Tax Attorneys: Offering Debt Relief and Peace of Mind

April 2nd, 2015 | By | Posted in Uncategorized

Taxes can be really complicated, especially if someone owns a business. Unfortunately, the IRS doesn’t care that its materials are obtuse and impossible to navigate. If someone makes a mistake on taxes, they are merciless when it comes to collections. While the media villainizes people who are in debt to the IRS, the truth is most tax problems don’t result from scandal, they result from not everyone being a tax attorney. We understand that, many times, people don’t have the funds to cover their debt to the IRS. In a case like this, we recommend talking to a tax law attorney and finding out more about available options for tax debt relief.

Fight Wage Garnishment

When the IRS comes after someone for tax debt, there are a few things they can do to get the money they’re after. One of these techniques is called wage garnishment. What this means is that the IRS will contact the debtor’s employer and demand that the employer withhold a certain amount from his or her paycheck until the IRS debt is paid off. For families just getting by on a month-to-month basis, this tactic can be devastating and leave them without food or shelter. While the IRS may not care, tax attorneys do. Tax attorneys can stop wage garnishment and help protect a family’s hard earned (and much needed) money.

Fight Bank Levies

Another, and much more damaging, tactic used by the IRS is a bank levy. This tactic for collecting taxes owed is usually used only when other attempts to get the money have been unsuccessful. What happens with a bank levy is that the IRS contacts the debtor’s bank and demands the entire balance of the account as payment toward the tax debt.

What is really scary about bank levies is that they can be placed on any type of account including 401(k)s and other retirement funds. This means, if the tax mistake occurs when someone is in their 50s, they can have their entire retirement fund wiped out.

Usually, the IRS will send a letter to the debtor informing them of their intent to exact a bank levy. At this point, the debtor can choose to pay a different way or contact a tax attorney. When it comes to bank levies, we cannot sufficiently express the importance of calling a tax attorney to get some help. In many cases, attorneys can help avoid a bank levy and work out some kind of deal with the IRS that is much easier for the debtor and his or her family to live with.

The Good Deal

One great option available to people who hire a tax attorney is the IRS Offer in Compromise. This deal applies to people who owe over $10,000 to the IRS. The way this works is that the debtor sits down with a tax attorney and, based on income and assets, creates a proposal for payment to the IRS. This proposal outlines how much the debtor can afford to pay and why.

Hiring a tax attorney is a fabulous idea for anyone facing problems with the IRS. If nothing else, an attorney makes it illegal for the IRS to harass their client, which leads to better sleep, less headaches, and a little more hope.

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