Whether you’re dealing with an IRS audit, levy release, or penalty abatement, tax resolution services can help. They can also offer advice and guidance on other issues from working with the IRS, such as wage garnishment or IRS seizure.
The first step to resolving your tax problems is to meet with a qualified tax consultant or enrolled agent. During a consultation, they will review your paperwork and assess your case.
Tax Lien Appeal
Tax resolution service can help you file a Tax Lien Appeal to remove or release a lien. This can be done using Form 12153 online or by writing a letter.
You must send your appeal within 30 days after the 5-day business timeframe for the IRS to file the lien. The Appeals Office will review your request and decide whether to release, withdraw, discharge, or subordinate the lien.
Your tax resolution expert can also negotiate to show the IRS that you don’t owe the debt or assist in obtaining a “Currently Not Collectible” status. This may result in the IRS agreeing to waive your right to a tax lien.
The IRS will likely pursue collection aggressively if you face substantial unpaid taxes. This is when it’s best to hire a tax resolution professional. They can handle the entire process and minimize your outstanding balance through an offer in compromise, penalty abatement, or partial pay installment agreement.
Innocent Spouse Relief
If you’ve been paying additional fees to the IRS because your spouse or former spouse misreported items, deductions, or income on a tax return, Innocent Spouse Relief may help. It can alleviate your debt and give you some breathing room.
However, there are a few things you’ll need to know about innocent spouse relief before applying for it. These include your financial situation, educational background, and employment history.
The IRS will also consider whether the error was recurring or part of a pattern in your past returns. This is a key factor because the IRS wants to be sure you didn’t have reason to know that the error was occurring on your taxes.
If the IRS denies you Innocent Spouse Relief, you must appeal the decision to the Tax Court. This can take some time, so contact Polston Tax for assistance. We can help you with prequalification, preparing Form 8857 and completing appropriate letters and appeals.
Offer in Compromise
The IRS Offer in Compromise (OIC) program is a powerful tool for taxpayers struggling with delinquent tax debt. It allows taxpayers to settle their federal tax liabilities for less than what they owe.
However, several factors must be considered when deciding if you qualify for the OIC program. It is a process that requires thorough knowledge of the IRS’ procedures and guidelines.
A qualified tax resolution professional can help you navigate this complex and often frustrating process. They can also advise you on reducing taxes such as the Fresh Start Program, liens, and levies.
First-Time Penalty Abatement
If you’ve been compliant with your taxes in the past but owe some back taxes, you may be eligible for First-Time Penalty Abatement. This IRS waiver can save you hundreds or thousands of dollars if it applies to your situation.
The IRS assesses billions of penalties yearly, but many people must realize they can apply for a reduction. It’s a relatively simple process and can save you money and time.
Taxpayers usually qualify for first-time penalty abatement if they’ve paid and filed their taxes on time in the past three years. In addition, they must not have had any other penalty assessed against them for the same tax year.
If you’re eligible for first-time penalty abatement, the IRS will remove your penalty and any interest it has on that amount. The deducted amount will be based on your taxable income and current tax situation.