SUBSTITUTE BACK TAX RETURNS - WHAT IF YOU DON’T FILE VOLUNTARILY!

File all tax returns that are due, regardless of whether or not you can pay in full. File your past due return the same way and to the same location where you would file an on-time return.

If you have received a notice, make sure to send your past due return to the location indicated on the notice you received.

WHY YOU SHOULD FILE YOUR PAST DUE TAX RETURN NOW

Avoid interest and penalties
File your past due return and pay now to limit interest charges and late payment penalties.

DOES THE IRS WANT TO SEIZE YOUR ASSETS?


CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

CLAIM A REFUND


You risk losing your refund if you don't file your return. If you are due a refund for withholding or estimated taxes, you must file your return to claim it within 3 years of the return due date. The same rule applies to a right to claim tax credits such as the Earned Income Credit.

We hold income tax refunds in cases where our records show that one or more income tax returns are past due. We hold them until we get the past due return or receive an acceptable reason for not filing a past due return.


PROTECT SOCIAL SECURITY BENEFITS

If you are self-employed and do not file your federal income tax return, any self-employment income you earned will not be reported to the Social Security Administration and you will not receive credits toward Social Security retirement or disability benefits.

AVOID ISSUES OBTAINING LOANS

Loan approvals may be delayed if you don't file your return. Copies of filed tax returns must be submitted to financial institutions, mortgage lenders/brokers, etc., whenever you want to buy or refinance a home, get a loan for a business, or apply for federal aid for higher education.

IF YOU OWN MORE THAN YOU CAN PAY

If you cannot pay what you owe, you can request an additional 60-120 days to pay your account in full through the Online Payment Agreement application or by calling 800-829-1040; no user fee will be charged. If you need more time to pay, you can request an installment agreement or you may qualify for an offer in compromise.


WHAT IF YOU DON’T FILE VOLUNTARILY?

SUBSTITUTE RETURN

If you fail to file, we may file a substitute return for you. This return might not give you credit for deductions and exemptions you may be entitled to receive. We will send you a Notice of Deficiency CP3219N (90-day letter) proposing a tax assessment. You will have 90 days to file your past due tax return or file a petition in Tax Court. If you do neither, the IRS will proceed with the proposed assessment. If you have received notice CP3219N you can not request an extension to file.

If any of the income listed is incorrect, you may do the following:

Contact us at 1-866-681-4271 to let us know.


Contact the payer (source) of the income to request a corrected Form W-2 or 1099.


Attach the corrected forms when you send us your completed tax returns.
If the IRS files a substitute return, it is still in your best interest to file your own tax return to take advantage of any exemptions, credits and deductions you are entitled to receive. The IRS will generally adjust your account to reflect the correct figures.


COLLECTION AND ENFORCEMENT ACTIONS

The return we prepare for you (our proposed assessment) will lead to a tax bill, which, if unpaid, will trigger the collection process. This can include such actions as a levy on your wages or bank account or the filing of a notice of federal tax lien.

If you repeatedly do not file, you could be subject to additional enforcement measures, such as additional penalties and/or criminal prosecution.

HELP WITH FILING A PAST DUE TAX RETURN

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017/2018 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization

HOW TO AVOID DELINQUENT PAYROLL TAX PENALTIES AND POSSIBLE PUNISHMENTS - TAX RELIEF

When you operate a nonprofit business, you enjoy tax protections that are not available to for-profit business owners. While these tax breaks allow you to serve the community and provide services that help those in need, you still have the obligation to deduct and remit payroll taxes to the government.

In fact, if you fail to meet this obligation, the IRS could levy significant penalties and punishments against everyone involved in the day-to-day financial operations of your company. Rather than allow your board, managers and even your volunteers be targeted in such a way, you can use these strategies to protect your staff and avoid owing the IRS delinquent payroll taxes.

DOES THE IRS WANT TO SEIZE YOUR ASSETS?


CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

RETAIN A PAYROLL SERVICE

Arguably, one of these primary ways that you can avoid owing the IRS delinquent taxes would be to hire a payroll service for your nonprofit business. When you retain a payroll company, you can be assured that your employees' earnings will have the appropriate amount of deductions for FICA, Social Security, Medicare and other taxes withheld.

Even more, the payroll service can help you remit these taxes to the government each year, allowing you to take care of this obligation without error or delay. With this service, you avoid the ire of the IRS and can likewise protect you, the board, volunteers and other staff from undue scrutiny.

FIND SOLUTIONS TO YOUR TAX DEBTS

If you do owe the IRS payroll taxes from previous years, you should do everything in your power to remit those taxes immediately or find a way to settle this obligation without having your assets or those of your staff targeted. In fact, just as it does with private citizens, the IRS offers a variety of ways to settle delinquent taxes.

For example, you could offer to compromise and pay a lesser amount. You could also ask for an extension or request a payment agreement. In some cases, it may be better for your nonprofit to file for bankruptcy. These solutions could protect your assets and also help your volunteers, board members and other managerial staff avoid being fined or punished for your business' tax obligation.

INVEST IN INDEMNITY INSURANCE

When it comes to collecting delinquent payroll taxes, the IRS does not care if you are to blame or if someone else at your company actually is at fault for this oversight. Even more, the agency can legally hold everyone responsible at the company who has influence over the finances or has the ability to write and endorse checks in the business' name.

With that, you can protect your staff and your board members by investing in insurance with indemnity clauses that will assume responsibility for this infraction. In fact, your directors and officers should likewise have this insurance made available to them so that people under their direction can avoid having their houses, earnings, cars and other assets seized for an error that ultimately lies at the feet of you and your directors.

DEFINE STAFF RESPONSIBILITIES CLEARLY

As witnessed in several recent cases regarding delinquent payroll taxes, clearly defined responsibilities in a company's by-laws can help employees and volunteers avoid being punished for something that was not their fault. You should clearly define who is in charge of the taxes and the money at your company and help others in your employ avoid being targeted by the IRS if or when you owe delinquent taxes.

MAKE SURE TAXES ARE PAID

This suggestion sounds extremely basic; however, it is one that many business owners would do well to remember. In fact, you may be tempted to pass off this obligation to a financial officer or manager at your business. You may also assume that your payroll company will do this without you having to make sure the taxes are actually remitted on time.

In the end, you are the sole person responsible for your business and its payroll taxes, however. Even if you have the best payroll company at your service and the most competent CFO in your employ, you should still make sure that your payroll taxes are sent in on time and without errors. Once you verify it for yourself, you can rest assured that you are a responsible and proactive business owner who wants to keep a good relationship with the IRS.

When your business is not-for-profit, you are given tax breaks that let you serve your target audience better. However, these exemptions do not dismiss you from having to deduct payroll taxes from your employees' salaries. Because the IRS expects you to remit your payroll taxes on time, it is critical that you know what strategies to use to avoid being in default of this obligation. These reminders can also protect your volunteers, staff, board members, and others at your company from having to pay penalties to the IRS.

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017/2018 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization

HOW TO AVOID AN IRS BACK TAX LIEN ON YOUR CREDIT - ADVANCE TAX RELIEF

The IRS uses a variety of collection activities to collect what taxpayers owe to the government. Among these tactics, a federal tax lien can be among the most difficult with which to cope.

It can negatively impact your finances, credit rating, and employment prospects. Rather than risk your future because of taxes that you owe, you can use these suggestions for avoiding a federal tax lien.

DOES THE IRS WANT TO SEIZE YOUR ASSETS?

CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

ABOUT TAX LIENS

A tax lien is a hold that the IRS places on your available assets. It is put in place whenever you owe an outstanding debt to the IRS and you have not done anything to resolve the debt or pay it in a timely manner.

A tax lien can be particularly devastating because it can affect your credit report, property value, and your ability to secure new credit. You also may lose access to the money in your own bank account.

Further, a tax lien cannot be dismissed or forgiven by filing for bankruptcy. If anything, the IRS becomes the primary creditor seeking repayment from you and will keep the lien in place until the tax debt is paid in full. For some people, this could take years before the tax lien is released.

How a Tax Lien Can Affect You

When the IRS implements a tax lien, it freezes your assets and credit. You cannot get new credit while an IRS tax lien is in place. This freezing of your assets can be particularly bad if you are a small business owner and need to secure lines of credit to pay bills, buy inventory, or for other purposes.

Further, a tax lien can be imposed on any liquid asset that you own. Once the lien is issued by the IRS, it become a matter of public record. It is often published in local newspapers, and anyone you know can find out that you have not paid your taxes and are now subject to an IRS tax lien.

The tax lien will also be reported to the three major credit bureaus and show up on your credit report. Likewise, you may not be able to sell any real estate that you own while the lien is in place.

AVOIDING A TAX LIEN

As serious as a tax lien is, it is also not difficult to avoid in many circumstances. The best way to avoid tax lien is by simply paying what you owe to the IRS. You should file your tax return on time each year and pay any balance that you owe immediately.

If you cannot pay what you owe in full, you should request to be put on a payment plan that will let you pay off your tax debt in monthly increments. This plan is called an installment agreement and allows you to make monthly payments that are based on your current income. The payments are affordable and are put toward both the balance, interest, and any penalties you accrue.

In fact, you cannot escape penalties as well as interest accruing on your tax debt while you are on an installment agreement. However, this plan will allow you to keep your account in good standing with the IRS. As long as you make your payments on time each month, you will avoid having a tax lien put on your assets.

RESOLVING A FEDERAL TAX LIEN

If you do not agree with the tax lien or believe it should not be put on your assets, you have the right to appeal it. Once you are notified in writing of the IRS' intent to implement a tax lien, you have 30 days to request a hearing. During that hearing, you can dispute the lien and the amount of taxes you owe.

You also have the right to hire a tax professional to counsel and represent you during the hearing. If you do not agree with what the IRS says you owe or you believe the tax lien to be unjust, you can hire a tax resolution specialist to help you dispute it in an IRS hearing. If your appeal is successful, the tax lien will be removed from your account.

DO YOU NEED IRS TAX HELP?

SCHEDULE A FREE CONSULTATION WITH OUR TAX ATTORNEYS

ADVANCE TAX RELIEF

(800)790-8574

YOU CAN ALSO REPAY IN FULL

The simplest way to get rid of a tax lien is to pay the tax debt in full. Sometimes this can be impossible, however, because of how much you owe. You may not have the amount of money in your bank account to pay back what you owe to the IRS.

If that is the case, it may be worth looking into other payment options. For example, it may be cheaper for you to use a low-interest credit card to pay your IRS balance. You then would avoid having to make monthly payments to the IRS and instead make low-interest payments on your credit card. Your credit card payments may be much lower than what the IRS would require from you each month.

This option can be particularly helpful if you want to avoid expensive penalties and interest that will accrue on your tax debt the longer you leave it unpaid. Using a credit card to pay what you owe right now spares you from having to pay additional expenses on top of your IRS tax debt.

APPLY FOR AN OFFER IN COMPROMISE

Some taxpayers face extreme financial difficulties when it comes to repaying a tax debt. In this instance, it may be better to make an Offer in Compromise or OIC to resolve your tax debt.

An OIC is an offer to pay your tax debt for less than what you actually owe. It is a settlement to resolve your debt based on what you can realistically afford to pay right now.

An OIC must be reasonable and reflect what you earn as well as to what assets you have access right now. To make an OIC, you must fill out and submit IRS Form 656. A tax professional can help you make an OIC and potentially have it accepted by the IRS to resolve your past due taxes.

APPLY FOR A FINANCIAL HARDSHIP

When you cannot afford to be on an installment agreement, you might make a case for financial hardship. You can request the IRS to evaluate your finances in order to grant you a financial hardship status.

If you qualify for financial hardship, you will be allowed to apply for other payment options like an OIC. In some cases, the IRS will remove a tax lien entirely if a taxpayer faces dire financial circumstances like being homeless or under-employed.

Do Nothing
Your last option regarding your tax debt would be to simply do nothing. However, this is the riskiest option because it opens the possibility of the IRS seizing assets like your:

Car
Home
Bank accounts
Income
Retirement savings
It also will result in the tax lien affecting your credit rating. Your tax debt will not go away if you ignore it. It is best if you use one of the available payment or settlement options to resolve what you owe to the IRS.

A tax lien can lead to financial hardships that can follow you for years. Avoiding a tax lien is not difficult in most cases, however. You can resolve what you owe to the government by paying your debt in full, requesting an installment agreement, making an Offer in Compromise, or requesting financial hardship status.

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017/2018 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization

YOU OWE THE IRS BACK TAXES. NOW WHAT?

What happens if you owe the IRS back taxes?

If you will owe taxes to the IRS and can’t pay the balance, this is the most important thing: You should still file your tax return. If your tax return won’t be ready before Tax Day, you should at least file for an automatic six-month extension.

It’s important to complete one of these steps to avoid the failure to file penalty. The penalty is equal to 5% of the unpaid balance, per month or part of a month, up to a maximum of 25% of unpaid tax.

DO YOU NEED IRS BACK TAX HELP? CALL OUR TAX ATTORNEYS!

ADVANCE TAX RELIEF LLC
www.advancetaxrelief.com
BBB A+ Rated
Call (713)300-3965 - Free Consultation

GET TAX RELIEF HELP TODAY

(Note: The 5% per month penalty increases to 15% per month if the failure to file is due to fraud. For returns filed more than 60 days after the due date or extended due date, the minimum penalty is equal to the lesser of $205 or 100% of the unpaid tax.)

If you can’t afford to pay all the taxes you owe, you should know your options. It’s important to come up with a plan. Otherwise, you may be hit with significant penalties and interest accruals over time. Here are some of the most common options for people who owe and can’t pay.

1. Set up an installment agreement with the IRS.
Taxpayers can set up IRS payment plans, called installment agreements. The type of agreement you can get depends on your situation, including how much you owe and how soon you can pay the balance. You shouldn’t set up an installment agreement if you can pay the balance within 120 days (see #5 below).

Fees or cost: For online payment agreements, the application fee is $149, or $31 if payments are made electronically. $43 for low-income taxpayers. To apply for lower application fee, submit Form 13844.

Action required: Complete an online payment agreement or Form 9465. You won’t need to submit a financial statement for installment agreements of $50,000 or less. You can also get an expert to evaluate your situation and identify your best solution.

Advantages or disadvantages: If you set up an installment agreement, the penalty on your unpaid balance reduces to 0.25% per month, until you pay the full balance on schedule. Interest is charged at the short-term federal rate plus 3% (interest may change each quarter).

Generally, the IRS can void agreements if you don’t pay on schedule.

Forms: Form 433-A or Form 433-F is required if the balance is more than $50,000. You can pay through payroll deductions (Form 2159, Payroll Deduction Agreement).

Related: Does an installment plan or IRS debt show up on a credit report? Find out from our experts

2. Request a short-term extension to pay the full balance.
The IRS will provide up to 120 days to taxpayers to pay their full tax balance.

Fees or cost: There’s no fee to request the extension. There is a penalty of 0.5% per month on the unpaid balance.

Action required: Call the IRS at (800) 829-1040 or get an expert to handle it for you.

Advantages or disadvantages: This option is convenient for taxpayers who need a short time to pay their full tax bill. The IRS will charge interest at the short-term federal rate plus 3% (interest may change each quarter). With short-term extensions, you avoid the installment payment application fee (see #1), but not late-payment penalties and interest.

3. Apply for hardship extension to pay taxes.
The IRS offers options for people in hardship situations, including currently not collectible status and the offer in compromise. For an extension based on hardship, you’ll qualify only if you can prove that paying the tax you owe would cause financial hardship, based on IRS financial standards.

Fees or cost: There’s no cost to apply. There are no penalties, but interest is calculated at the short-term federal rate plus 3% (interest may change each quarter).

Action required: File IRS Form 1127, Application for Extension of Time for Payment of Tax Due to Undue Hardship. You must include a statement of your assets and liabilities.

4. Get a personal loan.
You could ask a personal contact – maybe a friend or family member – to loan you the money. Fees and cost will vary widely depending on the source. This could be an inexpensive option, but use your best judgement.

5. Apply for a tax Settlement:

Call our office for a free tax evaluation to see if tax forgiveness is right for you.

6. Use a debit/credit card.
Various service providers are available for this option.

Fees or cost: Varies; generally about $2.49 to $3.95 (debit card) or 1.87% to 2.35% of the tax balance due (credit card)

Action required: Check with the IRS for a list of service providers.

Advantages or disadvantages: This type of payment is convenient and gives taxpayers greater control and flexibility for making payments. They may also earn points, miles, or other credit card rewards. However, higher credit card balances could negatively impact your credit score, and paying with credit may not be appropriate for people with unmanageable credit card debt.

GET TAX RELIEF HELP TODAY


If you think that you may need help filing your 2017/2018 tax return and past due tax returns, you may want to partner with a reputable tax relief company who can help you get the max refund and reduce your chances for an IRS AUDIT.

Advance Tax Relief is headquartered in Houston, TX with a branch office in Los Angeles, CA. We help many individuals just like you solve a wide variety of IRS and State tax issues, including penalty waivers, wage garnishments, bank levy, tax audit representation, back tax return preparation, small business form 941 tax issues, the IRS Fresh Start Initiative, Offer In Compromise and much more. Our Top Tax Attorneys, Accountants and Tax Experts are standing by ready to help you resolve or settle your IRS back tax problems.

Advance Tax Relief is rated one of the best tax relief companies nationwide.

Call our team today at 800-790-8574 for more information. For a free consultation, schedule an appointment with us online. Feel free to also learn about us and contact us via www.advancetaxrelief.com.

However, it doesn’t matter where you live, we service taxpayers nationwide. We have settled millions in back tax penalties and interest for our clients nationwide.

Advance Tax Relief is a Professional Tax Relief Organization