Offer In Compromise (OIC)
When you have an IRS balance that you can't pay, the good news is you may qualify for an Offer in Compromise. An Offer in Compromise allows the taxpayer to settle their balance with the IRS for a reduced amount. YES, it is true, the IRS does and will allow you to pay a reduced amount if the circumstances are just. This is a very intricate and complicated process that requires the unique knowledge of the professionals at Wolf Tax to get the best resolution.
Another tax resolution option is when you can't pay the debt in full, you enter into an agreement with the IRS to pay a portion or all of your debt back. Many different types of installment agreement options exist, which are listed below.
- Partial Pay Installment Agreement (PPIA)
- Tiered Installment Agreement
- 5 Year Rule
Currently Not Collectible (CNC)
When you owe back taxes and are experiencing a financial hardship and do not have the ability to pay the IRS, you may qualify for Currently Not Collectible status. When you are placed in this status, the IRS will no longer proceed with collection activity for a set amount of time.
When you believe you have an inability to pay the current tax debt, the IRS may reduce or waive some penalties against you. The IRS charges rather excessive penalties for filing late, paying late and for many other reasons. If you believe you should not have to pay these penalties, contact a professional at Wolf Tax to discuss the best way to abate the penalties.
Within the last several years the IRS has increased its effort in collecting all funds due to them. The most common way is through auditing the tax return. In the event that you receive notification of an impending IRS audit, you need to contact an attorney at Wolf Tax immediately. Our well trained staff, along with your help, prepares and sends the necessary documents to get you the winning results. Handling an audit on your own can be very intimidating and you should not attempt to represent yourself alone. The tax agents who conduct audits are acting in the best interest of the IRS and it is imperative you hire and equally experienced representative to aggressively fight for you.