For most taxpayers the IRS tax collection is akin to rocket science and they have no idea when it starts and where it ends, so let's talk about how the IRS collects your taxes, the process begins when you submit the IRS tax returns, the amount is not due at this time. It is the IRS and not the tax payer who has the final world on the amount that is payable in tax obligations.
The IRS will send the taxpayer a bill telling you how much you owe them. This first notice will contain details such as the explanation for the amount due and you will be requested to make the payment. Now, they are only nice the first time, if you don't come around they can get nasty and penalize you including these penalties in notices and even threaten you with other consequences. But the good tings is that the IRS being a government body, they will follow a specific format and the regulations in all procedures, so get in touch with the IRS if you want to know about specific details. To put it simply, if you have a stash of IRS notices, you are in trouble.
If you find an error in the amount of tax dues payable by you, simply call the IRS or write to them to set up a meeting. They don't mind a discussion and au contraire to popular belief; nobody is out to get you. You can talk with them, and if there is an error they will make the necessary adjustments. For instance, if they send you notice of a particular bill payment which you have already made, you can get in touch with them with the proof of payment such as the copy of a cancelled check. Make sure that you forward only original copies of the documents.
For people who find themselves in financial distress and cannot meet their tax obligations, the IRS is open to granting you a payment option so that you can make your payment in installments. The installment payment plan has three implications, you will get time to pay your taxes, you will have to incur the charges for unpaid balance and you will be charged an interest and possibly penalties on the amount due.
Even if you find yourself in a very bad financial condition and simply can't pay anything at all, you can still seek help fro the IRS. In case of genuine cases, the IRS wiling to allow people to pay a portion of the taxes due while the balance amount of erased. However, there are some drawbacks involved in this case; even through the tax dues will be forgiven you will still have to pay the penalties and the interest that was levied on the amount. If this amount accumulates you are heading for more IRS trouble.
An Offer of Compromise is another solution available to tax payers; this is by far the most coveted and the most popular solution that tax payers go for. If you manage to get this solution from the IRS, you will only be expected to pay a portion of your tax obligations while the balance will be forgiven. Although, it is extremely difficult to get this kind of reprieve from the IRS , it would be worth your time and effort to give it a shot because making such a request would effectively put your IRS woes on hold at least for one year.
So as you can see, there are a number of solutions that you can opt for take care of your taxation issues. Many of these solutions can be availed of by simply making a call to the nearest IRS office while others may require the services of a tax attorney. If you are not sure about which solution suits your situation get in touch with a Dallas Tax attorney who can help you to deal with your IRS concerns.
Seomul evans is a SEO Services consultant for Tax Laws Forth Worth
and Dallas Tax Attorney