Do Tax Settlement Issues Have You Down?

Do Tax Settlement Issues Have You Down?

Are you feeling nauseous or stressed out over your back taxes? You are not alone. A lot of Americans every year are falling behind. However, the IRS is coming down on people and businesses who owe back taxes. You can face criminal charges if left unsaid. One thing to do if you haven’t filed any year’s taxes is to file them quickly before you rack up any more penalty and interest charges. It is your right to know that you can file taxes any time of the year. Of course, we are speaking of back taxes. So if you are 10 years of not filing, start filing now. Those fees will end up being more than your tax debt if you’re not careful.

Tax settlement can be done on your own. It is a very complex and lengthy process if you tackle it alone however. We want you to know of an option just the same. It is called an “Offer of Compromise” form. This form can be downloaded free of charge on the IRS website. It is a form to fill out (however, quite complex) to negotiate a dollar amount reduction of taxes to pay that you owe Uncle Sam. The problem with this “Offer To Compromise” is laymen don’t have the knowledge and this makes it extremely difficult to negotiate with the IRS alone. You most likely will not get the best tax settlement than if you had hired settlement attorney.

Benefits To Hiring A Tax Settlement Attorney

Make sure you do your research on tax settlement prior to hiring an attorney. You can search on-line to find information on what tax attorneys do (in general) and what they will do for you tax in your wishes to settle. You will also have some sort of leverage when speaking to a potential attorney that you decide to hire. Tax laws are cumbersome and the paperwork involved is even more tedious and difficult. So it helps if you are somewhat well-versed on the subject. Tax attorneys will be able to negotiate a lower settlement amount than you would be able to do on your own. Say you have debt of $37,000. Most likely within 6 months to 1 year, an attorney would most likely be able to make a settlement of about 22% – 25%. That would take your debt down to $8,000.- $10,000. Had you tackled your debt on your own, your settlement amount would never be that low of a percentage. The courts would rather deal with tax attorneys because settlements are completed much quicker and they don’t have to spend time explaining things in laymen’s terms. So some money is saved there is that is any consolation to hiring the tax man.

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