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What is tax resolution and how do I know I need help?
An obvious answer to this question is,
"You know you need help when the IRS knocks on your door."
At the end of this article I will list the Top 8 specific solutions tax consultants like ETS provide for folks facing IRS tax issues, but before we get there let’s talk about some of the less obvious signs that you need an enrolled agent who is experienced in dealing with your tax issues and the Internal Revenue Service, before they start haunting your life and shutting you down. Let’s start with how you feel about taxes before we discuss our tax resolution methods.
Let’s say you just entered the working world and are game fully employed and you get your first pay stub only to be dumbfounded.
Questions you might have are: Where did all my money go? We’ve all seen the YouTube of a young man sitting in the back seat of his friends’ car while he proudly opens his first paycheck only to find a HUGE amount – in his eyes at least – missing.
This kid’s friends are all laughing at him because the look in his eyes is just plain funny.
They know that he is just about to learn the realities of death and taxes in the working world. Is this kid ready for tax resolution services? No. But talking to a tax professional as he starts his working life is not a bad idea.
So how can a tax professional help this neophyte? Well he doesn’t know about all the FICA and Medicare and Local taxes, but a quick call to a company like ETS can help workers young and old determine if they are getting the correct amount of taxes drawn from their paychecks. Our new worker may be paying too much from each paycheck or he may be paying too little. Get things right from the start is a perfect way to avoid EVER having to seek help for a tax resolution issue. But new workers are not the only folks who have trouble with this.
One of the more common tax resolution problems we come across are couples or older singles – and by older I mean anyone who has been in the work force for more than five years – who get in trouble with the IRS because they did not have enough money drawn from their paychecks each week and discover during filing season they owe the IRS thousands of dollars. There are two main reasons this happens: There was a change in or an addition of jobs; or a side business has been started by one or both partners in a marriage.
The days of having one job or even one career are over so when adults change jobs they often neglect to correctly fill out their new W-4s. Often they misunderstand what is asked from them on the forms or they think they may not have to have anything deducted since they have a day job and are just working for a little extra cash.
Sometimes this works but more often than not it does not. [Please call us if you find yourself in this situation. We can give you free guidance in this regard].
The other main reason – as mentioned – the working adult is taking a crack on their own with a small business idea or craft he has developed. One way to remedy tax deficiencies in this area is to pay estimated taxes every quarter to the IRS or simply increase the amount of taxes drawn from your main job’s paychecks; IF your venture is actually bringing in more money than your expenses. Tax resolution issues tend to creep up on small businesses - especially for sole proprietors. So much so that the IRS is trying to recruit over 1,000 new agents every year just to focus on sole props.
NOW FOR THE BIG EIGHT
Ok – so without getting overly technical, there are much more complicated reasons why one should call an experienced tax professional but I wanted to demonstrate that something as simple as paycheck miscalculation can get you into serious trouble and most tax pros will not even charge you a dime if you call them for a little bit of help regarding this basic issue. At least I hope that’s the case.
By and large you know that you need professional tax help when you start receiving threatening letters from the IRS. Once this happens – the clock for penalties has long since started ticking. More than likely you’ve owed taxes for one to three years and now owe penalties of up to 20% on the original balance for each year that you are behind. I wish I could put a nicer spin on this scenario, but there really is not one. So before I give you the Big Eight Tax Resolutions we at ETS offer, let me just emphatically state, “If you receive calls, visits or letters from the IRS, you should never, EVER, try to handle things on your own.”
The Internal Revenue Service is the largest and most successful collection agency on the planet. IRS agents are skilled practitioners who will do anything in their power – and they have a lot of it – to collect money, close files on their desk and get promoted.
These people make a lot of money – your money – padding their futures at taxpayer expense and they do this using 9,834 Internal Revenue Codes; all jammed packed into a book of 3,906 pages (I have one sitting on my desk as I write). These codes are their bible. But what they will never tell you is how each of these rules has rules of their own designed to protect you – the taxpayer. This isn’t just me saying this. There are plenty of former or retired goon agents who now work in my field helping folks like you reduce the trauma of being haunting by the agency who also aid folks with a tax resolution.
Folks say only a fool represents himself in a court of law, well I’m not going to call anyone a fool, because the game is rigged against all of us, but what do you call someone who picks a street fight with an agency that has loaded gun pointed at their head?
I will end abruptly here and give you list of our top services with a little assurance that we will address each of these and many more solutions and ideas to help you, your family and your business navigate the ridiculous tax maze that will forever encumber our lives. It's not all bleak. Whatever your situation, we can and will help you defeat the IRS with all of our power, experience and knowledge. Here's the list and the links that lead you back to them on our website:
1. Installment Agreements
2. Partial Payment Installment Agreements
3. Currently Not Collectibles
4. Innocent Spouse Relief
5. Offer In Compromise
6. IRS Statute Of Limitations
7. Penalty Abatements
8. Past Dues Tax Returns
The goal of Tax Resolution Station is not only to provide tax payers with an understanding of what solutions are available in a tax crisis, but also to serve as an information hub that helps tax payers prevent any runs-ins with the IRS. Make sure to click over to our Tax Preparation articles included in this site. Also visit Executive Tax Solution's aggregator site TAX FANS for updated current tax news from across the globe.
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