Every year, millions of people face tax issues, and owing back taxes is a particular problem in the current economic climate. If you are being audited, have neglected to file your return, haven’t reported your income correctly, or are struggling to pay your tax debt, you should contact a specialist who can explain your situation to you and negotiate with the IRS on your behalf. Tax resolution services can help you to get back on track with minimal hassle.
Why Are Tax Resolution Services Necessary?
When it comes to their taxes, most people don’t need the help of a professional as long as they file their returns correctly, report all income, and pay their taxes. However, this isn’t always possible, for example, if you get into financial difficulties and no longer have enough money to pay what you owe. You may also have made a mistake in the past and not know how to deal with it now.
In such a case, you need the help of a competent tax attorney who can guide you through the process of dealing with the IRS. They can resolve the issue and help you to get back on track, whether it is through negotiating a better deal with the IRS or helping you with the paperwork throughout your audit.
You Owe Back Taxes
One of the most common issues people experience is tax debt, especially during the Coronavirus pandemic, as many small businesses and self-employed individuals are experiencing a decline in income. Currently, we estimate that over 18 million Americans owe back taxes, so you’re not alone. Despite this, the IRS is strict about such issues, and you may be facing fines or penalties.
If your tax debt is significant and you don’t believe that you can pay it without significant hardship, you should get in touch with a tax specialist as soon as possible. They can analyze your situation and find the best solution possible.
You Have Not Reported Your Income Correctly
Sometimes, the IRS may believe that you have not reported all of your income, and they will audit you for this reason. Receiving the letter can be scary, but it doesn’t have to be if you have a good lawyer fighting for your rights. Whether you did make a mistake or not, a tax resolution specialist can lay out your case in the best way possible and help you to prevent such issues in the future.
You Didn’t File Your Return
Just because you filed your return late doesn’t necessarily mean that you need the help of a lawyer. If you notice the error quickly, you might only face a small penalty. However, you should always speak to someone if you’ve left it very late and the IRS is demanding hefty fines, or if you haven’t filed a return for several years. In such a situation, you might face significant penalties, and it’s best to get help quickly.
You Are Being Audited
The IRS audits people for a wide variety of reasons, and you might be chosen even if you haven’t made an error on your tax return. However, it can still be a daunting process, particularly if you own a business, are self-employed, or if your tax return is complex for another reason. A specialist can guide you through the whole process, help you with communications, and make sure that you present your situation to the IRS in the best light possible.
How Can Tax Resolution Help?
Now that you know when you might need the help of a tax resolution specialist, you might wonder what they can do for you. Aside from helping you to sort through your situation and giving you an idea of what you can expect, they will also be able to collaborate with the IRS and make an arrangement that is manageable for you. For example, you might be able to pay your back taxes over a longer timeframe, or you could even get some tax relief.
If the IRS made a mistake or is charging you more in fees than they should, your specialist will pick up on this and let you know. As a result, you will save money and be able to get a fresh start more quickly.
Helping You with All the Paperwork
The main purpose of tax resolution services is to take the stress out of the process and help you to achieve the best result possible. To do this, your specialist will sort through the relevant documents with you and figure out what your current situation is. They will know all the relevant laws and regulations, so they can let you know whether you are likely to face any penalties or not.
Once you know more about your tax situation, you and your specialist can figure out how to move forward. You’ll go through your budget to see if there is any money left over that could go towards your back taxes, and if so, you may set up a repayment plan. If not, your attorney can help you to get relief.
Finding IRS Mistakes
Sometimes, the IRS might have made a mistake, but you’re unlikely to find this and successfully fight for your rights on your own unless you have very specific tax knowledge. For example, the IRS might have sent you a Notice of Deficiency by mistake, and you generally have 90 days to fight against this. You can take your case to the United States Tax Court, and your tax specialist will be able to help you receive a favorable outcome.
Collaborating with the IRS
Sometimes, the IRS can be open to compromising with taxpayers, since they understand that it’s better to receive some of the tax you owe than none at all. If you’re not able to pay, your lawyer can help you to obtain an Offer in Compromise, which is a program that allows you to pay less than the original amount due. However, it’s hard to receive this because the IRS believes that most taxpayers should be able to pay the full amount.
A great tax resolution specialist will be able to help you obtain such an offer, or they can negotiate an installment plan with the IRS, which spreads out your back taxes over several months or even years. That way, you can pay them back slowly without getting into financial difficulties.
Sometimes, they might even find a mistake the IRS made, which could cause your penalties to be eliminated or your taxes to be reduced. Get in touch with us at Geaux Tax Resolutions in Lafayette, LA to book your initial consultation and speak to one of our specialists. They will investigate your situation, negotiate with the IRS, and help you to resolve the case as quickly as possible, so you can move on with your life.