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IRS Tax Settlement Considerations - Offer in Compromise

Before beginning your efforts to resolve your back income tax problem with the IRS, it is important for taxpayers to familiarize themselves with how the IRS settles income tax debt. In all honesty, you will never know the complete Offer in Compromise process. Financially struggling taxpayers may find themselves at the mercy of TV tax companies who are more concerned with their "bottom line" than they are in resolving your tax debt. Someone has to pay for those very expensive TV ads and that someone is you.

Need IRS Help - Do Your Research - Get The Best IRS Help

When you owe more than $10,000 to the IRS, you will need IRS tax help. Use the internet to check out the BBB ratings. Check out to see if their have been any client complaints. If you do this, you will find out that Flat Fee Tax Service, Inc.

KNOW THIS:

A. IRS Tax Relief Options Will Vary

B. IRS Tax settlement options vary from taxpayer to taxpayer. Certain IRS tax relief options make more sense than others and are based entirely on, an individual taxpayer's situation. These factors will include:

1. Taxpayer’s income (are you married or single)

2. Assets (bank accounts, retirement accounts, etc)

3. The length of time the income tax debt has been owed

4. Past tax return filings (are you missing tax filings?)

5. Enforcement actions taken by the IRS to collect back taxes

Settling Your Taxes For Less Than You Owe

The IRS will not allow taxpayers to pay less than they owe, unless they qualify for one of these programs (e.g. Offer in Compromise). Qualifications for these Fresh Start Programs are difficult for taxpayer to obtain if they try to do their own Offer in Compromise settlement.

THE IRS "STACKS THE DECK" AGAINST THE INDIVIDUAL TAXPAYER.

95% OF FLAT FEE TAX SERVICE, INC.'S CLIENTS HAVE RECEIVED A SUCCESSFUL OFFER IN COMPROMISE SETTLEMENT.

It is very important to note, IRS hardships (Offer in Compromise or Currently not Collectible) could be caused by the amount of the tax debt owed. For example, owing $1,000,000 in tax debt is clearly a hardship on an individual earning $75,000 a year. To settle your income tax debt, you must owe more than $10,000. Anything less will result in being declared Currently not Collectible.

Household expenses and obligations factor heavily into the IRS settlement equation. Experienced professional help is highly advised. Having an experience IRS Tax Attorney is advisable if you are serious about being successful.

A financially struggling taxpayer should consider if the following factors apply:

1. Lack sufficient desposible income to pay their income tax debt.
2. Job loss
3. Health and disability issues within the household
4. Unforeseen financial shocks (i.e. house burned down, death in the family, etc)
5. Back taxes are creating a financial hardship
6. The amount of back taxes owed, could not be paid in installments over a reasonable period of time
7. Do You Actually Owe The Tax Debt?

An IRS letter stating you owe back taxes doesn’t always mean you do. Many income tax debts are resolved by carefully reviewing past federal tax returns. In many cases, taxpayers are unaware they never filed their tax returns for the back taxes in question. This may turn out to be a good situation.

THE IRS DOES NOT FILE TAX RETURNS. THE IRS CREATES A DEBT TO COLLECT THROUGH A MECHANISM CALLED "SUBSTITUTE FOR RETURN". THESE SUBSTITUTES FOR RETURNS ARE NOT TAX FILINGS AND CAN BE CHALLENGED. CHALLENGING A SUBSTITUTE FOR RETURN CAN GREATLY REDUCE YOUR INCOME TAX DEBT.

After a period of time, the IRS will file a Substitute for return for you with the best information (accurate or flawed) they can find. They consider past years tax returns and third party information to create a “Substitute For Return (SFR)“. Any taxpayer who falls into this situation, may challenge the Substitute for Return.

An experienced IRS Tax Attorney is highly recommended if a tax return WAS filed for the tax debt in question. Paying a few hundred dollars to review a tax return may translate to saving tens of thousands of dollars. A taxpayer’s first step in settling back taxes, should never be a call to the IRS.

CALL THE FLAT FEE TAX SERVICE, INC. IRS TAX HELP PHONE: 1-800-589-3078

FOR YOUR FREE AND CONFIDENTIAL CONSULTATION.

FIND OUT WHAT ALL OF YOUR OPTIONS ARE.

FLAT FEE TAX SERVICE, INC. IS BBB ACCREDITED AND MAINTAIN AN A-PLUS RATING.

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CONTACT US

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Flat Fee Tax Service

3200 4th Ave., Suite 208,

San Diego, CA 92103

Phone. 800-589-3078

Email. info@flatfeetaxservice.us