Tax Relief | IRS Problems | IRS Help | FAQ

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• Frequently asked questions about IRS problems. Contact us for more information and our IRS help agents will provide you with the IRS tax relief you need.
  

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What is the best way for me to avoid having my wages garnished?

• In order to avoid having your wages garnished, you should pay your tax liabilities as they are incurred.  If you’re unable to do so, it is extremely important to contact the IRS and set up an installment agreement.  Once you agree to the payment plan, you must stick to it and if you default on the agreement, the IRs may cancel the agreement and request full payment in order to avoid a wage garnishment in the future.

What is the best way to inquire about the history and reputation of a Tax Resolution Firm?

• By going to the Better Business Bureau’s website or by calling them directly, you can inquire about their rating and see how many complaints have been filed against the company.  You can also contact your State Attorney’s office to inquire about complaints filed against the company.

Can I apply for an Offer in Compromise if I am currently set up on a Payment Plan?

• Even if you are currently on a payment plan with the IRS, you may apply for an Offer in Compromise.  The IRS will keep any payments already mad and apply them towards the tax liability. The same goes for monies collected from seizures & levies.

The IRS Agent has requested to meet with me at my home.  Am I required to allow them this level of personal access?

• The only situation in which the IRS is legally allowed to enter your home is a situation where they have an order from a court.  Court orders for this sort of access are extremely unordinary.    Otherwise, any access to your home must include your expressed consent.  Their reason for requesting access to your home may be so that they can verify certain deductions on your tax return and a refusal to allow access to your home may result in a disallowance of that particular deduction.

Can my home be seized by the IRS?

• In order for the IRS to seize your home, they must obtain a written court order.  This action cannot be initiated by an IRS agent on their own.  It is bad publicity to have public news of the IRS seizing people’s homes.  There are laws in place which discourage the seizure of a taxpayer’s primary residence but secondary homes are not viewed as necessary housing and the IRS will attack those properties on a regular basis.  A Tax Resolution Firm can assist you in having seizures released.

Do I have the option to offer the IRS less than the total amount that I owe them?

• If your ability to pay is in doubt, you may qualify for an Offer in Compromise, a lower payment plan or you may even have the option to be declared non collectible meaning that the IRS will not be able to collect from you at this time and they may re-evaluate your ability to pay in 6 months, a year or two years.  Properly applying for the favorable options is extremely difficult to correctly do.  If the forms and procedures are not strictly followed, the IRS will reject your offer or payment plan request and you will further delay the proceedings, will have wasted your valuable time and will cost yourself additional interest & penalties.  The best option is to contact a tax resolution firm to assist you in preparing these offers

If I don’t agree with the auditors assessments, do I have the ability to fight their determinations?

• Yes.  You have the right to appeal a determination made by IRS agents on audits.  You can request an appeal and meet with a department which is independent of the IRS division which prepared the audit results.  You have the option to file a   tax court petition if your appeal does not succeed.  Close to 50% of people who go to court and contest the auditors determination are successful in decreasing their tax liability.

Will I be charged interest & penalties if I do not file my taxes on time?

• Although .5% seems small for a late payment penalty, when you consider that it may be a few years before they catch up to you, this figure may be nearing 20%.  Your combined late filing & late payment penalty is 5% per month up to 25% or 5 months.  When you consider that they may be contacting you well after that 5 month period, this will be 25% often times.    Additional penalties may be assessed by the IRS for other reasons.  Some of these reasons include but are not limited to tax evasion, fraud and frivolous tax returns.  If you fail to file your taxes and it is determined to be fraudulent, the IRS may impose additional penalties including criminal charges.