If You Owe the IRS, There Are Specialist That Can Help
- Posted: December 3, 2019
No one wants to be in debt and yet often it can feel and ultimately be unavoidable. It’s no secret that housing prices, healthcare costs, and other the prices of other basic necessities have been outpacing income growth for years. So if you’ve struggled with money and balancing the checkbook, then the first important thing to know is that you aren’t alone in this. Many others just like you are trying to get a handle on their budgets and overcome their debt and there are specialists and specialty programs out there that can help people in these types of predicaments. A great example of this is the Fresh Start Program and how it can help people who are in debt to the IRS for taxes owed.
Understanding What Happens When You Owe the IRS
First off, it’s important to determine whether or not you really owe the amount of taxes the IRS says you do. If you feel that you have been assessed for too high of a tax amount, then it’s important to get in touch with a Taxpayer Advocate Service or to contact the IRS’s own Office of Appeals division in order to have someone review your case and determine exact amount owed. You may also be able to more neatly resolve your tax issues in a tax court.
If this isn’t your case and you do legitimately face heavy taxes this year or are struggling with a lot of back taxes, then it’s important to understand the power the IRS has. IRS can legally seize any income via wage garnishment in order to satisfy federal tax debt or to fulfill taxes owed. They can also put liens on property and even issue asset seizure.
The IRS Fresh Start Program
For those individuals who are in the latter category and are facing wage garnishment and asset seizure, the good news is that the IRS has put together a new program to help you pay down debt more easily and significantly less invasively. This newer program is called the Fresh Start Program and it has been designed to allow taxpayers to pay off their tax debt over the course of six years.
Anyone who owes the IRS $50,000 or less in tax debt can qualify for this program and can get started at any time. The program will determine each taxpayer’s monthly payments based on their current income and the value of their liquid assets. So long as you complete those monthly payments, you won’t be subject to additional penalties or interest amounts and you can avoid tax liens, seizure of assets, and wage garnishments.
Stay Tuned for More Money Tips and Tricks for Debt Relief
Our team is always here to provide you with the best money tips and tricks to save you money and help you get out of debt fast. However, for personalized debt assistance, including determining how best to repay your IRS tax debt, it is a good idea to find a tax and financial specialist in your area who can help you organize your finances for long-term success.