OWE BACK TAXES? STOP PANICKING & START PLANNING

If you owe back taxes to the IRS, some amount of panic is understandable. After all, the Internal Revenue Service has the power of the federal government in its corner, something no other debt collector can claim. They are considered the most brutal collection agency on the planet.

It is easy to freeze up and just do nothing when you owe back taxes to the IRS, but hiding from, or doing nothing about your tax debt will not make it go away. In fact, ignoring the taxes you owe will only make the situation worse, since interest and penalties can really add up. You also risk having your paycheck garnished (the IRS does not need a court order to do this) or your bank account levied. The IRS can also file a Notice of Federal Tax Lien making it all but impossible to obtain financing for a car or home.

 

NEED HELP WITH AN OFFER IN COMPROMISE, TAX DEBT HELP, TAX PREPARATION, AUDIT REPRESENTATION OR STOP WAGE GARNISHMENTS?

 

ADVANCE TAX RELIEF LLC

Call (713)300-3965

www.advancetaxrelief.com

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So instead of panicking about your tax debt and hoping the problem will go away, you need to take some proactive steps. Now is not the time to panic and hide - now is the time to start taking action. 

 

 

Some of these steps you can do on your own if you’d like, while others will likely require the intervention of an experienced tax resolution expert. Here are some proactive steps you can take to get a handle on your tax debt. If you need help resolving your IRS tax problem, contact us here. We help people with IRS problems every day. 

 

Confirm the Amount Owed

 

When you owe back taxes, one of the first things you should do is make sure you really owe the money. The IRS has been known to make mistakes, a lot of mistakes, and the agency is far from foolproof. Contact the IRS or have us do an IRS transcript analysis to determine the amount the IRS claims you owe.

 

Seek Out Deductions You May Have Missed

 

At the very least, you may not owe as much as you think you do, and every dollar you can remove from the bill is one more dollar in your favor. Now is the time to scour your past and current tax returns, looking for deductions and tax credits you might have missed. 

 

Unless you are a seasoned tax expert, you will probably need some professional assistance to make this happen. If you are already working with a CPA or tax expert, you can ask them to look at your past tax returns but only a tax resolution expert, who helps people like you for a living, can protect your income and assets as you go through the process.

 

If you missed a few deductions and tax credits along the way, your tax professional can file amended returns on your behalf, lowering the amount of tax debt you owe - and possibly eliminating it altogether. However, you usually can’t go back more than 3 years to amend returns.

 

Look for Special Programs You May Qualify For

 

The bad news is the IRS wants its money and has the power to collect it. 

 

The good news is the tax agency also offers several programs tax filers can use to make the repayment process easier. In some cases, the IRS may even be willing to settle for less, possibly much less, than the total amount of back taxes you owe. 

 

These programs are not available to everyone, and if you have the resources needed to pay your back taxes, the IRS is unlikely to give you much of a break. But if your resources are limited, the tax agency may decide that a small amount of tax repayment is better than none at all.

 

The first step in the process is finding the programs for which you might qualify, and that will probably require the help of an experienced tax resolution expert. Negotiating with the IRS is not an easy thing to do, and you may need help to drive the best bargain and reduce your back taxes. In the end, it may be well worth paying a tax relief expert to negotiate on your behalf, especially if you end up with a much lower tax bill. 

Contact Advance Tax Relief to Help Deal with Back Taxes

If you have a tax levy on your paycheck or the IRS is threatening you with one, you need a tax professional who specializes in tax debt relief on your side.

Seeking professional help when handling back taxes can help you avoid the discussed errors. At Advance Tax Relief, we offer specialized tax resolution services to help you deal with IRS debt.

 

Our experts can help rectify erroneous tax bills and guide you in picking a suitable repayment program. Contact us today (713)300-3965 for back tax filing and tax relief services.

 

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

 

#FreshStartInitiative

#OfferInCompromise

#TaxPreparation 

#TaxAttorneys

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#TaxHelp 

#TaxRelief

#BestTaxReliefCompanies

IRS TAX LIENS AND HOW TO HANDLE THEM

What Is an IRS Tax Lien?

So what exactly does a federal tax lien entail? The answer is that an IRS tax lien is different for everyone. They can be complicated and often vary in form depending on what your individual situation is.

Essentially, an IRS tax lien is the government’s claim against you as a result of you neglecting or failing to pay a tax debt. It can place a lien on some or all of your property, depending on how much you owe. These assets can include any personal or real estate property and your financial assets.

The lien may occur at the state level or at the federal level. A tax lien doesn’t necessarily mean that the IRS will seize your property but rather it ensures they have first dibs on it over other creditors.

NEED HELP WITH AN OFFER IN COMPROMISE, TAX DEBT HELP, TAX PREPARATION, AUDIT REPRESENTATION OR STOP WAGE GARNISHMENTS?

 

ADVANCE TAX RELIEF LLC

Call (713)300-3965

www.advancetaxrelief.com

BBB A+ RATED

 

What Steps Are Taken Leading up to The Lien?

Before a tax lien is placed on your property, there are steps the IRS will take, including attempts to contact you and inform you of a debt owed.

The IRS will put your balance (whatever you owe) on the books and will send you a “Notice and Demand for Payment.” Once you have neglected to pay the debt on time, they will file a public document called a “Notice of Federal Tax Lien” in order to alert creditors that the government has a legal right to your property.

Not only can this be a terrifying notice to receive, but it can also be embarrassing and has the potential to greatly affect both your job and your life. But you are not alone. In fact, over 600,000 federal tax lien notices were filed in 2013.

 

How Do You Get Rid of the Lien?

The easiest way to get rid of a federal tax lien is to pay your bill. But more often than not, that isn’t a financial option for the individual or business affected by the lien.

Another way to potentially remove a tax lien is to enter into a Direct Debt Installment Agreement with the IRS. It’s essentially a contractual payment plan that you enter into with the IRS. To acquire payment, the IRS will remove the agreed upon amount from your bank account each month until the debt is paid.

Another way to get rid of the lien is to prove that the IRS didn’t follow procedures correctly when filing the lien. While it’s not a common occurrence, it can happen and it’s essential to check it out as a possibility when facing the detriments of a lien.

 

The expiration of the statute of limitations is another way the lien will disappear. If the debt has passed collection statutes then the debt could ultimately disappear. This isn’t necessarily a viable option though as waiting it out could cause many awful and embarrassing bumps along the way. Furthermore, the IRS has ways of extending statutes, depending on the individual situation.

 

What About Tax Forgiveness?

In 2008, the IRS launched a program called the Fresh Start Initiative. It includes an Offer in Compromise which allows for certain individuals to pay less than what they owe. 

 

The IRS will consider your income, expenses, asset equity, and ability to pay in determining if you’re eligible and if so, what that amount will be. It can be easier than you think.

 

In fact, anyone who doesn’t have the ability to pay their debt has the potential to qualify for this break. Wage garnish relief is another option. This is when the IRS takes a certain amount from your paycheck each time you get paid. But if you can prove that you aren’t left with enough to survive after the amount is taken out, you can get released from the program.

 

You can also file for “uncollectible status” which temporarily freezes your account with the IRS and buys you some time to get back on your feet so that you can eventually pay your bill in full or enter into a payment agreement contract.

 

The statute of limitations for the IRS to collect a debt is typically 10 years. If you’re close to that point when a federal tax lien is placed on your assets, it might be in your best interest to wait it out.

 

What Is an IRS Tax Lien Going to Do to Your Life?

Even though we’ve covered the basics, you may still be wondering, “What is an IRS tax lien?” If you are, you’re not alone. It’s safe to say that if you’ve reached this point, your best bet is to hire a professional tax expert who can help you get out of your unfortunate situation.

 

Believe it or not, there are still things which could make your situation worse like opting not to file the current year’s taxes. 

 

Letters are daunting but the smartest thing you can do is decide to stop avoiding them. Even though it might seem impossible, there are many options in creating a path for yourself that will lead you to financial freedom. 

 

Contact Advance Tax Relief to Help Deal with Back Taxes

If you have a tax levy on your paycheck or the IRS is threatening you with one, you need a tax professional who specializes in tax debt relief on your side.

Seeking professional help when handling back taxes can help you avoid the discussed errors. At Advance Tax Relief, we offer specialized tax resolution services to help you deal with IRS debt.

 

Our experts can help rectify erroneous tax bills and guide you in picking a suitable repayment program. Contact us today (713)300-3965 for back tax filing and tax relief services.

 

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

 

#FreshStartInitiative

#OfferInCompromise

#TaxPreparation 

#TaxAttorneys

#TaxDebtRelief

#TaxHelp 

#TaxRelief

#BestTaxReliefCompanies

ARE YOU SELF-EMPLOYED? HERE'S HOW TO PREPARE FOR TAX TIME AND AVOID GETTING INTO TAX DEBT

 One of the biggest stories in the world of business is the growing shift toward self-employment. An ever-increasing number of men and women are saying goodbye to their colleagues, their cubicles, and their corporate overlords, choosing instead to make their own way in life.

 

 

If you are one of these self-employed individuals or a new member of the gig economy, tax filing season could be more complicated than you think. Instead of merely plugging in the numbers from your W2, you will need to gather multiple forms, crunch the numbers, seek out deductions and look for solutions to tax problems you did not even know existed.

 

NEED HELP WITH AN OFFER IN COMPROMISE, TAX DEBT HELP, TAX PREPARATION, AUDIT REPRESENTATION OR STOP WAGE GARNISHMENTS?

 

ADVANCE TAX RELIEF LLC

Call (713)300-3965

www.advancetaxrelief.com

BBB A+ RATED

 

Faced with those difficulties, you will want to start your tax planning early. Here is a step-by-step plan for making the April 18 tax filing deadline a little bit less daunting.

 

Note: If you find yourself in tax debt, owe back taxes or are under audit, our firm can help negotiate with the IRS and potentially settle your tax debt. As a tax resolution firm, we always recommend that you reach out to a professional who knows how to aggressively negotiate and defend you against the IRS on your behalf. Call us today (713)300-3965. Our tax resolution firm can navigate the IRS maze so that you have nothing to worry about.

 

Verify Your Advance Tax Payments

The only thing worse than paying money to the IRS is not getting credit for it. As a self-employed individual or gig worker, you have probably made advanced payment to the tax agency on a quarterly basis, so dig out those canceled checks, grab those receipts and get ready for tax time.

 

When you file your taxes you will need to input the dates you submitted those quarterly payments, and those days may or may not coincide with the formal schedule laid out by the IRS. 

 

Add Up Your Income

Even if you are relying on your clients to issue 1099 forms, it is a good idea to tally up your income on your own. Keep in mind not all clients may issue 1099s, and the ones that do could report inaccurate or incomplete figures, and by adding it up on your own you will be able to catch these problems early, while replacement forms can still be issued. Also, all income received is required to be reported whether or not a 1099 is issued.

 

Adding up your income will also serve a number of other purposes, each important to your timely tax filing and the maximizing of your hoped-for refund. For one thing, knowing how much you earned will allow you to maximize retirement plan contributions aimed at the self-employed, a big potential savings you might otherwise miss out on. Adding up your earnings will also allow you to estimate your tax due or refund, giving you time to prepare and helping you avoid an unpleasant shock when April 18 rolls around.

 

Tally Your Expenses

The world of self-employment can be taxing, but there are also potential savings to be had. As a self-employed individual or member of the gig economy, you may be able to write off everything from office supplies and furniture to computers and gasoline for your car.

 

Now is the time to tally your expenses so you do not miss out on a valuable deduction when filing season rolls around. Be sure to look at expenses that may have been paid automatically as well, including recurring payments for routine costs like internet access and phone service.

 

Seek Out Additional Deductions

The calendar year may be over, but you still have time to reap some valuable deductions. Now that you know how much you have earned in self-employment income, you have the opportunity to seek out new deductions and maximize the ones you have already taken.

 

If you participate in a retirement program for the self-employed, for instance, you can contribute additional money up to the tax filing deadline, giving you a chance to pile current earnings in and apply them against the taxes that would otherwise be due. These generous tax breaks for retirement savings are among the most valuable for the self-employed, and you still have time to take advantage of them.

 

It goes without saying that you should consult a tax expert for specific questions about retirement plan contributions, possible deductions, and other applicable subjects. Even if you plan to file your own taxes, consulting with an expert could save you a lot of money.

 

Run the Numbers through a Tax Estimator

For many in the self-employed community, early filing is simply not an option. If you have investments in a brokerage account, for instance, you may not receive the tax forms you need until well into February or even March, making tax planning that much more difficult.

 

The fact that your personal tax filing season will likely be delayed is certainly frustrating, but it does not mean you cannot run the numbers on your own. You can estimate your tax bill online using the figures you have already compiled, giving you a good idea of what to expect when the real filing season rolls around.

 

A number of tax preparation companies, including big names like H&R Block and Intuit, provide free online calculators, so you can assess your tax situation well in advance. If you prefer you can simply enter the numbers you do have into your favorite tax filing software program for a fast and easy estimate.

 

Tax filing season is stressful for nearly everyone, but it can be a particularly challenging time for gig workers and the self-employed. From chasing down forms from reluctant clients to finding deductions that will lower the tab, the self-employed and members of the gig economy must overcome many hurdles by the time the tax filing deadline rolls around, and the sooner they get started the easier their lives will be. The tips listed above will help you slay your own personal tax demons, so you can rest easy and focus on building your business.

 

If you find yourself a large surprise tax bill or a collection notice from the IRS, the steps you take next are absolutely critical. Trying to take on the IRS on your own is a dangerous, and potentially expensive thing to do, and you should always contact a tax resolution firm.

 

By working with an expert, you can gain access to vital information about small business settlement programs the IRS offers. You can gain access to the expertise you will need to settle your tax bill for less than you owe and get back in the good graces of the IRS. Time is of the essence when the IRS comes calling, and with the interest and penalty clock ticking you do not have one second to waste. So call us, your tax resolution expert, for a case evaluation.

 

Contact Advance Tax Relief to Help Deal with Back Taxes

If you have a tax levy on your paycheck or the IRS is threatening you with one, you need a tax professional who specializes in tax debt relief on your side.

Seeking professional help when handling back taxes can help you avoid the discussed errors. At Advance Tax Relief, we offer specialized tax resolution services to help you deal with IRS debt.

 

Our experts can help rectify erroneous tax bills and guide you in picking a suitable repayment program. Contact us today (713)300-3965 for back tax filing and tax relief services.

 

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

 

#FreshStartInitiative

#OfferInCompromise

#TaxPreparation 

#TaxAttorneys

#TaxDebtRelief

#TaxHelp 

#TaxRelief

#BestTaxReliefCompanies