It’s a gorgeous afternoon in Escondido as you stroll to your mail box. The sun peeking through the sparse clouds in perfect unison with the song of birds and the calm breeze, perfect harmony until you open and reach in the mailbox to find a formal notification with the IRS logo on the upper left corner. Your heart feels like it just stopped, your stomach jumps up in your throat, and a feeling of anxiety envelopes your emotions as you read the notification that you owe over $10,000. What do you do now? Close it back up and place it in a desk drawer and hope it just goes away? Not recommended. Disregarding the IRS or simply procrastinating will only make matters worse.
For Escondido, CA residents and business owners this is a real experience and if it has or happens to you, the recommended option is to call your local Tax Relief Systems office for a free consultation and begin the process of IRS and State of California Tax Settlement, with one of our tax relief professionals. The solution that works for you may not work for the next person. Many people with good intentions will tell you how they handled the IRS, but remember your situation is unique. We will look at your situation in its entirety; determine the best course of action and work to settle your tax debt, while protecting your precious rights as a taxpayer.
We have found that taxpayers looking for suitable answers for their IRS Back taxes related situation tend to fall for the Offer in Compromise (OIC) program because of quick fix TV commercials claiming to settle all of your back-tax debt for pennies on the dollar. The initial conclusion for most taxpayers is this is their only answer. That could not be farther from the truth. The good news, there are other options. It’s easy not to refuse the chance to settle your IRS tax debt ‘for pennies’, though it might work for some, it doesn’t work for everyone. The other available options include the following:
- IRS Collection Procedures for Filing and/or Paying Late – Pros: The ability to wipe out back taxes debt. Cons: IRS can attach a levy or/and lien on taxpayer property, longer resolution period, and may even unknowingly trigger an exception which might result in an extension of 10 years period. The 10 years period is the time statute of limitations on tax collections unless extended by the IRS.
- Installment Agreement – Pros: Flexibility, IRS becomes content, the prevention of further collective IRS action, and available any time. Cons: Interests continues to accumulate, longer period to pay off the debt, and you must keep the track of payments.
- File/Amend Past Tax Returns – Pros: Reduction of tax liability and the Reduction in the chances of potential penalty and interest. Cons: Acquires tax code information and issues with statute of limitations.
- Offer in Compromise (OIC) – Pros: Debt lowered through settlement, collection actions suspended, and the retention of certain assets. Cons: higher initial payments, strictness of noncompliance, possible liquidation of assets, and could be lengthy time to complete.
You have options and rights. Do not let the IRS intimidate you either way. The IRS has been directed to adhere to the rights; however, it is an institution created and ran by humans, which makes it fallible. Mistakes can be made and your rights as a Escondido taxpayer can be infringed. You need the protection only a tax relief company can provide.
Contact our Escondido office today at (424)264-5854 and let us help you get your life back to normal!