Ft. Lauderdale IRS Help

Having unresolved problems with the IRS can lead to severe consequences. Failing to address the matter can result in the IRS putting a levy (seize) your assets - from your paycheck or bank account(s).

There are a number of ways you can keep this from occurring. Offer in Compromise is the first method we will look at. This is a program mandated by Congress that allows taxpayers the option of making an offer to settle their tax debt in full. The offer can be less than the full amount but is calculated by the IRS. The IRS will no longer levy your property once there is an offer pending. There are three basic forms of this type of offer.

Doubt as to Liability is the first. This type of offer can only be made when the taxpayer questions whether he lawfully owes the money at all.

Doubt as to Collectability is the second type of offer. Within the Offer of Compromise Category, this is the most common.

The third type of compromise is called Effective Tax Administration. These offers are rare, at least in terms of acceptance by the IRS. It is designed for taxpayers whom the IRS feels can afford to pay their debt and applies when there may be some mitigating circumstances.

There is a fairly well-kept secret that is the second basic way of resolving problems with the IRS. It is based on the time limit for the collection of income tax. This is called the Collection Statute Expiration Date (CSED) and is generally ten years from the date of the assessment of the tax. It is possible to simply wait this out.

The third way to handle IRS difficulties applies if a taxpayer has no ability to pay (according to the IRS' analysis). When this happen, the taxpayer's account goes into Currently Not Collectible Status. This is also referred to as Status 53, so named because the number on the screen that an IRS employee sees for this procedure is: 53. During the time you are in this status, your debt is in the hardship category and the collection statute continues to run.

You can set up, as your fourth alternative, a payment plan or installment agreement. This is just what it sounds like.

Another method of obtaining relief from IRS tax debt is via bankruptcy. In this case, some of the taxes and penalties owed may become discharged.

Your sixth option is penalty abatement. Cancellation of any penalties is what this actually is. You still owe your original debt.

Innocent Spouse relief is also possible. Under specific circumstances, taxes due by a former or current spouse can be forgiven.

Regardless what your particular situation is, you are well advised to consult a professional to help implement any of these methods.

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 benefit clients tremendously. For more information, visit http//americantaxlawyer.com. Darrin may be reached by calling toll free (888) 438-6474.