What is a tax debt help mistake?
Becoming involved in a tax debt situation can be a nervous time for many. Receiving the first IRS Notice can come as a total surprise and bring a panic attack. It turns out you must contact the IRS at their request. Before you do, there are some things you need to know.
Be armed. Have all your applicable documents with you. This includes your IRS Notice Letter, your social security number (or taxpayer identification number), applicable tax year, and tax amount.
Be friendly. State why you are calling in friendly terms. Whether you believe it or not, the IRS does have humans working there. Treat them with respect and you will do better than if you do not.
Do not be berated. You do not have to put up with an IRS revenue officer who belittles you or tries to mistreat you. If you are uncomfortable with anything about the IRS revenue officer you are dealing with (or feel they are incompetent), simply ask to be transferred to another officer. If this does not work...
Contact Taxpayer Advocacy Service. This independent organization of the IRS will deal impartially with you regarding your IRS employee interactions. Report the revenue officer you were dealing with.
Meet deadlines. It goes without saying that if you meet your tax deadlines for both filing your tax return and paying your taxes, you will not begin having tax debt issues. Set up a tax calendar to help with this.
Pay your taxes. This is another commonsense statement. When you file your tax return, pay your tax bill in full, or as much as possible. The more you pay, the less can be penalized. Pay your delinquent taxes as early as possible. Penalties and interest have led to many an ugly tax debt situation.
Sell your assets. It may be a good idea to sell some of your assets to pay your IRS tax debt off. The IRS, with its incessant penalty and interest accruing, is not a pleasant creditor to have hovering around.
Do not ignore. Do not ignore the IRS once you receive your first IRS Notice. They will not go away like a bad virus over time.
Do not volunteer information. Stick with the facts that pertain to your tax debt situation. The more information you give the IRS, the more they can question.
Do not admit to violating tax laws. Do not admit to anything. It more than likely was an oversight on your part that caused your tax debt problem, not an out and out violation. The IRS may try to coerce you into admitting wrongdoing. Do not let them.
Know where you stand. Know where along the IRS collection process your tax debt situation really is. What needs to be done to correct it? What do you need to do? What will the IRS do?
Get it in writing . Whatever the IRS says, ask for them to put it in writing. Many times they will offer to do that anyways. It is just better to be safe than sorry.
Tax Relief Frequently Asked Questions
What is one IRS Penalty?
Is there a penalty for not reporting my social security number?
What is the IRS penalty for not filing my tax return?
What is a frivolous return?
Is there a penalty for paying taxes late?
What is an example of a tax evasion case?
What is tax fraud?
What is tax evasion?
What is innocent spouse relief?
Can I see an example of innocent spouse relief?
When does innocent spouse relief not apply?
What form do I need to request innocent spouse relief?
How can I appeal an innocent spouse relief?
What are some innocent spouse relief rules?
Am I eligible for innocent spouse relief?
Where do I mail my IRS Form 8857?
What is corporate tax evasion?
What are some payroll taxes?
How about an actual case about corporate tax evasion?
What are some fringe benefits?
What is tax relief from a tax loss?
How can state taxes paid provide tax relief?
What is some small business tax relief?
What happens with unpaid payroll taxes?
What is an automatic IRS installment plan?
What are some documents needed for payment plans?
What is the drawback to an IRS installment plan?
What if I fall behind in my tax payments?
How can I make payments on my IRS payment plan?
What form do I need for requesting an IRS installment plan?
How do I request an IRS Payment plan?
What is an IRS tax installment agreement?
What are the guidelines for applying for an OIC?
Be weary of what?
Are there examples of OIC case studies?
How do I calculate my OIC offer?
When can I apply for an OIC?
What is an offer in compromise?
What are the procedures for an OIC?
What is an uncollectible account?
What are back property taxes?
Where can I get federal tax lien information?
What is a release of federal tax lien?
What is a notice of federal tax lien?
What property can be subject to a tax lien?
What is the tax lien process?
How do I perform a tax lien search?
What is a high risk taxpayer for tax liens?
What is a tax lien?
What assets can be levied?
How do I appeal an IRS levy?
What is a bank levy?
What starts the levy process?
What is a Notice of Levy?
How can I release a tax levy?
What is a state tax levy?
What is the difference between a tax lien and levy?
What is a wage levy?
What are some high risk trigger areas?
What are some IRS audit red flags?
Can I represent myself during an audit?
How long does the IRS have to audit me?
How do I prepare for my IRS audit?
How do I protect myself from an audit?
What is the IRS Taxpayer Bill of Rights?
What are some types of IRS audits?
How do I appeal a wage garnishment?
Can I see a wage garnishment case?
What is a wage garnishment?
What is a IRS warning?
What if I am self-employed?
How do I stop wage garnishment?
How do I release a wage garnishment?
Why do I have a wage garnishment?
What is my responsibility with wage garnishments?
How can an amended return give me tax debt help?
What is bankruptcy?
What is the debt calculator?
What is state tax debt?
What is a tax debt help mistake?
Who is a tax debt pro?
What is the Taxpayer Advocacy Services?
What is an uncollectible category?
What is a back tax form?
How do I file back taxes?
How do I pay back taxes?
What is the IRS statute of limitations?
What if I didn't receive a W-2?
What are the penalties for not filing my return?
What is a special situation regarding back taxes?
What is the IRS statute of limitations for back taxes?
What about the IRS & Substitute Tax Forms?
What is a penalty abatement?
What is an example of a penalty abatement?
What is a reasonable cause for penalty abatement?
How do I request a penalty abatement?
How do I request an interest abatement?
What is a penalty abatement request letter?
What about penalty abatements?
What if I rely on IRS incorrect advice?