In the back of your mind, a question lingers: When is the best time to file an offer in compromise? You are right to wonder. The timing of your filing can make a big difference to the outcome. Before jumping in, here is what you should know about the best and worst time to file an offer in compromise: Now may be the best time to file an offer in compromise if: If your earnings are at a low point, and will likely stay there for the next 12 months. If the IRS sees your income heading up while they are looking at your offer, so could your settlement. It can take the IRS at ... Read More
Be careful: Why you may not want the IRS to release a social security levy
You are now retired, on a fixed income, relying on your social security benefits to pay the bills. Back in the day, you made some financial mistakes and got behind on your taxes. Maybe it was a business you owned that got into employee payroll tax problems. Or you stopped filing your taxes and were then not able to pay what you owed. Those missteps are behind you now, but the aftermath still lingers. The IRS just sent you Notice CP91, Final Notice Before Levy on Social Security Benefits. In 30 days, the IRS can notify the Social Security Administration that you have a tax debt, ... Read More
I just got my taxes back and owe the IRS. What happens next?
You just got your tax return back from your accountant. Or maybe you completed the return on your own with tax software. Either way, the result was terrifying. You owe money to the IRS that you cannot pay. And your mind begins to run with worst case scenarios. How will I ever pay them back? Are they going to take my house and car? Bank accounts? Wages? Can I actually stop the IRS and find a reasonable solution? Will I ever be able to get out from under this? The good news is there are ways to settle your taxes, prevent loss of property, and not have the IRS wreck ... Read More
Unfiled tax returns? Don´t wait, you could lose your refunds.
Not filing tax returns can be habit forming. With the best intentions, you miss filing one year's return. That grows into another year, and then another. Fears mount, procrastination feeds itself, and one missed filing turns into more years than you can keep track of. Getting motivated to get back into the system is seemingly impossible. Not filing tax returns can cost you money. Maybe you were employed for wages, with taxes deducted from your paycheck and paid to the IRS every year. Or you are self-employed, but sent the IRS estimated tax payments to cover your ... Read More
Why is my Revenue Officer not returning calls or responding?
An IRS Revenue Officer came knocking on your door, leaving a card, and a request that you call. Or maybe the Revenue Officer sent you an introductory letter threatening your wages and bank accounts if you did not respond. Either way, it is clear the Revenue Officer means business. They are the highest powered IRS collection agents, and are assigned cases the IRS has determined are worthy of attention. You do the right thing, and call the Revenue Officer back. But you have not received a return call. Or maybe the Revenue Officer demands a meeting, and you go, and answer all of their ... Read More