| Tax Problem Solver - Why You Need Professional | | | | * Offer In Compromise: an offer in compromise, OIC, |
| Help | | | | will usually be accepted by the taxing authority to |
| Tax problems come in different forms; IRS tax | | | | resolve your tax problem if the amount offered to |
| problems, State tax problems, and Sales tax problems. | | | | settle your tax problem is equal or exceed the |
| Tax authorities are constantly increasing their tax | | | | taxpayer's Reasonable Collection Potential, RCP. The |
| enforcement efforts through tax collection and tax | | | | IRS, or the State, or the Sales Tax Agency |
| audit. | | | | determines RCP by using the financial analysis tools |
| When taxpayers receive the dreaded tax notice that | | | | like the 433-A for individuals and 433-B for business |
| their tax return or their business is going to be audited | | | | entities. |
| and examined, the first thing they should do is seek | | | | No matter which option is correct to resolve your tax |
| professional tax advice. Same thing when taxpayers | | | | problems, usually there are more than one viable |
| receive collection letters threatening levying and | | | | option, it is essential that the taxpayer comply with the |
| garnishing their wages or paychecks, or the tax levy | | | | tax law going forward. That is, all tax returns are filed |
| letter for their bank account, taxpayers should seek | | | | timely; all estimated income taxes and payroll deposits |
| professional tax advice to resolve their tax problems. | | | | must be paid timely. |
| The most common options to resolve your tax | | | | An experienced tax professional who specializes in |
| problems are: | | | | tax representation would be the best person to have |
| * Full Payment: paying the amount on the tax notice | | | | in your corner when the IRS, the State, or the Sales |
| and avoiding the confrontation with the taxing authority. | | | | Tax Agency contacts you. |
| Most of the time, this option is not the best option for | | | | The most surprising fact of all after plumbing the |
| the taxpayer to resolve their tax problem, as often the | | | | depths of what to do when the IRS contacts you |
| tax bill is inaccurate. | | | | regarding a tax problem is how shallow the well really |
| * Pay The Correct Tax Only: paying the actual amount | | | | is. With the lull in activity on the IRS tax audit and |
| of taxes if you can afford it is usually a good solution | | | | collection front, there are relatively few pronounced |
| to your tax problem. This will entail working with the | | | | tax-experts. The $345 billion dollar tax gap remains |
| taxing authority to abate the penalty assessed. The | | | | fascinating to the US Congress and the IRS. It is a high |
| success of penalty abatement is based on reasonable | | | | profile item! |
| cause and not willful neglect. | | | | The IRS released tax records on their most famous |
| * Installment Agreement: paying the tax amount | | | | tax problem cases that imprisoned Al Capone, they |
| through an installment agreement is a common way to | | | | inadvertently nabbed the Governor of New York |
| resolve your tax problem. You should seek | | | | allegedly spending tens of thousands of dollars for |
| professional tax advice, as the taxing authority will | | | | what they least expected. From Will Smith, to Wesley |
| usually request a large monthly payment, while | | | | Snipes to Nicolas Cage IRS audits and collection are |
| professional tax representatives will work on attaining | | | | on the rise, and is expected to continue for many |
| an installment agreement that is reasonable and you | | | | years to come! |
| can live with without causing a financial and economic | | | | So, do you have a tax problem yourself? Do yourself |
| hardship on you and your family. | | | | a favor and take action to resolve your tax problems. |