Tax Resolution for Businesses
Tax debt can feel overwhelming for individuals and businesses alike.
Our tax resolution services are designed to help taxpayers address outstanding tax debt and find a path to financial stability while offering guidance and support throughout the process.
The two most common resolutions we help with are installment agreements and offer-in-compromise agreements.
Setting up an installment agreement with the IRS allows you to pay off your back taxes over time while remaining in good standing with the taxing authority. This is a good option for people that want to get rid of their tax debt but don't have enough money to pay it off all at once because it breaks the amount down into affordable monthly increments.
Many taxpayers like installment agreements because the IRS may reduce certain penalties once the agreement has been established. Please read on to learn more about how this arrangement works and if it's a possible payment plan for you.
Prerequisites. Before applying for an installment agreement with the IRS, you must file all delinquent tax returns. We can then file Form 9465 to request an agreement, but be aware that the IRS will charge a fee and continue to charge interest on your tax debt as you pay.
Payment Plans. There are different payment plans, but all require consistent monthly payments to avoid defaulting. Some require only a small payment each month until the statue of limitations is reached, while others require larger monthly payments for full repayment.
Choosing the Right Plan. The IRS has specific requirements for each type of installment agreement. If you owe less than $25,000, a qualified tax professional can help you obtain a plan easily. Even if you owe more, we can help find the best solution to settle your tax debt.
Our role in the process is to review your financial situation and help you determine the best type of agreement, and help with the application process.
We will advise you on any ways to reduce tax liability to make installment payments more manageable and ensure compliance with the terms of your installment agreement to avoid defaulting or incurring additional penalties and interest.
Offer in Compromise Agreements
An offer in compromise (OIC) is a unique settlement option where the IRS agrees to accept less than a taxpayer actually owes. For taxpayers that feel the assessed amount of their tax bill was unfair or for those who may never be able to pay their entire tax bill due to financial hardship, this could be an attainable settlement option.
Obviously, the IRS does not easily accept this type of offer. But, if your case meets the requirements, a skilled CPA firm can construct a sufficient offer.
The first step will be to find out if you qualify for an offer in compromise under current IRS guidelines.
Do You Qualify for an Offer in Compromise?
To find out if your particular situation qualifies for this type of tax relief, review the information below then call us at 678-213-0602 or request a consultation online to discuss your case. We understand what kind of evidence needs to be presented to the IRS in order to agree to reduce your tax debt.
- Doubt as to Liability
To qualify for this provision, a taxpayer must deliver ample evidence that the assessed tax liability is incorrect and consequently, they should not be liable for the full amount.
- Doubt as to Ability to Pay
If a taxpayer can show that they don't currently have the ability to pay their tax debt and the IRS probably never will recover the full amount, then they may qualify for a reduced bill under this category.
- Effective Tax Administration
This relatively new option was created for taxpayers who are unable to work to pay off their tax debt because they're elderly or are in very poor health and can't work.
Types of Offers in Compromise. There are a few main types of offers. The actual payment will be calculated based on your income, expenses and asset equity: