Fort Worth IRS Tax Help

In most cases individuals are familiar with the IRS and the necessity of filing yearly taxes. In cases where people do not pay their taxes for several years or do not pay enough taxes they may owe the IRS a substantial amount. In many cases individuals are unable to pay the large amount the IRS demands. Congress asked the IRS to design a special program, known as the Offer in Compromise that is designed to help people legally settle their debts.

The program is basically a way for consumers to settle their debt with the IRS for less than they owe. You get a chance to formally appeal to the IRS for leniency on your tax debts. The IRS makes the final decision on whether they will issue a break. Generally the tax payer has to prove that they are either financially unable to make full payment on the debt or there is a possibility that they are not legally liable for the tax debt reported.

In these types of situations the IRS can legally offer taxpayers certain plans to help with the debt. Oftentimes the offer that you get is less than the amount that you actually owe but the final amount is calculated using a method designed by the IRS> There are 3 main offers available under the Offer in Compromise Program. The first offer they consider is Doubt as to Liability.

This offer is fairly straightforward because in this situation the tax payer is able to demonstrate that the tax debt is actually incorrect. People who file for this offer dispute that they actually owe the money.

It is the responsibility of the taxpayer to prove that they do not owe the money. The Doubt as to Liability option is oftentimes simply offered to those who have suffered a case of mistaken identity or Identity Theft.

Doubt as to Collectability is the second offer and is considered the most common. Taxpayers who are eligible for this option have showcased to the IRS that they will not be able to pay their IRS debt in full.

Basically this type of offer is for those situations where the IRS knows that they will probably not be able to collect their entire debt. The IRS will generally try to come up with a reasonable settlement amount by going over your disposable income as well as your assets. The third type of offer available in the program is Effective Tax Administration and it is the least accepted offer by the IRS.

In these types of cases taxpayers are able to pay off their tax debt but making them do so would cause financial problems.

American Tax Lawyer, Darrin T. Mish represents taxpayers all over the United States and on every inhabited continent. His many years of experience in dealing with tax problems benefits clients tremendously. He may be reached by calling toll free (888) 438-6474.