Having any kind of debt can be overwhelming, especially if you are unable to make the payments. But one type of debt that seems to be more difficult to handle than others is taxes. Perhaps it is because American workers are fed up with the tax system, and the idea of paying a large chunk of what you work so hard to make to the government leaves a bitter taste in your mouth. After all, you have an amount held out of your paycheck every pay period as it is, so why should you end up paying more every April? While paying taxes is certainly no fun, it is also something to take seriously. If you fail to file your return on time, or fail to pay taxes when they are due, you will be fined and penalized heavily. These added sums can make it near impossible to ever pay off your taxes, but there are some things you can do.
The IRS offers some programs for repayment of back taxes, and if you fall into this category it is smart to check out what options are available to you. The most common ways to repay past due taxes are:
- An offer in compromise: this type of repayment is one where the taxpayer offers an amount that is less than the total tax due, and the IRS agrees to accept that figure as full payment for the taxes.
- Payment plans: many times the IRS will agree to allow a taxpayer to make monthly installment payments on the taxes due. A word of caution though, the interest continues to accumulate until your entire tax debt is paid in full.
If you owe back taxes, the best advice is to take control of the situation by having a professional help negotiate a repayment plan. Ignoring the issue will not make it go away, and will only add to the amount you owe and could result in collection action being taken against you. The IRS has many tools at its disposal, such as wage garnishments and tax liens, and will not hesitate to undertake whatever action is necessary to get the taxes paid. If you owe back taxes, call us today to find out what solution works best for you.
If you have questions about how to repay back taxes, call a knowledgeable attorney to discuss your options. We can help you understand your choices and make a decision that works for you. Call a Plantation, Florida debt relief attorney today for more information.