What to do if You Can't Pay the IRS

Are you one of the millions of frustrated taxpayers who cannot afford to pay their IRS tax debt? If you fail to pay your taxes the IRS can garnish your wages, place a levy against your home, seize your assets or level even more serious penalties. Time is not on your side and the longer you wait the more problems will grow. If you find yourself in this predicament, a tax professional can assist in negotiating an abatement of your penalties.

In order to qualify for a penalty abatement, you must show the IRS reasonable cause for not being able to pay the entire amount due. Reasonable cause can consist of death, loss of income, illness, or imprisonment, and a tax professional can assist you with this process.

There are still other solutions for reducing or paying back your IRS liability. One of those options is to establish an installment agreement. An installment agreement is a monthly payment plan that allows you to pay your debt without interest and penalties within five years. It can be negotiated by a tax professional and is based on income, expenses and amount of debt.  

However, if you owe the IRS more than $25,000 you may qualify for an offer in compromise. The IRS can "compromise" federal tax liabilities by accepting less than the full payment. A tax debt can be compromised for one of the following reasons: doubt of liability, doubt as to the taxpayer's ability to pay their debt, or the collection would create an economic hardship for the taxpayer. If you are going to attempt to get an offer in compromise accepted by the IRS, you will definitely need the help of a tax professional, as the forms are lengthy and the success rate is minimal for a non-professional.

Remember, you are not alone in this turbulent time, as there are professionals who can help rescue you from your tax liability. A tax professional can assist you in settling or eliminating your IRS debt- ultimately saving you money in the long-run. For a free consultation regarding your tax debt- visit www.cantpayirs.com and end your IRS nightmares today.

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