About Unpaid Tax Debts

Many people have unpaid tax debts. We are all human beings with different lives, and there are so many situations that can affect our ability to pay our taxes on time. This is a common problem that we see every single day.

Reasons for not paying may include:

  • Failure to file due to subsequent years of missing claims
  • Job loss
  • Relationship changes
  • Personal or family health issues
  • Previous debt
  • Not understanding the consequences of non-payment or not understanding tax filing rules
  • Fear of IRS action
  • Inaction and waiting for a notice of intent to levy or other IRS action

Contrary to what many believe, it is entirely possible to pay back your debts in a reasonable way.

What to do if you know you owe the IRS.

irs unpaid taxes

If you haven’t heard anything from the IRS, you may think that you are in the clear. Nothing could be farther from the truth.

While there is a statute of limitations on collections (i.e., a time period the IRS has to collect), this time period only begins running when your tax return is filed. So if you haven’t filed your tax return, the time generally does not start running. The time frame that you may be dealing with IRS collections can go on indefinitely. Submitting any unfiled tax returns is the first step in this process.

Dealing with unpaid taxes.

There are many reasons why you may feel stuck, stressed or stalled when it comes to resolving tax issues, and this is not an unusual situation.

When the IRS is taking collections actions, they likely will be putting a lot of pressure on you to pay a larger amount back in a shorter period of time, and typically will not be offering alternative solutions. It is often up to you to press for and secure your right and entitlement to any such collection alternative.

The reality is that millions of Americans can’t even pay their basic bills, let alone keep up with tax debt. This is why there are options for low-income earners and those with unexpected hardship to negotiate lower debts. Others may be surprised to find that they can qualify too.

Our unique approach to tax debts.

Some tax resolution firms which approach problems from a limited vantage point of there only being about four options. These are the only services they provide. If your case does not fit easily within one of these service offerings, it is unlikely you will obtain the relief you are seeking. You need a more comprehensive view to exhaust all available remedies. This can even include litigation if necessary.

Our team takes a multifaceted and holistic approach to tax liabilities and tax debts. We can do this given our extensive IRS background and experience. We have a deep understanding of technical tax laws and procedural rules and our clients goals and plans, which is key to our ability to solve tax problems from an IRS perspective. This is why we excel at finding solutions to even the most difficult of tax relief cases.

Take action to manage your unpaid tax debts.

Whether it means helping you to establish a reasonable payment plan, setting up a payment agreement, or filing an appeal, we can help you resolve issues with the IRS in a way that works for all parties.

Types of tax forgiveness programs.

The IRS is likely to forgive or write off tax debts if you fall into a lower income bracket and have few assets. Some options include:

  • Currently Not Collectible Status. If you are in an extremely low-income bracket, you may qualify for this for at least some period of time. If you qualify, you will be relieved of making payments. The IRS will simply opt to not collect from you.
  • Installment Agreements. There are several different types of payment arrangements you can enter into.  The most favorable is the partial-pay installment agreement.  You may qualify for this if your assets and income are low, but you don’t qualify for non-collectible status. This means that you would need to pay a small amount per month to reduce your debt, but not as much as was initially demanded or an amount that would fully pay the tax debt. This may be a viable option for you if paying your unpaid taxes would force you into bankruptcy.
  • Offer In Compromise. An IRS offer in compromise allows you to pay off your debt by paying something now, a lesser amount, to settle the debt. It is a final and total settlement at a relatively low cost.
  • Discharge Taxes in Bankruptcy. Some older taxes are dischargeable in bankruptcy.

If you are facing undue hardship, wage garnishment, levies or liens from the IRS, contact us right away for a free consultation.

Get Help Today

Our team of professionals can help you find relief from IRS tax pressure and stress. We offer compassionate, individualized service at manageable rates.

Call today for a confidential consultation. Our number is 800-521-0230.

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