I am often asked, “I owe the IRS, what should I do?”
There are the main options available to you:
- Fight the Debt
- Pay the Debt in full
- Pay part of the Debt
- Not Pay the Debt at all
Fight the Debt
- File returns to replace the Substitutes for Returns that the IRS created for you.
- Penalty Abatement
- Innocent Spouse Relief
- Fight the tax based on technical reasons.
Pay the Debt in full
- Paid the balance in full in one payment
- Request an Installment agreement
Pay part of the Debt
- Request an Offer in Compromise based on Doubt as to Collectability
- Request a Partial Pay Installment agreement
Don’t pay the Debt
- Wait until the statute of limitations expires
- Request an Offer in Compromise based on either: Doubt as to Liability or Effective Tax Administration
- Discharge in Bankruptcy
- Request “Currently Not Collectible” status
As a practical matter, most people with tax debt only have two, maybe three options available to them given the details of their situation.
Jeff Roltgen, Tax Rescue CPA
Jeff@TaxRescueCPA.com
www.TaxRescueCPA.com
Ready to fix your Tax Problems? Get Started today with your personalized, Free CASE REVIEW