Daytona Beach Income Tax Help

If you have unresolved issues with the IRS, you can be in for a bit of trouble. The IRS is allowed to levy (seize) funds from your paycheck of bank account(s).

There are a number of ways you can keep this from occurring. An Offer in Compromise is the first method we will discuss. To settle their tax debt in full, taxayers can use this Congress-mandated program. The IRS can calculate an amount less than the full payment originally deemed due. The IRS will no longer levy your property once there is an offer pending. There are three different types of offers.

The first is Doubt as to Liability. Whether the taxpayer lawfully owes the money at all is what is in question here.

The second type of offer is called Doubt as to Collectability. This is the most common type of offer and what people typically think of when they think of an Offer in Compromise.

The third type of compromise is called Effective Tax Administration. It is a rare event when the IRS accepts this type of offer. In this type of settlement, usually the taxpayer is able to make the payment, but for some reason it is determined that it would be difficult to implement payment.

There is a second way of resolving IRS issues, and it is actually a fairly well-kept secret. It is based on the fact that the IRS actually has a time limit during which they must collect their tax. This is called the Collection Statute Expiration Date (CSED) and is generally ten years from the date of the assessment of the tax. Sometimes, you can simply sit and wait.

A third way of resolving IRS problems occurs when a taxpayer has no ability to pay. Curently Not Collectible Status is what this type of status is called. When you are in status of Currently Not Collectible, the screen number that the IRS employee looks at is 53 - hence the name. During the time you are in this status, your debt is in the hardship category and the collection statute continues to run.

Setting up a payment plan or installment agreement is the fourth alternative. This is just what it sounds like.

If you are in bankruptcy, you may be eligible for the fifth 'method' of obtaining IRS tax debt relief. Some of the taxes and penalties or interest levied by the IRS may be discharged in this case.

Penalty abatement is another choice (the sixth we discuss here). Cancellation of any penalties is what this actually is. You still owe your original debt.

The last of our seven methods is Innocent Spouse Relief. This, too, is what it sounds like - if your current or former spouse failed to report income, you may be entitled to relief.

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.