What is back tax relief?

There may be times where you may fall back on filing tax returns and paying your share to the IRS. Although this may not be intentional, this is something we must avoid at all costs so you do not need a tax lawyer. Paying tax dues is our responsibility that must not be taken lightly even if most of the money is sent to irresponsible people. However, a financial crisis could lead to a backlog of tax payments due.

Consequences of failure to pay back taxes

The federal government and the IRS have the right to collect taxes from you at any time. When you voluntary file back taxes the IRS may not prosecute you and impose hefty fines. The very reason that you voluntarily come forward to file back taxes will work in your favor. Failure to file returns and pay back taxes on the other hand may make the IRS not take such a lenient view and impose penalties of $10,000 per year and imprisonment up to a year for every year unfiled. Wesley Snipes knows all about this.

Too bad this website Tax.USAttorneys did not exist several years ago because if did Wesley Snipes could have remained out of jail and we would have Blade 4 and 5 by now. Hopefully they would be better than Blade 3 though.

Even if you teach English overseas in South Korea for example you must file your taxes. You will not have to pay any taxes but you must file your taxes. It is amazing some people believe they are above the law and that much smarter than everyone else.  

With the help of proper documentation you can prepare your back taxes for any previous year, even for a year that is decades back. Wage garnishments, and federal tax liens can also be imposed by the IRS on your business and tax attorneys have seen this happen before. You have to pay your taxes. The IRS has a bad rep right now since they employed scandalous people like Lois Lerner but this does not mean you do not have to pay your taxes.

Back tax relief

Back tax relief is a form of tax relief offered by the IRS to tax payers who are not up-to-date with their tax payments. There are various situations in which taxpayers may be eligible for back tax relief. Back taxes may happen if you fail to withhold correctly, which is common to some businesses.

Typically, the IRS will demand that you pay up the current taxes prior to addressing any back taxes from previous years. This will ensure that you don’t fall back on tax payments once again after resolving back taxes. 

Seek help from a tax lawyer

It is advisable to seek back tax relief with the help of a tax lawyer or accountant. Dealing with the IRS can be intimidating, stressful, and above all, complicated, especially in the event of an audit. A tax relief company understands the working of the IRS and its rules regulations and how they are applicable to businesses. The tax code itself is complex and therefore need experienced hands to deal with the IRS.

Paying back taxes – your options

Back taxes can be paid in full, which will include any interest and penalties. If you are unable to pay the amount in full, you could press the button for an Installment Agreement with the IRS and pay regular monthly payments based on the total amount due and how much you can afford. In the event of being unable to pay back taxes at all, you have the option of filing a Currently Not Collectible status with the IRS.

For this you will need to prove that your monthly expenses exceed your income. Another option is an Offer in Compromise, for which you will need to disclose detailed financial information in order to prove your inability to pay taxes.

There are other options such as bankruptcy, and, the time limit of ten years that the IRS has to collect back taxes. However, if you are thinking of continuing your business smoothly, then it is sagacious to set about clearing your back taxes by paying them in full. To do this, your best bet would be to hire a tax lawyer to ensure that you go about the process the right way. Press right here Tax.USAttorneys to make that happen!