The Differences Between a Tax Levy and a Tax Lien

Levies and liens are two of the tools that the IRS uses to collect debts owed by taxpayers. Both can adversely impact the taxpayer, but there are procedures by which both can be released or removed.

A tax levy, as defined by the IRS, is the legal seizure of your property in order to satisfy a tax debt. Some property that can be seized by the IRS and sold to pay off the debt is your home, car or boat. The IRS can also levy wages, retirement accounts, rental income, and even the cash loan value of your life insurance.

If the IRS issues a notice to you that it intends to seize your assets, you have 30 days to challenge the levy or to attempt a resolution through a payment plan or by paying the amount you owe in full. If you need additional time to consider your options or to arrange payment, you can file for a stay of collections that will allow you an additional 90 days.

The IRS may also opt to release a levy if it determines that the levy would create an immediate economic hardship. While this release doesn't mean you don't have to pay the money, it does allow for you to work toward a resolution with the IRS.

A tax lien gives the government a legal claim to your property. Unlike a levy, the lien doesn't grant possession of your assets, but merely grants the rights to receive any income you receive from the selling of those assets in order to satisfy your debt. Having a lien placed on your property is harmful to your credit and may make it difficult for you to do business or to sell your assets.

A new tax policy allows for the process of "withdrawal" from a lien when the debt is paid in full or the taxpayer has enrolled in a payment plan that -- once completed -- will result in the debt being paid. Withdrawal of the lien causes the bad information to come off the taxpayer's credit report faster than any other detrimental issue. It is important to note, however, that the withdrawal process only applies to federal tax liens. State-level liens will remain as negative information on your credit report.

You may also have the opportunity to have the tax lien removed if you can prove in court that the tax has already been paid, the IRS failed to followed proper procedures, you were in bankruptcy when the lien was filed or the statute of limitations on collecting the debt has already passed.

If you have received a notice of the government's intent to file a levy or a tax lien, it is important to act right away in order to avoid the consequences of these actions. Optima Tax Relief has experience working with the IRS and can help you find relief from a tax debt by negotiating a solution for you. For a free consultation and to learn more about your options for resolving your tax debt, contact us.

Devin Finley is a freelance writer and tax relief expert. Devin writes on a multitude of financial and legal topics. He enjoys collaborating and strategizing with other professionals to ensure tax & debt clients receive competent and beneficial representation. For more information Visit http://optimataxrelief.com/

Getting Proactive Will Help You Avoid an IRS Tax Levy

If you have received an IRS final notice of an impending tax levy, you have undoubtedly not been answering your mail. Once that levy descends on you, its icy fingers can freeze your bank account, seize your personal and real property and essentially put everything you have at the service of the IRS until the debt is paid.

 Before the foregoing disastrous scenario plays out, and while there’s still time, you can avoid a tax levy through a number of proactive measures on your part:

• Do not ignore the IRS notices. If you get into what is known as the “IRS notice stream” and do nothing, the IRS occupies the high ground, and you have lost time. When you receive the first notice, follow the instructions and get busy clearing up the problem.
• Talk to the IRS rep and see about arranging a time payment agreement. The recent IRS Fresh Start Initiative might help in making it easier for you to arrange direct debit payments.
• Look into the IRS Offer in Compromise as a possible way of reducing the amount of tax you owe. If you are truly financially destitute and do not have the assets that can be liquidated to settle your debt, you might qualify.
• Don’t stall. If the IRS determines that you are dragging your feet, they have the option to immediately impose the levy, even while considering your request.

 On the other hand, if you believe your tax levy is based on an IRS mistake, get some professional tax assistance. Log on to Optima Tax Relief for a free assessment. For More Information Click Here.

IRS Fresh Start Initiative Reduces Number of Liens Filed

If an individual fails to pay his or her tax debt, and is facing an IRS audit, a federal lien may be filed against the individual's property. And property doesn't just mean one's home. It means virtually everything a person owns -- real estate, financial assets and even vehicles—is at risk.

Formerly, a Notice of Federal Tax Lien -- which alerts creditors that the government has a legal right to the property owned by the taxpayer -- could be filed by the IRS when the taxpayer's debt had reached $5,000. However, due to the IRS Fresh Start Initiative, the threshold for filing the Notice of Federal Tax Lien is now $10,000. And while the notice may still be filed at a lower amount, it isn't an automatic process as it was before.

According to a Huffington Post blog by Steve Rhode, the changing of the rules two years ago regarding when the lien can be filed has resulted in dramatically fewer filed liens. 32 percent fewer from 2011 to 2012, in fact. And that's a good thing for taxpayers, Rhode wrote, as having a Notice of Federal Tax Lien filed against you can result in a loss of an average 100 points from your credit score. A Notice of Federal Tax Lien is public record and in some cases, it can also reduce your ability to secure and maintain credit or even impact your ability to get a job.

If you are facing tax debt, there are other important components of the Fresh Start Initiative that may also help you, including the waiver of penalties in some cases, a streamlined process for making an Offer In Compromise, and new guidelines for Installment Agreements.

If you want to know if you qualify for assistance through the Fresh Start Initiative and begin working toward a solution for your tax debt, let Optima Tax Relief help you. Contact us today.Top of Form

Author:

Devin Finley is a freelance writer and tax relief expert. Devin writes on a multitude of financial and legal topics. He enjoys collaborating and strategizing with other professionals to ensure tax & debt clients receive competent and beneficial representation. For more information Visit http://optimataxrelief.com/

A Tax Levy Never Comes Without Warning

If your tax return has been audited and the IRS finds that you owe the government, you will receive the equivalent of a “shot across the bow” -- a formal notice and demand for payment. If you ignore the subsequent final warning, the IRS brings out its “big gun,” the tax levy.

 Unlike its homophone levee, an embankment built to contain flooding, an IRS levy can inundate your bank, your employer and others who control funds on your behalf. The IRS simply seizes or freezes your assets -- cash and other property -- in payment for back taxes.

 Your bank manager and employer have no choice but to comply. Your bank must freeze your accounts, and your employer must start deducting from your pay.

 So the best advice when it comes to avoiding a levy is this: read the IRS notice carefully and do not procrastinate. The notice will specifically tell you that the IRS intends to issue a levy against your property or rights to the property because you have a balance due on your tax. It will also indicate the amount of the payment due, when it is due along with payment options. 

 At this point, the IRS will immediately begin searching for other assets you have -- retirement accounts, business accounts receivable, stock dividends, cash loan value on your life insurance, to name a few.

 Before that final notice comes in and time runs out, you should consider getting some professional tax assistance. If you’re facing a tax levy or lien, you can get help and expert representation at Optima Tax Relief.  \
For More Information Click Here.

The IRS Tax Levy Casts a Wide Net

What is an IRS tax levy, and what can it do to your financial health? A tax levy is a legal seizure of your assets for nonpayment of taxes. The levy gives the IRS the power to seize and sell off your property, freeze your bank accounts and make a claim on your paycheck. A levy differs from a lien, in that the latter is a legal claim on your property that prevents you from selling it without giving the IRS its cut first.

 So as far as your financial condition is concerned, a levy actually subtracts from your net worth. The tax people take over your property and sell it out from under you. Levies even extend to any cash value of an active life insurance policy, giving credence to the claim that when it comes to tax delinquency the IRS may not own your soul, but it has a big claim on your body.

 If the IRS audits your tax return and determines that you owe more, you will receive an official Notice and Demand for Payment. Ignore the notice or refuse to pay the bill and you can expect another formal notice with the dauntingly long title Final Notice of Intent to Levy and Notice of Your Right to A Hearing (short title: levy notice).

 You should at this point actually take notice, because you have 30 days before the IRS starts coming after your property. There are ways to get a tax levy lifted, and we at Optima Tax Relief can help. Check us out and get a free assessment from one of our senior tax experts. For More Information Click Here.

Your Pathways To Settle Your Tax Debt

If you are on the receiving end of a final formal notice from the IRS, you have no option other than to settle your tax debt. Your first and best option in avoiding tax levies or IRS liens on your property is obviously to pay up. Unfortunately, you have probably arrived at loggerheads with the tax people because you cannot pay.

But you have options in seeking tax debt relief, and they all involve working closely with the IRS and surrendering to the inevitability that at least some of that debt must be discharged. You can (1) work out a time payment/installment plan with the IRS or (2) submit an Offer in Compromise. Before you can pursue either path, the IRS requires that you:

• File all your tax returns.
• Investigate and consider every other resource you have -- loans, credit card, property you can sell -- to pay off your tax debt. Considering that a tax levy would go after all your assets, you might as well do this yourself before that happens.

 How to apply for an installment agreement

• You can apply online if your tax debt (combined with penalties or interest) is $50,000 or less.
• You can contact the IRS office by calling the number on your bill or notice.
• You must complete their Form 9465, Installment Agreement Request (and Form 433-F, Collection Information Statement if you owe more than $50,000.)

The IRS charges application fees of $52 for direct debit, $105 for a payroll deduction agreement and $43 if your income is below a certain level.

How to apply for an Offer in Compromise

You can settle your debt for less than the full amount you owe by applying for an Offer in Compromise. Your first step is to make sure you are eligible. Go on line to the IRS webpage and complete the Offer in Compromise Pre-Qualifier.

If you are eligible, you can find the step-by-step instructions and the forms you need by going to the links on the IRS webpage Offer in Compromise. You’ll also need to enclose a $150 non-refundable application fee as well as an initial tax installment payment. You can choose a lump sum cash or periodic payment option, but each option chosen must be accompanied with a check.

How to proceed if you have doubts as to your tax liability

The IRS Offer in Compromise webpage has a link to its Form 656-L, Offer in Compromise Doubt as to Liability. It discusses the process and is well worth reading through. The most telling caveats in the document are these:

“You must provide supporting documentation or evidence that will help the IRS identify the reason(s) you doubt the accuracy of the tax debt.

And

“You must include a written statement explaining why the tax debt or portion of the tax debt is incorrect.”

Those two statements alone might convince the average taxpayer that it is time to get some expert tax debt relief help. If you fall within the average taxpayer category, don’t feel alone. The IRS rides herd on a vastly complex Tax Code, along with its own detailed regulations and procedures designed to protect the IRS and its ability to collect revenue.

Given that the auditor, although probably a very nice person, has the job of making you pay up, you should consider getting tax debt relief advice from someone who has your interests foremost. Get your free tax consultation from Optima Tax Relief and start down the road to clearing up your tax debt problems.

An Offer In Compromise Might Be a Path to Significant Tax Debt Relief

The IRS can be a steamroller when it comes to collecting back taxes. Taxpayers who ignore IRS notices do so at the risk of levies and liens that amount to crippling economic sanctions that will not go away until the debt is settled. On the other hand, the IRS does recognize that true financial hardship can reduce the likelihood of debt collection, in which case an Offer in Compromise could result in a substantial reduction in a tax debt.

Qualification criteria

Before a taxpayer can be considered for an Offer in Compromise, all tax files must be up to date. Also, undergoing a current bankruptcy proceeding is also a disqualifying factor. A taxpayer can get a preliminary determination on potential eligibility by completing the IRS Offer in Compromise Pre-Qualifier online.

What happens next

The IRS has a step-by-step booklet (Form 656-B) and an accompanying video. The steps require an honest disclosure of everything about the taxpayer’s financial situation -- income, assets, liabilities, expenses -- and the IRS uses a calculation to determine the maximum reduction for which the taxpayer can qualify.

The next step is to complete the forms required by the IRS and select a payment option that could include:

• lump-sum offer -- an initial payment of 20 percent of the total amount offered in compromise must accompany the offer.
• periodic payment -- an initial payment of the amount offered must accompany the offer.

Each of those options is in addition to the non-refundable $150 application fee, unless the taxpayer meets the IRS Low Income Certification guidelines.

What About the IRS Fresh Start Initiative?

In recent hard economic times the IRS had to ease up on citizens and businesses having difficulty paying back taxes. In addition to waiving some late penalties, the IRS streamlined the Offer in Compromise process and eased up on some of its rather inflexible determinations of value of assets and liabilities such as living expenses.

When in doubt…

The Fresh Start Initiative notwithstanding, you might have some valid doubts as to the actual amount of your adjudicated tax liability. Check out IRS Form 656-L, Offer in Compromise (Doubt as to Liability), which might not be all that helpful to the average non-expert layman. Reading that publication might be just the motivation you need to get some expert tax help.

That expert tax help is right here at Optima Tax Relief. We can help. Just tell us how much tax debt you have, what state you live in and you’ll qualify for a free evaluation by one of our Senior Tax Professionals.

Get the Facts: How to Deal with the Federal Tax Lien

Many of us just want the IRS harassment to stop. But when threatening phone calls and letters are at their peak, many times the next correspondence you receive will be a Federal Tax Lien. Once you receive this notice, seek professional tax relief immediately, it may be more than just your property on the line.

In essence, a tax lien is a legal claim to an individual's property by the Fed. If you are delinquent in paying your tax liability to the IRS, many times the IRS will invoke a lien in an attempt to collect the debt owed. The lien can affect all property and interest in property at the time of notice. If you do not own property, it could affect anything you intend to purchase for the ensuing ten years. 

A tax lien is considered a "secret" lien in that it is only supposed to be known by the IRS and the taxpayer in question. The law prohibits the IRS from disclosing information about the lien to any other party other than the taxpayer, with two exceptions of course. 

The IRS can bring on judicial proceedings to foreclose on the Federal Tax Lien. In this case, the court system becomes involved and the judicial proceedings are considered public knowledge. This can affect many aspects of the individual's life besides Federal property possession.

The second exception involves the Federal tax lien filing process. When the IRS begins the lien process, the IRS issues a Notice of Federal Tax Lien or NFTL and records the notice in the register of deeds office in the taxpayer’s county. This practice is to prevent third parties who purchase property from the taxpayer or lend money to the taxpayer from collecting interest superior to the Federal tax liability on the property or money lent. 

This notice is reported to the three credit reporting agencies. Unfortunately the NFTL will negatively affect your credit, hindering you from securing future property or loans. This can also effect employment, as many employment agencies and organizations now check the potential hire's credit report as a common practice. Apartment complexes and other rental property owners also check a potential renter's credit history as part of the rental application process. An NTFL can essentially inhibit you from finding work or a place to live.

Seeking professional tax relief when you receive notice of a lien is important to your success. The IRS will negotiate your tax debt with your attorney to reduce what you owe. Your attorney can also have the lien lifted once an agreement of terms of tax liability payoff has been met. If you have received notice of a tax lien, contact the experts at Optima Tax Relief as soon as possible. Don't let a lien affect your life; call the attorneys at Optima today.

IRS Fresh Start Initiative Expanded to Aid Struggling Taxpayers

The Fresh Start Initiative helps taxpayers in three ways: through penalty relief, installment agreements, and through offers in compromise.

In 2012, the IRS announced that it was expanding its Fresh Start Initiative, offering further relief to taxpayers who owe taxes. The initiative helps taxpayers in three ways: through penalty relief, through installment agreements, and through offers in compromise.

The penalty relief portion of the initiative has been offered to individuals who have been unemployed for more than thirty consecutive days during the year or who are self-employed and have experienced a 25 percent or greater reduction in income due to the economy. This component of the Fresh Start Initiative offers a six-month extension on the payment of the tax bill for those who qualify.

With redesigned installment agreements, taxpayers now avoid having to request an installment agreement for taxes owed until the tax bill reaches the threshold of $50,000. Previously, the threshold was $25,000, at which time the IRS would begin a financial analysis of a person's finances as well as filing a Notice of Federal Tax Liens. Those reaching the $50,000 threshold can now take six years to pay the money off, rather than the previous five years that was required before the initiative's expansion.

The Offer in Compromise applies to those individuals who don't have either the money to pay off the debt that they owe to the IRS or enough assets that could be seized to satisfy the debt. In order for the Offer in Compromise to be successful, both the taxpayer and the IRS must agree that the taxpayer does not have the money or assets to pay off the debt. The taxpayer offers an amount that he/she is able to pay, and the IRS agrees to this amount, even if it is far below what is owed. Once the agreed on amount is paid, the taxpayer's bill is considered "paid in full."

While the Offer in Compromise is a wonderful tax relief solution for many people, the chances of having an offer rejected are quite high. Often, the IRS believes that the full amount can be paid as a lump sum or through a payment agreement. Errors or omissions on Offers in Compromise submissions are also a frequent reason for denial. Because the process of obtaining an agreement from the IRS for an Offer in Compromise is so difficult, it is highly recommended that those seeking this tax relief solution consult a professional with experience in this process.

The expert tax accountants and attorneys at Optima Tax Relief have the experience with Offers in Compromise that you need. They will take a look at your situation to determine if the tax debt is legally compromised through doubt of liability or doubt of collectability. If there is no doubt regarding the debt, then Optima Tax Relief will help you to demonstrate the economic hardship that you will incur if forced to pay the full amount.

For more information on the tax relief options that are available to you, contact us today.

How can I Settle Tax Debt?

So you want to settle tax debt. Many Americans are eyeing up tax settlement initiatives recently restructured by the IRS for struggling citizens. Since there is no statute of limitations on a tax liability in dispute in California, your old debts may have doubled or even tripled due to delinquency fines or interest accrual. If your initial tax debt was overwhelming, you can pretty much bet that no they are completely unmanageable. 

Before you decide on high-tailing it to Mexico, consider your options for tax debt relief. You heard right, drop your luggage and shut the car off, you can get out of your tax debt - legally. 

Since the IRS began their campaign to become a shinier more approachable beast, there are more programs available to settle tax debt. Not only have the programs been refreshed, but more individuals can qualify for them - even you. Hiring a tax specialist can help you on your quest to become tax debt-free. They will guide you through the process from inception to completion.

Step One: Settle down and make the call. Many of us aren't criminals, we just don't have the cash to dish out to the IRS; we have rent, mortgages, car payments, and a family (or scruffy pup) to feed. Hire a tax attorney who specializes in tax relief.

Step Two: Get your paperwork in order. The IRS loooves paperwork, so much in fact, we think they may have their own paper mill somewhere in Indonesia. If you have received any notices such as a demand to collect or notice of a possible levy or lien, make sure you don't wait to present these to your attorney. 

Step Three: Consult with your attorney about which tax relief option will be best for your situation. Depending on your circumstance he or she may suggest the following: 

• Offer in Compromise: Your attorney will help you apply for this relief option with the IRS. Once your paperwork is received, the IRS will negotiate your tax debt with your attorney. With an Offer in Compromise, you can settle your debt for significantly less than you owe.
• Installment Plan: If you do not qualify for an Offer in Compromise, your attorney may suggest negotiating a deal with the IRS for less than you owe and then agree to an affordable monthly payment plan to settle your debt.
• Currently Non-Collectible: This option will allow you to get back on your feet if you are financially unable to pay back the IRS. This can buy you some time to get your affairs in order. IRS harassment will cease during this truce period. When you are able to pay, your attorney can negotiate a payment plan with the IRS.

So keep your head and contact the experts at Optima Tax Relief. They will help you get the tax relief you need and keep the IRS at bay. Call today for a consultation, you've got nothing to lose except your hotel reservation in Tijuana.

For More information tax debt relief Click Here

An IRS Tax Lien Can Add A Lean And Hungry Look To Your Financial Life

The IRS defines a federal tax lien as “the government’s legal claim against your property when you neglect or fail to pay a tax debt.” Like any other type of lien, the IRS variety keeps you from cashing in on sales of property -- real estate and personal -- because the government now has an interest in any future cash that could come your way before you settle up.

The ABCs of a tax lien

A tax lien affects your assets, business and credit standing:

• Your assets, present and future that you own or acquire during the duration of the lien cannot be liquidated unless the IRS lifts the lien.
• Your business property and all your receivable accounts suffer the same fate as your personal assets.
• Your credit rating could suffer greatly as the result of a tax lien. You could experience a whopping 100-point drop.

Finally, even though you file for bankruptcy, everything you salvage afterward is still encumbered by the lien.

The lien process

The IRS is the 50-pound gorilla of collection agencies. To collect unpaid taxes it can file a Notice of Federal Tax Lien at a local courthouse. Once recorded, the tax lien puts the IRS at the head of the line of any other third-party indebtedness claims.

Legally, the IRS can go the lien route after waiting just ten days for a non response to their original demand letter. In practice, they usually don’t record lien notices until they have sent all the required letters of notification -- five of them -- beginning about six weeks after your return is filed and audited.

A lien is not a levy

A tax levy is the outright confiscation of your property and assets -- your land, your paycheck, your bank account, etc. -- to pay a tax debt. Avoiding a levy and settling up is far less complicated than heading off a tax lien filing. On the other hand, The IRS won’t usually bother with a lien if the tax bill is less than $10,000.

According to Steve Rhode in a recent Huffington Post article:

“If you owe more than $10,000, you can still avoid a federal tax lien filing. Even if you can't pay the tax immediately, the most effective ways to avoid a federal tax lien filing are to request an extension of time to pay of up to 120 days or to enter into a streamlined installment agreement to pay the full balance.”

The good news is that, in recognition of these more difficult economic times, the IRS has adopted a more lenient approach under its Fresh Start Program. The changes instituted in the IRS administrative relaxed rules resulted in a 32 percent drop in the number of tax liens during the 2011 to 2012 tax years.

So tax audits, levies and liens can be the stuff of sleepless nights and could entangle your finances to the point of paralysis. Rather than getting to that point of desperation, your best option is to get some tax resolution help from a tax expert. We’ll help you get that lien lifted and clean up your levy difficulties. Get your free estimate from one of our Senior Tax Professionals.

IRS Tax Levy Notices Are Not Junk Mail - Get Professional Tax Relief Advice

The IRS public relations people like to point out that our federal income tax is founded on the voluntary cooperation of citizens and is somewhat of an honor system. Unfortunately, if you end up owing back taxes you will quickly discover that the IRS definitely has the system covered. Your own cooperation won't necessarily be voluntary if come up against an IRS tax levy.

Liens and levies are IRS collection weapons

If you fail to pay your taxes the IRS can attach or take your assets. Attachments are in the form of a lien. Generally, a tax lien is a legal claim the IRS puts on your business or real property, which cannot be transferred or sold until the lien is satisfied. A levy on the other hand, is the actual seizure and subsequent sale of your real or personal property that you own in full or in which you have an interest.

Everything you have is vulnerable to a levy

The IRS could for example:

• Take anything you hold -- a car, boat or even your house -- and sell it off to settle your tax debt.
• Go after property that is yours, but is controlled by someone else. That would include your paycheck, commissions, a retirement account, stock dividends, money in your bank account and other sources of income -- even the money loan value of your life insurance policies

If you are facing a lien, you have already received notice

The IRS levy process has to meet the following criteria:

• They audited your tax return and sent you a Notice and Demand for Payment.
• You failed to pay the tax .
• You received a Final Notice of Intent to Levy and Notice of Your Right to a Hearing 30 days before the levy.

Your final notice may have arrived by certified or registered mail or personally delivered to your last known address or place of business.

Hardship cases

Having a levy on your paycheck, bank account or other property could definitely cripple you financially, but if you act quickly and contact the IRS at the phone number on your levy notice, you might be able to get a temporary release of the levy. From this point in the process you need to work closely and cooperatively with the IRS to get things settled.

Time to get some professional tax help

At this point everything may seem somewhat overwhelming. Why do you owe that extra tax? Was there something you didn’t get a chance to-- or didn’t know how to -- dispute the tax liability? Do you really want to face the rest of the process knowing what a tremendous hammer the IRS wields, especially when there’s an inherent conflict of interest between the IRS employee’s desire to help you and the IRS’s position as the world’s most powerful collection agency?

Optima Tax Relief can help 

Your first step is to use the 30-day grace period mentioned above to get a release from the IRS levy. Then you can explore your options for resolving all the issues that caused the levy and come to a settlement. That’s where we come in. Visit our web page and see if you qualify for a free estimate, and a no obligation professional tax evaluation from one of our senior tax professionals.

The Dreaded Tax Levy: Tips to Help You Overcome IRS Bullying

It has been said that the most feared weapon in the IRS's tax collection arsenal is the dreaded tax levy. If you receive notice of a tax levy, stay calm. There is help available for those targeted for levies and a tax specialist may be able to have a levy lifted if you seek help quickly and without hesitation.

In a tax levy notice, the IRS states they will seize your property, "without distraint and by any means necessary." This statement may seem abrupt and demanding, make no mistake, this notice is intended to intimidate the tax payer.

The IRS has no time to waste when attempting to collect a debt, by issuing harassing and threatening notices they believe they can "scare" the cash right out of your pocket. The best part is they assume you are trying to pull one over on the Fed, so they not only demand what they think you owe, they also tack on fees and penalties to your to the supposed debt. These penalties and fines can amount quickly, dwarfing your actual tax debt.

By leveraging power granted to the agency by the Internal Revenue Code, the IRS can seize wages, real property, bank accounts, social security payments, insurance proceeds, personal residences, and accounts receivables. The real kicker is not only can the IRS impose these levies upon your immediate assets; they also have the authority to impose them upon a third parties which hold other assets you posses. These third parties can include a bank, brokerage, or spouse.

It’s time to stand up to the IRS and finally get real tax relief. One way out of tax levy is an Offer in Compromise. This is an agreement between you and the IRS that outlines a payment amount that will satisfy what you owe. Your tax specialist can help you apply for an Offer in Compromise and negotiate the amount you will agree to pay with the IRS.

In most cases, your tax attorney will have the amount you owe reduced significantly. He or she will also have the ability to dissolve fees and penalties the IRS tacked on to your debt. If the IRS does not accept your initial offer of repayment, your attorney will have the opportunity to appeal. Once this process is complete, all liens, levies, and other penalties will be lifted; once again granting you access to your assets.

If you have received notice of a possible tax levy, lien, or wage garnishment, contact the experts at Optima Tax Relief immediately. Their team of professional tax attorneys will fight hard to get you the tax debt relief you need to get back in good standing with the Fed. 

Devin Finley is a freelance writer and tax relief expert. Devin writes on a multitude of financial and legal topics. He enjoys collaborating and strategizing with other professionals to ensure tax & debt clients receive competent and beneficial representation. For more information Visit http://optimataxrelief.com/

WARNING: Don't Push IRS Notices Aside, Hire a Professional to Settle Tax Debt

IRS tax notices of debt can come without warning, especially if you file your returns and make your tax payments on time. The funny thing about the IRS is the agency's ability to recalculate your taxes owed however they choose. The IRS can look at information you have filed over the years, deduce you owe them tax money, and in a final bit of irony - add penalties and late fees for the months or years the discrepancy went unnoticed.

At first appearance of this notice, you are most likely terrified or livid. Either way, it’s time to go to bat with the big boys and prevent the IRS from imposing hefty penalties fines, levies, liens, and wage garnishments in order to collect this newly found debt.

Get a move on

The absolute worst thing you can do with an IRS notice is toss it in a drawer to deal with at a later date. Time is of the essence, and you must act as soon as you receive a notice. Waiting can increase your debt daily. Worse, after ten days of a notice without a response from you or your tax attorney, the IRS can begin freezing your assets or seizure of your tangible property.

Call in the big guns

Hire a professional. Don't question your first impulse to contact an attorney, in this case you must. He or she can act as your advocate, negotiating down your debt or relinquishing it all together. Only a professional tax relief specialist can properly settle tax debt.

Gather the evidence 

Get all your ducks in a row by gathering any evidence to show you either don't owe the IRS a dime, or owe them less than they claim. Evidence will be previous and current tax returns, proof of exemptions, prior correspondence with the IRS, or previous tax debt agreements. This will provide your tax attorney with all the evidence he or she will need to support your claim. 

Get the monkey off your back

After reviewing your paperwork, your tax specialist will suggest the best plan of action for tax debt relief. This tax relief can come in the form of an affordable installment plan, applying for Non-Collectible status, an Offer in Compromise, for example. In the event your tax attorney reviews the evidence and finds you owe the IRS nothing, they will fight on your behalf to dissolve your supposed debt. 

If you need to settle tax debt, or need advice on how to begin battle with IRS, contact the professionals at Optima Tax Relief. Their attorneys have worked with individuals seeking tax relief vigilantly for over 25 years. It is important you contact Optima upon immediate receipt of a tax notice to stop IRS collection efforts immediately. 

Professional Tax Lawyers in California to the Rescue

Hiring professional tax lawyers in California can help you get tax relief. You read right, accountants can help you file your paperwork correctly and on time, but it is a tax attorney that can help you settle your tax debt with the IRS. When you feel like you have nowhere else to turn, a professional tax attorney can fight the IRS so you can attain tax-debt freedom.

Did you know the state of California has one of the highest income tax rates in the United States? Couple this with increasing federal taxes and you have a recipe for disaster. More Americans than ever are facing tax liens and levies on their assets and tangible property due to the inability to pay their overwhelming tax debt.

Hiring a lawyer may not be the first thing that comes to mind when you are faced with tax debt, but you aren't just hiring any old attorney, you are hiring an individual that specializes in tax law. The IRS employs accountants and attorneys to write notices and enforce penalties for unpaid tax debt; shouldn't you have an equally powerful defense system in place against these formidable foes?

Tax attorneys in California know tax law front to back, enabling you to fight the IRS cronies and put an end to IRS harassment If you receive a notice that the IRS wants to take a closer look at your returns and finances, it is time to contact a professional who can defend you and your assets against the IRS.

Unfortunately, not many individuals know help is out there. When they receive a bill from the IRS they are intimidated into paying what the IRS states they owe, sometimes without question. You must realize the IRS adds penalties and fines for delinquent payment of tax liabilities. If you are one of the many, these penalties and fines can be financially devastating. In today's economy, you need every penny you earn to provide for yourself and your family.

Once your tax attorney has reviewed your information and past returns, he or she will be able to decide which tax relief option is best for you. The IRS has extended relief programs and made them more attainable for Americans who are struggling financially. Your tax attorney will help you apply for a program and negotiate with the IRS on your behalf to reduce what you owe. He or she will also stop fines and penalties from accruing to your debt.

For more information on how a tax attorney can help you, contact the professionals at Optima Tax Relief. They can help you reach financial freedom from the IRS, defend you during an audit, and represent you in court should the need arise.

Knowing When It’s Time to Hire Tax Attorneys in California

Contrary to popular belief, not just big business needs to worry about the IRS anymore. Millions of Americans are scrutinized by the IRS each year. Hiring the tax professional that is right for your situation is crucial. 

Tax laws are complex. Not only the laws but the paperwork, oh the paperwork. The first step to audit is filling out the IRS's confusing paperwork incorrectly. The reason for form complexity is to trip you up, the IRS designs their forms to be near impossible to fill out correctly. This gives them more reason to gain access to your financial information through inquiry.

During tax season, it is within your best interest to hire a tax professional to deal with your paperwork and tax reporting. He or she can guide you through the process, ensuring you make no mistake on your returns. Once your return is signed, sealed, and delivered, there is no guarantee the IRS won't still pursue inquiry—in which case your attorney will handle these inquiries on your behalf, stopping the IRS in their tracks.

A tax professional can help you with much more than IRS inquiry. Professional tax lawyers in California can help you settle your tax debt. If the IRS feels you owe them money, they will purse your debt relentlessly. It is their duty to collect as much tax money as possible in order to fill the giant financial void of the Fed. If you have received a CP notice of balance due to the IRS, contact a tax attorney immediately.

Your tax attorney can help you apply for tax relief programs in order to settle your tax debt. During this process they will negotiate with the IRS on your behalf to reduce what you owe. They will also be able to free up your funds by stopping wage garnishment, lifting IRS imposed liens and levies, and put an end delinquent fine accrual.

Any type of criminal complaint filed against you by the IRS can be devastating. If the IRS feels you have been dishonest on your returns, they may accuse you of tax fraud or tax evasion. At this point the IRS will begin rigorous investigation including interrogation and seizure of your financial information. A professional tax attorney can ensure the IRS operates their investigation under the law. He or she can also make sure you do not incriminate yourself during the investigation. Once the investigation is completed, your tax attorney will represent you in court. 

At Optima Tax Relief, the best tax attorneys in California are waiting to hear from you. They are dedicated to helping you find tax relief from the IRS and will vigilantly defend you in the event of criminal inquiry. For a consultation regarding your tax situation, contact Optima today.

Devin Finley is a freelance writer and tax relief expert. Devin writes on a multitude of financial and legal topics. He enjoys collaborating and strategizing with other professionals to ensure tax & debt clients receive competent and beneficial representation. For more information Visit http://optimataxrelief.com/