Depending on your unique facts and circumstances, we can help you qualify for 1 of 3 outstanding IRS Tax Resolution Programs.
Tax Resolution Process
Tax Resolution problems start when a taxpayer receives a letter from the IRS, States, and/or Local taxing authorities due to Unfiled & Unpaid Income Tax Returns, Payroll Tax Returns and/or Sales Tax Returns. This situation can be caused by a financial issue or a life event that overwhelms the taxpayer and they delay or ignore filing their tax returns thinking that things will soon get better. If the issue or event continues, they find themselves with multiple years of unfiled tax returns and do not know how to correct the situation.
At first, the letter is a reminder that you have not filed your return or have unpaid taxes on your filed return. If you do not respond, the letters will keep coming and will get more aggressive. Receiving Certified Letters (letters that require a signature for proof of delivery) alerts you that the IRS is moving quickly toward serious IRS Collection Actions. Your bank accounts, wages and/or your assets are at risk. You may have a Tax Lien filed on your real property without knowing it until you try to sell the property. If you have received a Certified Letter, you need to seek professional tax help as soon as possible to avoid serious IRS Collection Actions (Bank Levies and Wage Garnishments). GPS Tax Services can work with the IRS on your behalf and request a hold on IRS Collection Actions while we work with you to resolve these problems.
The IRS has three programs to help taxpayers with unfiled & unpaid taxes. To qualify for one of these programs, the taxpayers must first get current on filing their tax returns. GPS Tax Services will work with you to get your unfiled tax returns filed and then work with you on the tax resolution program that is the best fit for your situation. During our free consultation, we will discuss your assets, income, and allowable expenses to help determine which of these programs you qualify for and which is the best fit for your situation.
The three IRS Tax Resolution programs are:
Currently Not Collectible
The Currently Not Collectible (CNC) program is for taxpayers in financial hardship situations to defer paying their taxes owed until their situations improve; for example, long-term unemployed, disabled, or fixed-income taxpayers could qualify for this program. After confirming their financial situation, the IRS will place their account in an inactive status, which protects them from collection activity until the IRS determines that the taxpayer’s situation has improved and now have the ability to repay some or all of their tax amount owed. With this program, a federal tax lien will be filed, and the IRS will revisit their situation every few years.
An Installment Agreement (IA) allows taxpayers to pay back their unpaid taxes in monthly payments over an agreed upon length of time. The amount of the monthly payment depends upon the tax amount due and the number of months required to pay back the amount due. You can often avoid having a Tax Lien filed if you agree to have the monthly payments automatically withdrawn from your bank account. To qualify for an IA, you must be current on your tax return filings and remain current on future tax return filings and tax payments during the Installment Agreement period.
Offer In Compromise
An Offer in Compromise (OIC) is an agreement between a taxpayer and the IRS that settles a taxpayer’s tax liabilities for less than the full amount owed. Taxpayers who can fully pay the tax amount owed through an Installment Agreement or other means, generally will not qualify for an OIC.
Everyone does not quality for an OIC since each taxpayer’s financial situation is different; but if you do qualify, an OIC can reduce your tax amount owed by thousands of dollars. To quality for an OIC, the taxpayers must show the IRS that they do not have the income after allowable expenses and/or assets to fully repay their taxes owed. This is a complex process, normally taking 9-12 months before the OIC is in place.
Request Free Consultation
At GPS Tax Services, we offer a FREE, No Obligation, Confidential consultation to discuss your unique tax situation. During this call we will discuss your circumstances and recommend the best course of action to resolve your tax matter.