right to appeal the levy. This process can be complex and may require expert guidance to ensure you’re effectively addressing the issues and presenting your case.
At Tax Relief Systems, we have a team of seasoned tax professionals who have successfully negotiated with the IRS for numerous clients. We can work to stop wage garnishments, release bank levies, and set up favorable payment plans. More importantly, we ensure your rights are protected throughout the process.
The best way to prevent future levies is to stay current with your tax obligations. However, if you find yourself in a challenging financial situation, reach out to professionals like Tax Relief Systems as early as possible to explore your options and create a plan of action.
If you genuinely can’t afford to pay your tax debt, there are options available. The IRS offers payment plans, and in some cases, an Offer in Compromise (OIC) might be possible, where you settle your debt for less than you owe. However, these processes can be complicated, so it’s advised to have professional representation.
A tax appeal is a formal request to review and change a tax decision. Whether it’s an assessment, penalty, or another tax-related issue, an appeal is your opportunity to challenge the decision.
Suppose you believe there’s been an error in your tax assessment, or you’ve been unfairly penalized. In that case, you should consider the appeals process.
Deadlines vary based on the specific tax issue and jurisdiction. Acting quickly is crucial, as missing an appeal deadline can foreclose your opportunity to challenge the decision.
While you’re not required to have representation, the process can be complex. Having experts like Tax Relief systems on your side can significantly improve your chances of a favorable resolution.
An audit reviews your tax return for accuracy. At the same time, an appeal is a process to challenge the outcome of an audit or other tax decisions.
The duration varies based on the complexity of the case, but with prompt and proper action, many appeals can be resolved within a few months.
Outcomes can range from a full reversal of the original decision, a compromise, or an affirmation of the initial assessment or penalty.
At Tax Advocates, we adopt a comprehensive approach, starting with a detailed consultation, followed by research, case development, and representation. Our goal is always to achieve the best possible outcome for our clients.
Remember, tax issues are manageable. You can challenge decisions and seek a more favorable resolution with the right assistance. Start your tax appeal today and allow Tax Relief Systems to resolve your tax issues and keep you free of tax problems.
Penalty abatement refers to the reduction or removal of penalties charged by the IRS for late filing, late payment, or other infractions. There are various grounds, including reasonable cause and statutory exceptions, which can be cited to qualify for abatement.
The duration can vary based on the complexity of your case and the specific penalties involved. On average, the process can take anywhere from a few weeks to several months.
While we do our utmost to present the strongest possible case for you, the IRS makes the final decision. There are no guarantees in penalty abatement, but with our expertise, your chances of success are significantly improved.
If your request is denied, there may be options to appeal the decision or explore alternative solutions. Our team will advise on the best steps to take based on your unique situation.
Currently Not Collectible status is when the IRS determines that collecting from a taxpayer would cause undue hardship. The taxpayer’s account is temporarily suspended from collection actions.
CNC status is temporary, usually lasting until the taxpayer’s financial situation improves. However, the IRS will re-evaluate the taxpayer’s situation periodically.
While CNC halts collections, it doesn’t forgive the debt. Interest and penalties may still accrue.
Qualification is based on a thorough financial analysis by the IRS, determining that collection actions would result in financial hardship.
While collections are halted, the IRS will continue to assess your financial situation. If they determine an improvement in your financial status, collections may resume.
It’s possible, but each case is unique. Consult with tax professionals, like TRS, to determine the best approach for your situation.
Tax negotiation is the process of discussing and reaching an agreement with the IRS regarding the amount of taxes owed. This could result in a reduced payment, a payment plan, or other tax relief methods.
Not everyone. Qualification depends on several factors, including your ability to pay, current financial status, and the reason for your debt. It’s essential to consult with tax professionals to understand your specific situation.
The duration varies based on the complexity of your case and the method of negotiation you’re pursuing. However, with professional assistance, the process can be expedited.
Yes, the IRS is open to negotiation, especially when they believe it’s their best chance at receiving some payment as opposed to none.
While it’s possible, it’s advisable to have a professional by your side. Tax professionals have the experience, knowledge, and skills to navigate the IRS’s complexities, ensuring a better outcome for you.
Rejection is a possibility. However, you can appeal the decision or explore alternative tax relief methods. An experienced tax negotiator can guide you through these steps.
An IRS bank levy is the IRS’s way of legally seizing your assets, specifically money in your bank account, to settle tax debts. If you see an unfamiliar withdrawal or freeze on your bank account, you may have been hit with a levy.
The IRS doesn’t issue bank levies arbitrarily. This action is taken when you owe taxes and haven’t made plans to address the debt. Before a levy is executed, the IRS sends several notices of your outstanding balance. If these notices are ignored or unpaid, a levy can be the next step.
Before the levy takes effect, the IRS will send a “Final Notice of Intent to Levy” and a “Notice of Your Right to a Hearing.” These are sent at least 30 days before the levy begins.
First, don’t panic. Contact a tax professional or the IRS directly to discuss the situation. There are often options available, like setting up a payment plan, which can lead to a release of the levy.
The time it takes to release a levy can vary. If an agreement is reached quickly with the IRS, a levy can sometimes be released in days. However, more complicated situations can take weeks or even months.
Yes, the IRS provides several notices before issuing a levy, including a final notice at least 30 days before the action.
The IRS might levy any account with your name on it. If it’s not primarily your account, like one set up for an elderly parent, you can contact the IRS to discuss the situation and potentially get the levy released.
Yes, if one account holder owes tax debt, the IRS can levy the full joint account, regardless of who deposited the funds.
While IRAs aren’t entirely immune, the IRS typically only levies these accounts if other collection methods fail. You must be given notice before an IRA is levied.
Yes, the IRS can take a portion of Social Security retirement and SSDI payments. However, Supplemental Security Income (SSI) is not leviable.
Absolutely. If you owe federal taxes, the IRS can take your state tax refund.
If you’ve addressed your debt and the IRS still levied your account, contact them immediately. It might be a mistake, and you can potentially get reimbursed.
A tax lien is a claim the IRS makes on your assets due to owed taxes. A levy is the actual taking of those assets to pay the debt. Think of the lien as the warning and the levy as the action.
The IRS can discover your bank accounts through your tax returns, W-2 and 1099 forms, or other financial documentation you’ve provided. They can also use third-party summons or subpoena information directly from banks.
A release can be achieved by paying the tax debt in full, setting up a payment plan with the IRS, proving the levy causes financial hardship, or demonstrating the time to collect the tax has expired. The smartest thing you can do is call TRS immediately. You will be educated on all the options available to you for your specific situation in a matter of minutes.
Yes, the IRS can levy nearly any type of financial account you have, including checking and savings accounts.