IRS collections is a term taxpayers dread to hear. It means that you owe the IRS money and it’s time to pay up. For taxpayers who have plenty of money to live on, this might not be such a big deal. For those taxpayers who are going to need more time to pay their taxes, things become complicated in a hurry. Tax problems don’t go away overnight. For some people, they can drag on for months or even years before they’re resolved. Obtaining a good IRS collections lawyer will give you the ability to understand the collection actions taken against you and how to resolve them in a way that is both legal and less time consuming.
Both individuals and businesses have a very good reason to get a lawyer when they have outstanding tax debt that they are unable to pay right away. The IRS can take many actions actions against your property and wages if you fail to repay them for outstanding tax debt. What a good lawyer will do for you is make sure that the payment plan you work out or the collections actions taken against you will be taken where it will hurt your finances the least. No one wants to realize that they’ve had their wages garnished when they could ill afford to do so. A simple payment plan might have prevented the IRS from taking that action. So it’s important to contact a lawyer about any collections notifications you receive from the IRS so that you can take care of them in your own way, without hurting your finances in the meantime.
Good legal offices typically have experts on IRS tax law. They may even have former IRS agents who are familiar with the laws that govern collections. These experts will immediately know if the IRS is violating any of its agreements OR if there is a way to extend tax payments before collections actions are taken. High dollar delinquencies especially call for an experienced IRS tax lawyer that has handled these types of cases before.
The good news is that if you have outstanding debt owed to the IRS, your lawyers have a large amount of options to choose from before they resolve your case. They will discuss the specifics with you and go over all of your options for delaying payment. Perhaps the most attractive is installment payments which don’t take anything directly out of your paycheck but leave it up to you to pay the installment payments on time. This allows you to negotiate further down the road in case your financial situation changes. Secondly, your lawyers can make offers in compromise to the IRS which they often accept. This means you’ll end up settling your debt for a lump sum payment that won’t even require payments. This is preferable for those who can’t quite afford to pay the full amount but can get close.
Your lawyer will be well-versed in specific scenarios as well, such as when a husband or wife is in deep tax debt because of a spouse that ran up a criminal debt or negligently avoided paying taxes (ex-spouse only). Sometimes you can get your amount reduced or even forgiven completely if you’re lucky and if the lawyer you hire is particularly good at what he does. If you don’t use one or more of these techniques to resolve the debt, it’s likely that the IRS will directly take funds from you. This includes liens on homes, cars, and property, plus possible wage garnishment now and in the future. This is a prospect that no legal client wants to face and with a good lawyer on your side, you won’t have to face it at all.
It’s easy to get overwhelmed over tax collection efforts by the IRS. You’re not the first person to go through this and you certainly won’t be the last. With the aid of a good lawyer, you’re going to successfully resolve this conflict. While technically you can resolve some of these scenarios yourself, if you’re dealing with a larger debt than you can play, it’s wise to get a lawyer and let them handle your case before things get out of hand.