Kinds of Tax Relief Solutions

Tax form

Millions of people every year get a bill from the IRS for a tax debt they didn’t know about and that is an unpleasant surprise. How much is owed can be thousands of dollars and that is a mountain of money to many that are not wealthy to begin with. There are some great tax resolution that can be utilized to make it easier to pay the tax bill owed and reduce some of the worry surrounding it. Not collectible status is one of the top forms of tax relief available today. Not collectible status helps those that are being garnished of wages or that have liens on their properties. Having a portion of wages garnished can be a big financial devastation to many. A lien being placed on important assets and homes is one of the most difficult to deal with as that is often a person’s primary residence and their home that they have lived in for years.

A not collectible status can make it possible for you to stay in your home and avoid the dreaded lien process.  Getting this status approved is often much easier when you have a tax attorney to help with the filing required with the IRS. Not collectible tax relief can make it easier to get life on track and bring back financial stability.  Ten year statutes of limitations applies to IRS tax bills and they cannot be collected after ten years has expired. Another tax relief solution that can be helpful is to use a payment arrangement. An option such as this is beneficial for those that cannot afford a lump sum but can afford a monthly payment plan. In order to get a payment plan a person must fill out a particular form online or send it through the mail and also pay an application fee. You may also read more about taxes at http://www.encyclopedia.com/topic/taxation.aspx.

If approved, they will offer various payment options that are convenient to you. A smart method for payment is the automated bank withdrawal because it will be paid on time and you won’t have to worry about whether you have paid it or not. An offer in compromise is the third and final type of tax relief solution that can be utilized. Offer in compromise means that you ask the IRS to accept a lesser amount to settle the debt. Approval for offer in compromise is typically the most difficult of all other options as you must show dire circumstances to get approved. They may also approve this type of solution if you can show that you likely owe less than what they have billed. An approval for this type of tax relief can be great due to the fact that it could save a lot of money to the taxpayer. The examples of  IRS tax relief solutions in this article can help those unsure of how to deal with IRS debt and move forward. Go to tax group center to know more!

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