Five Reasons to Use a Tax Debt Help Service

Navigating our nation's complicated tax system, or even your state's taxation laws, can feel like climbing Mount Everest. There are many variables to consider. Plus, tax laws seem to be constantly evolving. Many Americans have sought the help of a tax debt help service. These firms are made of groups of specialists, including tax attorneys, trained to offer expert advice and guide you through the tax process. Consider five reasons these experts are worth your time.  

1. Experience. As with any industry, years of experience working with the federal and state government taxing authorities has given these men and women an advantage over the average taxpayer facing a growing tax debt. The IRS has their own experts who are well-trained at getting what they want from you. You should have an advocate with comparable knowledge to guide you.
2. Unique Knowledge. No doubt you possess unique knowledge associated with the work you do on a daily basis. Similarly, the tax professionals at a tax debt help service work with the IRS and state authorities on a daily basis. They have inside knowledge about processes and procedures that could take you months to figure out. This professional team can clearly walk you through IRS procedures, processes and forms, and help predict what the IRS and state will do to try to collect your debt. This knowledge is a huge asset. Use it to your advantage.
3. Efficiency. Tax debt help services spend their resources on hiring and training the best professionals in their business. Years of experience has resulted in a business model that thrives on efficient methods and procedures when dealing with taxing authorities. This efficiency helps resolve your tax problems as quickly and as accurately as possible. 
4. Confidence. It's not uncommon for taxpayers to wait months for the IRS to respond. If you handled your tax problems yourself, you are most likely sitting on pins and needles, often doubting that you followed the right procedure. Trusting tax professionals helps put your mind at ease. These experts represent your interests. Their reputation is on the line. They will make sure every opportunity is explored and every procedure is carried out correctly. You can rest easy and have confidence that it's being taken care of. 
5. Protection of assets. Taxing authorities are serious about uncollected debt. The longer you wait to resolve the issue, the more they will charge you. Getting the debt settled quickly will prevent you from continuing to accumulate interest and penalties. Additionally, ignoring the problem could result is losing your assets. The IRS can put a lien on your home or business, a bank levy on your account or garnish your wages. Having a tax advocate on your side ensures your problem will get resolved quickly and your assets will not be affected. 

Optima Tax Relief has more than 50 years of combined experience among its licensed tax professionals. They provide personalized service for each unique taxpayer in order to resolve their tax debt problems. Contact this well-known tax settlement company in California for a free tax consultation.

"Fresh Start" can Help Your Tax Attorney Settle Tax Debt for Less Than You Owe

Tax burdens are becoming increasingly worse for Americans. The fact is the economic downturn has forced many taxpayers farther into debt than ever before. Considering hiring an attorney to help with tax issues no longer only applies to those who are facing tax fraud or evasion charges. The average American faces large and cumulative penalties and fines imposed by the IRS due to the inability to pay. As more and more American's face the loss of their home and wages due to tax debt, it is a important to consider legal help to settle tax debt.

Take a look at the most prominent risks the average American may face if they decide to go it alone against the IRS: 

• Wage garnishment
• Bank Levies
• Hefty penalties and fines
• Tax Liens

Ask yourself if fighting any of these IRS collection tactics alone are worth the risk. A professional tax settlement service will help you to reduce what you owe, put a stop to IRS harassment, stop wage garnishment, and relieve bank levies and liens. 

Even though an IRS audit or judgment can be extremely intimidating, you do have options. A tax professional can help you sort through the IRS jargon and red tape; revealing options that can reduce your tax debt for less than you owe. 

Here are some options your tax settlement professional may suggest you pursue depending on your unique situation: 

• Offer in Compromise: If you qualify, this could be an excellent resolution to your tax debt. As of this year, Offer in Compromise has expanded as an IRS "olive branch" to those facing increased debt as a result of financial hardship due to the economy. OC has been a staple of tax debt settlement, providing distressed taxpayers an option to settle their debt for less than they owe. As part of the "Fresh Start" initiative of 2012, the OC has expanded to allow individuals to settle both state and federal taxes, allow student loan payment, expanded allowable living expenses category and amount, allowed less stringent qualifications than ever before, and revised calculations of taxpayer's future income. Because of the recent revisions OC may be the golden ticket to resolving your tax issues. 

• IRS Penalty Relief: Unfortunately, penalties and fines on delinquent taxes can often dwarf what a tax payer actually owes. As part of "Fresh Start," the IRS has offered penalty relief to those who qualify. Self employed individuals can be relieved of penalties if they have experienced a 25% decrease in income during the year of 2011 due to economic downturn. Another applies to those who lost wages due to unemployment during the year of 2011 or 2012.

• Installment Agreements: The installment agreement option used to have a ceiling of $25,000 in tax debt for acceptance. The threshold has been expanded to reach $50,000 in debt. This opens the door of relief to those who are facing dire straits due to tax debt. The paperwork requirements and financial information requested by the IRS to qualify has also become more lax. 

With the new tax relief efforts by the IRS going in full effect, it is time to get your affairs in order and finally gain peace of mind knowing there is hope for an end to your tax related debt worries. For more information on how a professional tax attorney can help you get your life back on track, please contact the professionals at Optima Tax Relief. For More Information Click HERE.

Are You Eligible for IRS Debt Forgiveness?

Because of the increase of issues pertaining to tax debt owed to the IRS, new programs have become available for IRS Debt Forgiveness. In February, the IRS announced that since a multitude of tax payers are facing heavy financial burdens, they are developing new programs for relief, and it is important to speak with a professional tax attorney to find out if you are eligible and how to apply.

Those who are unable to pay may have already received notice of wage garnishment and liens in an effort for the IRS to collect excessive penalty fees and interest on late payments. These ground breaking initiatives may give the delinquent tax payer an out.

Before these initiatives took hold, many tax payers faced additional fees and fines after missing the April tax filing deadline. A flailing economy has force the IRS to put in place systems and programs designed to relieve the pressure and allow tax payers extra time to file. For one, they have put in place the availability for a six month extension period. This would allow tax payers until October to file; minus the penalties and fees associated with a late filing.

If you are in a situation where you feel you are unable to meet the payments the IRS has required of you now is the time to investigate these helpful initiatives.

Pertaining to liens, IRS feels these responsible efforts will help those afflicted with consuming debt:

• The IRS is increasing the threshold when liens are usually used, resulting in a reduction of liens issued to tax payers
• After a tax payer pays off a tax bill, the IRS states it has made it easier for liens to be lifted
• If a tax payer qualifies and enters a Direct Debt Installment Agreement, liens can be withdrawn.
• The IRS is pledging easier access and admission into Installment Agreement plans.
• The Offer in Compromise Program is to be extended to those who truly need it. More Americans than ever are currently eligible for this type of tax relief plan.

In reality, this extension of the olive branch is significant; the IRS is not a forgiving entity and these types of changes can truly help individuals escape financial disaster due to overwhelming tax debt. It is important to seek assistance whenever possible when considering taking on the IRS. Their systems are designed to collect as much money in as little time as possible for the government.

Often tax debt can be paid; it is the accumulation of penalties, fines, wage garnishment, liens, etc. that can throw the tax payer off kilter financially. Stop harassment from the IRS and begin taking advantage of what relief you may be eligible for by contacting the best tax lawyers in California. Get your life back, call today. For More Information Click Here.

Get Professional Tax Relief with an Offer in Compromise

The term “offer in compromise” is actually as formal—and somewhat complicated—as it sounds. When it comes to getting professional tax debt help, the IRS has somewhat of an upper hand in the compromise process, though. To work out a deal with the IRS, you might want to seek professional tax relief advice. Read on... 

Here’s how the IRS describes the process:

 “An offer in compromise allows you to settle your tax debt for less than the full amount you owe. It may be a legitimate option if you can't pay your full tax liability, or doing so creates a financial hardship.”

The “offer” part comes from a taxpayer who needs to settle up with the IRS; the compromise is simply an IRS acknowledgment that it might as well settle for less than what is owed, which is substantially more than nothing. It is, however, not the taxpayer’s first option in settling tax indebtedness.

If the numbers (assets and income versus debts and liabilities) don’t subtract to the taxpayer’s detriment (or favor, depending on how you view the situation), the taxpayer probably needs to go the installment payment route and pay off the debt (along with penalties) over time.

If the taxpayer can show that borrowing money to pay off the full debt or paying in installments are not within the realm of options, the IRS will accept an Offer in Compromise.  It sounds simple, but, not surprisingly, when it comes to convincing the IRS to accept less than what is owed, there is a list of qualifiers, computations and form filling challenges that have to be surmounted:

To be eligible to submit an offer in compromise you must:

• have filed all your tax returns
• have paid any required estimated tax payments for the current year
• be up to date with any required federal tax deposits if you are a business owner with employees
• not currently be undergoing bankruptcy proceedings
• submit the forms and come up with the $150 application fee (unless you’re an individual who meets the Low Income Certification guidelines -- see page 2 of IRS Form 656)

The paperwork

The IRS Form 656 Booklet outlines the seven steps involved in completing the necessary documentation. Before you go there, though, it would be a good idea to complete the online “Offer In Compromise Pre-Qualifier” to see if you might be eligible for a reduced tax bill.  Complete the six-part questionnaire and see if you’re eligible and get an estimate on how much you can lower your tax bill.

Follow the money (again)

In addition to the $150 application fee, you’ll need to include an initial tax payment based on 20 percent of the payment type (lump-sum or periodic) you chose. It’s all nonrefundable, and the money you send with your application forms will be credited to your tax liability, whatever the outcome.

Stay on the straight and narrow

Important: If your offer is approved, you’ll need to be on your best behavior for five years. Your acceptance agreement includes a statement that you “agree to file and pay all taxes as required by the Internal Revenue Code for five years from (the date of the acceptance letter).” If you fail to do that, the IRS considers your first Offer in Compromise void and will come after you for the full amount of your original tax bill -- among other liens, levies and seizures at their disposal.