The IRS is about the worst organization to owe money to because they have so much power to levy your income and assets. However, in most cases there are things you can do to pay them over time or settle the debt. The following are some things that you might be able to do:
1-Payment Arrangements: If you can afford to pay the debt on monthly payments over 3 to 5 years, or if you can show a hardship, we can usually arrange monthly payments to fit your budget.
2-Fresh Start Initiative: If you owe the IRS less than $50,000 we can usually set up a payment plan without providing income or financial information. Some future penalties may be eligible for waiver.
3-Offer in Compromise: This process is very difficult, but if you can show the IRS will eventually get more by allowing you to pay less than you owe than if no deal is made, we can sometimes get IRS to agree to reduce the amount you owe if you can show you can pay the debt over a period of time. This process is very difficult and we must know your complete situation before we could advise you whether this would work for you.
4-Bankruptcy: If your tax returns were filed by you, and at least three years have passed, you might be able to eliminate them by filing bankruptcy. Once again, this process depends on your exact situation, so we must know your complete situation to advise you if this process would work.
If you are interested in discussing any of these or other options, please contact us. We offer a free initial consultation.