For individuals with significant financial wealth, or large businesses, negative attention from the IRS can spell trouble. Tax problems are not taken lightly by the IRS, and they will stop at nothing to recover taxes. This puts you in an unfortunate position. Not only do you have to deal with the immediate IRS action, but also identify the next steps…
Accounting in Western Springs relies on the expertise of some of the best financial minds in the city. Luckily, this expertise also involves sophisticated strategies to deal with the IRS. Here’s what it involves…
IRS Audit Representation
An IRS audit can be intimidating, and handling it without professional assistance can lead to unfavorable outcomes. An experienced accountant will review your financial records, identify any discrepancies, and develop a strategic plan for responding to the audit. They will communicate with the IRS on your behalf, ensuring that all necessary documentation is provided and that your rights are protected throughout the audit process.
IRS Liens
An IRS lien is a legal claim against your property due to unpaid tax debts. It can affect your credit score and hinder your ability to sell or refinance assets. Your accountant can assist in negotiating with the IRS to release or subordinate the lien, allowing you more financial flexibility. They will assess your financial situation, explore options for resolving the debt, and help you develop a plan to pay off the outstanding taxes.
IRS Levies
An IRS levy is a legal seizure of your assets to satisfy tax debt. This can include bank accounts, entire wages, and other property. Accounting professionals can intervene to stop or release a levy by negotiating with the IRS. They will evaluate your financial condition, propose alternative solutions, and work with the IRS to find a resolution that allows you to retain control of your assets.
IRS Seizures
The IRS can seize personal or business property to settle tax debts. This drastic measure can have devastating effects on your financial stability. Accountants can work to prevent or reverse IRS seizures by negotiating payment plans or other resolutions. They will assess your financial situation, communicate with the IRS, and explore all available options to protect your assets.
IRS Payment Plans
For taxpayers who cannot pay their tax debt in full, the IRS is willing to offer payment plans that allow for gradual repayment over time. However, this requires the assistance of an accounting professional. They can set up an installment agreement that fits your financial situation. This involves gathering the necessary documentation, negotiating terms with the IRS, and ensuring that your payment plan is manageable and compliant with IRS requirements.
Offer In Compromise
An offer in compromise allows taxpayers to settle their tax debt for less than the full amount owed, provided they meet specific criteria. Accountants can evaluate your eligibility for an offer in compromise and guide you through the application process. They will help you prepare a comprehensive financial statement, negotiate with the IRS, and present a compelling case for reducing your tax liability.
Dealing with the IRS does not necessarily have to involve paying in full or paying outright. After all, the IRS prefers having what you owe them – one way or another. Working with an expert accountant allows your finances some much-needed breathing room. Specifically, an accountant can make a successful case for a forgiving payment plan, allowing you to get your finances in order. In dire cases, an Offer in Compromise can provide a new lease on life!
The right accountant can make a world of difference. So, work with the best! Reach out to a local expert today.
