Tax Debt Relief

Tax Debt Relief

Tax Debt Relief Companies

Tax relief companies exist to help taxpayers who are struggling or unable to pay the taxes they owe to the government. While these companies’ processes vary in strategy, the main goal of a tax relief company is to reduce the financial burden on a taxpayer. Some of the most common ways tax relief companies assist consumers are helping reduce the level of tax debt, stopping wage garnishments, walking customers through audits, and reaching a tax relief agreement with the IRS.

Tax Debt Relief Programs

Under certain circumstances, taxpayers can have their tax debt partially forgiven. When the IRS considers forgiving tax debt, the present financial condition of the taxpayer is of primary importance. The IRS cannot collect more than a taxpayer can pay. If any collection action by the IRS would force a taxpayer debtor into a financial crisis, the IRS cannot collect the back taxes.

Taxpayers that have the resources to pay only a partial amount of their tax debt can apply for the IRS government payment plan called an Offer in Compromise (OIC) to resolve the remainder. According to the financial capacity of the taxpayer, the IRS significantly reduces the total debt to an amount that the taxpayer can pay. The reduced amount can be paid in a lump sum or in fixed monthly installments.

Do I Need To Hire A Tax Debt Relief Consultant?

Although some cases are best handled by licensed, seasoned professionals, many can be resolved simply. In fact, most personal IRS tax debts can be cured with a phone call. Many tax resolution firms charge exorbitant fees for services that you can successfully perform on your own. All you need are a few hours of research, preparation and phone time. And while it’s advantageous to have years of tax resolution industry experience under your belt when navigating toward the resolution of your liabilities, you can do just fine on your own.

Contact us today for more information.

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