There’s no magic potion to make your tax debt disappear, but you have options. When seeking tax debt forgiveness that allows you a lower adjustment to your debt amount fees, there are a few things to consider.
Search for solutions wisely: Handling a tax issue requires both urgency and caution, especially when the internet is rich with scammers overpromising solutions to your tax debt or even advertising made-up programs. Fortunately, there are reputable tax resolution companies like Tax Defense Network that offer proven solutions to your tax problem. Beware of claims to settle your tax debt for “pennies on the dollar” – it’s a scam.
Do your research: A trusted tax resolution organization will never charge you up front for an in-depth IRS review and consultation. Many companies will try to make you pay upwards of $1,000 for an “IRS Review” or “IRS Consultation.” These are scams. Tax Defense Network knows how hard it is to find a company you can trust with your livelihood, which is why we provide this service free of charge.
Other options if you can’t pay the full debt: You may qualify for various IRS payment plans, such as an Installment Agreement, that allows you to pay what you owe over time. Alternatively, if you’re eligible for an Offer in Compromise, you can settle your debt for less than the total owed.
Currently Not Collectible: If any payment amount will land you in financial hardship, you could be considered Currently Not Collectible (CNC). A CNC status means the IRS will suspend collection efforts until you’re able to pay something toward your back taxes. If your financial situation doesn’t improve, however, you may be able to avoid paying your tax debt indefinitely. Keep in mind that the IRS has 10 years from the date of assessment (the date they determined that you owed a debt) to collect.
Enlist a professional to explore your options: Though no genies in a bottle, Tax Defense Network’s team of tax professionals can help you weigh your options for IRS payment plans or forgiveness that work to your benefit. We work with the IRS on your behalf and keep you in the loop throughout the whole process so you can get back your peace of mind.