Can I Consolidate My Back Taxes Owed to the IRS?


by Alexandra Tapp on March 27, 2019  0 Comment

Can I Consolidate My Back Taxes Owed to the IRS?
Debt consolidation involves taking out a loan that covers all your outstanding debts, paying them off, and then repaying that loan in the form of a single monthly payment. You can consolidate just about any debt with this process, including most tax debt owed to the IRS. The IRS offers its own options for tax debt repayment, including the offer in compromise debt relief program and installment plans, but not all taxpayers will qualify for these options.Debt consolidation is an option that can help you get your financial situation back on track, especially if you have multiple creditors trying to collect payment. One question that often comes up when looking into debt consolidation is whether you can consolidate the ...

Should I Get a Loan to Pay Off My Back Taxes?


by Alexandra Tapp on March 06, 2019  0 Comment

Should I Get a Loan to Pay Off My Back Taxes?
If you qualify, you can get a personal loan to pay off your tax debt, but weigh the pros and cons of doing so first. When getting a loan, compare interest rates among several lenders, and pay attention to fees and requirements before making your decision. Other tax relief options include using a credit card, using a home equity line of credit, getting an offer in compromise, or paying it off in installments.When faced with a tax bill you can't afford, things can seem bleak. Tax debt isn't something you want to fall into. And if you don't pay off your taxes in a timely manner, the Internal Revenue Service (IRS) isn't very forgiving. Fortunately, you have options — one ...

What Is a 941 Tax Lien?


by Alexandra Tapp on March 06, 2019  0 Comment

What Is a 941 Tax Lien?
All employers must fill out and submit Form 941 on a quarterly basis to report the federal income tax, Social Security tax, and Medicare tax they've withheld from their staff's paychecks. Failure to pay employment taxes can result in the government placing a lien on your business, which can have serious repercussions for your company's credit, finances, and assets. To release a tax lien on your business, you must pay all taxes owed, either in one lump sum or with the assistance of a discharge, withdrawal, or subordination.As a business owner, you're responsible for collecting payroll taxes from your employees using Form 941 and paying those taxes to the government. Failing to do so can result in the Internal ...

What If You Get a Call From the IRS Tax Lien Phone Number?


by Alexandra Tapp on March 06, 2019  0 Comment

What If You Get a Call From the IRS Tax Lien Phone Number?
If you do not pay your taxes, the federal government can put a tax lien against your property that gives it legal rights to your assets over other creditors. If you receive a call from the IRS claiming or threatening to put a lien on your property if you don't pay your taxes, it might be a scam that's reportable to the Treasury Inspector General for Tax Administration and the Federal Trade Commission. If you do have tax debt, only trust communication from the IRS through the proper avenues, and work to pay off the amount owed as soon as possible.Getting a phone call from the Internal Revenue Service (IRS) can be concerning, particularly if it's regarding unpaid taxes ...

How to Handle a California State Tax Lien


by Alexandra Tapp on March 06, 2019  0 Comment

How to Handle a California State Tax Lien
If you live or work in California and do not pay your state taxes on time and in full, the state can place a lien against your property or business, claiming legal rights to it until you've paid your debt. Options for having a lien against you lifted, depending on the circumstances, include paying your tax debt entirely, paying in monthly installments, applying for an offer in compromise, or appealing the lien. It's important to take care of liens as soon as possible to avoid paying more in the long run, damaging your credit, having your possessions seized, having your bank account frozen, or getting your wages withheld.California residents who do not pay their state taxes on time can ...

How Do You Remove a California State Tax Lien?


by Alexandra Tapp on March 06, 2019  0 Comment

How Do You Remove a California State Tax Lien?
If you have unpaid state taxes in California, the state can issue a tax lien, which is a legal claim to your property to ensure you pay your tax debt. It's important to have a California state tax lien removed to prevent your credit from suffering, allow you to sell or refinance your property, and ensure that you can get funding in the future. Ways to remove a California state tax lien include playing your entire tax debt plus fees in one lump sum, setting up a monthly payment plan, applying for an offer in compromise, or proving the lien was filed in error.The state of California takes tax debt seriously. If you live or work in California and ...

Steps for Completing IRS Offer in Compromise Form 433-A


by Alexandra Tapp on February 28, 2019  0 Comment

Steps for Completing IRS Offer in Compromise Form 433-A
If you're applying for an offer in compromise due to doubt as to collectibility or effective tax administration, you'll need to submit Form 433-A to the IRS. Offer in compromise Form 433-A is an eight-page worksheet comprised of 10 sections and lots of documentation to prove your financial status. You might want to hire a tax professional to help you complete the offer in compromise Form 433-A correctly for the best chance at getting approved.If you cannot pay off your tax debt for legitimate reasons, the Internal Revenue Service (IRS) might allow you to settle for less than the full amount. This is called an offer in compromise. While the end result is advantageous for those needing help paying ...

What You Need to Know About Offer in Compromise Regulation


by Alexandra Tapp on February 28, 2019  0 Comment

What You Need to Know About Offer in Compromise Regulation
The IRS has stringent rules and requirements for qualifying for an offer in compromise, which allows taxpayers to pay less taxes than they owe. In determining whether you are eligible for an offer in compromise, the IRS will calculate your reasonable collection potential or the amount it can legitimately expect you to pay in taxes. You must adhere to offer in compromise regulations and make the agreed-upon payments properly so as not to default on your offer.Individuals who owe more in taxes than they can realistically afford to pay have several tax debt relief options available to them. One of those is an offer in compromise, in which the Internal Revenue Service (IRS) agrees to allow the taxpayer to ...

Understanding Your Offer in Compromise Tax Refund


by Alexandra Tapp on February 28, 2019  0 Comment

Understanding Your Offer in Compromise Tax Refund
You can lower your tax debt by qualifying for an offer in compromise but must adhere to strict requirements to avoid default. Understand that you won't receive any tax refund for the period during which the IRS is considering your offer, as well as in the following year If you're not going to receive a few years' worth of tax refunds, plan accordingly by adjusting your budget, withholdings, deductions, and investments as needed.You've submitted an offer in compromise to the Internal Revenue Service (IRS), and it's been accepted. This means the IRS has agreed that you cannot reasonably pay off your entire tax debt and that it's in both your and their best interest to let you pay a ...

Do You Need an Offer in Compromise Attorney?


by Alexandra Tapp on January 29, 2019  0 Comment

Do You Need an Offer in Compromise Attorney?
You might be able to pay fewer taxes than you owe through an offer in compromise with the IRS. You might be eligible for an offer in compromise if you can prove there's a mistake on your taxes, you cannot feasibly pay the full amount you owe, or paying off the full amount would cause you significant financial hardship. An offer in compromise attorney can help you through the process by properly handling all the necessary paperwork, communicating with the IRS, reducing the time and stress placed on you, and giving you guidance and peace of mind. Do you owe tax debt? Don't panic. The Internal Revenue Service (IRS) has options for individuals struggling to pay off their full ...