Stuck In A Tax Debt? Here Are Some Solutions

IRS is the one who takes decisions about your taxes and how much you need to pay which can be a daunting process for the people who do not know about their tax obligations and get stuck in some sort of tax debts. However, there are some tax debt relief options available for you from the IRS which are briefed as;

Stuck In A Tax Debt? Here Are Some Solutions

The status where you are not collectible during a certain time period:

If you are stuck in a tax debt and you worry about any property or business which can suffer as a result of it, you can take the services of a good attorney to file for your collectible status, such as filing form 433-F can help you notifying the IRs that you do not afford to pay your bills and if you get the uncollectible status, the IRS can stop its collections such as liens and garnishments. In such cases you can save any assets or property and during that time you will be notified about how much money you need to pay and in case that period say 10 years passed, then your tax may also be expired.

Paying in instalments:

Just like paying your bills or buying a car and then dividing the money into instalments so that you do not have the burden to pay a lot of money, you can also request IRS in the form of an email or submitting a form to pay your tax debt in instalments which can be done with the help of a credit card or deductions from your bank account. However, the process of filing for instalments may not be as easy as other of your instalment packages which can be done in a very short period of time, but this method can help those who can pay in small amounts per month.

An offer of compromise:

This type of option can be adopted by a tax payer if he owes a lot of money to IRS and cannot pay it in any case. In such cases, you can apply for an offer of compromise as a result of which you may have to pay a less amount of money than that due for payment. However this type of option is not approved for every filer as it all depends on the personal financial conditions of the tax payer.

Leave a Reply