Many people struggle to make tax payments on time each year. In fact, unpaid taxes can lead to serious consequences such as garnishee orders and other forms of seizure.
Without a timely way to access the money you need to pay your taxes, you could lose everything you own.
Thankfully, there are ways you can work with a qualified tax lawyer to reduce the amount of taxes you owe before dire actions are taken.
Still not sure how a lawyer can help you pay your tax debt? Keep reading below to learn more!
What Is Tax Debt?
Tax debt refers to money owed to a taxing authority, such as the Internal Revenue Service (IRS), state, county, or city, on taxes that have gone unpaid. Tax debt can accumulate for a variety of reasons, including failing to file taxes, filing taxes late, or owing more than the amount of taxes paid.
An individual or a business can accumulate tax debt when they owe more taxes than were paid on their taxes. Tax debt can sometimes include back taxes, penalty fees, and interest on unpaid tax bills. When resolving tax debt, you must contact the relevant taxing authority, typically the IRS, and arrange to pay the taxes due.
Payment plans may be available to help you pay the debt, often over an extended period of time. If you can’t pay the taxes due, other options exist, such as filing for an Offer in Compromise, paying with a credit card, or applying for Currently Not Collectible status.
Understanding Your Tax Debt With a Lawyer
A lawyer can help with your tax debt by providing an in-depth explanation of the various laws and regulations that apply to the situation. Lawyers can help review your financial records and offer advice on the best ways to handle and manage your debt.
For example, a lawyer can recommend negotiating a payment plan with the IRS or other tax agencies to help alleviate the financial strain and provide interest-free periods for debt repayment.
Additionally, a lawyer can assist with any legal issues that might arise. Such as filing for bankruptcy or appealing an IRS decision. A lawyer can also advise you on any additional tax strategies that you may need to utilize to reduce your debt.
Negotiate With the IRS
When it comes to negotiating tax debt with the Internal Revenue Service (IRS), hiring a lawyer for tax debt negotiation is often the best option. They can provide informed legal counsel and dispute settlements on your behalf.
Negotiations with the IRS can be intimidating and difficult, and a lawyer will provide you with the confidence to proceed in a professional manner and obtain fair settling terms. Additionally, a lawyer will also be able to provide advice on IRS regulations and explain potential options that you might not be aware of, such as an offer in compromise or an installment agreement.
Provide Advice About Appealing a Decision
When appealing a decision on a tax debt, it is essential to understand the rights and options available. It is recommended to hire a lawyer who specializes in tax law when appealing a tax debt decision. The lawyer can provide legal advice and representation in the process.
He or she will review the case circumstances, ask relevant questions, and represent your best interests before the governing body. The lawyer should also be familiar with the appeals process. Including the steps one must undertake to effectively appeal a decision.
Furthermore, the lawyer can provide helpful insights or strategies for appealing a decision. Professional legal advice and representation can increase your chances of successfully appealing a decision.
Dispute the Charges for Tax Debt
A lawyer can help by explaining the legal process and options you have for disputing the charges. They can advise on how to collect evidence, build your case, and make arguments to refute the charges.
Additionally, a lawyer can help protect you from other potential legal actions taken by governmental agencies or creditors. Ultimately, consulting a qualified lawyer can be the best option for anyone disputing a tax debt decision.
Assistance With Understanding Any Terms and Conditions
Having a lawyer by your side when it comes to dealing with tax debt can be immensely helpful. A lawyer can ensure you understand any and all terms and conditions that accompany the tax debt.
A lawyer will help to ensure that you follow all relevant tax laws and provide advice and guidance in regard to your rights and obligations. They can also explain the intricacies of any repayment plan or other settlement you may negotiate with the IRS.
Moreover, a knowledgeable lawyer can provide sound advice for making sure you don’t incur any further tax issues or penalties. This will save you time and energy in the future.
Finally, a lawyer can also help to assess if any legal remedies may be taken to reduce your tax debt and provide representation if you need to appear in a courtroom.
Providing Guidance When Filing Delinquent Returns
Hiring a lawyer for tax debt can provide much-needed guidance when filing delinquent returns. Many taxpayers, when faced with delinquent taxes, do not know what to do. They can be overwhelmed by the complex tax code.
A lawyer can provide guidance and clarity to help taxpayers make the right decisions when filing delinquent returns. They can identify the best strategy for dealing with tax debt and filing delinquent taxes.
Lawyers can explain the consequences of filing late or not filing at all. As well as provide helpful advice on how to negotiate and settle a delinquent tax debt.
Furthermore, they can also provide their clients with peace of mind, knowing that their taxes will be handled properly and according to the law. In short, hiring a tax lawyer can provide essential guidance when filing delinquent returns.
Hire a Lawyer to Help With Your Tax Debt
Hiring a lawyer to help with tax debt is a wise decision as it can help you reduce your tax bill and possibly mitigate fines and other repercussions. It may be a costly yet beneficial investment that can help you get back on track financially. Don’t wait any longer; contact a lawyer today to help you tackle your tax debt!