Tax Relief: 5 Important Things You Need to Know

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You’re making more money and you feel like a boss. Well, you feel like a boss until you see how much money you owe in taxes.

How do they expect you to pay that much of your income to the taxman? If you’re in need of tax relief, you might be experiencing sleepless nights.

You’ve heard about how relentless the IRS can be when you owe taxes. Take a deep breath and continue reading this article to learn more about tax relief.

1. IRS Payment Plans

One of the easiest ways to get the IRS off your back is to set up a payment plan with the IRS. If you know you can pay your taxes but you need a little bit more time, the IRS will usually allow you to make payments. 

There are a couple of options you can choose when it comes to IRS payment plans. One of those plans is a short-term plan that is 120 days or less and the other is the long-term plan that is more than 120 days.

When you need Income Tax Relief, this is one of the simplest options but not the only one.

2. Offers In Compromise

If you’re willing to do a little extra work, you might think that an offer in compromise makes more sense for you. When you are approved for an offer in compromise, you’ll be able to pay less money in taxes than what you owed originally.

When you are experiencing financial hardships, you may be able to qualify for tax relief through an offer in compromise.

3. Currently Not Collectible Status

If you’re finding it difficult or impossible to pay your taxes and your living expenses, you can speak to the IRS about putting your taxes in the currently not collectible status. You have to request the delay in collection and you are likely to have to prove that your finances are as bad as you say they are.

4. Hiring a Tax Attorney

If you’re confused about your options and you don’t know what would be the best option for you, you might want to hire an attorney. When you hire an attorney, you don’t have to figure out all of the legal terms and forms that are necessary. 

You may also get a more favorable decision from the IRS because they know how the system works.

5. Tax Relief Companies

If you’ve seen offers of help from tax relief companies, keep in mind that even though their advertisements are flashy, they don’t always get the win. While they can be helpful, keep in mind that if they don’t get the offer in compromise you want, you’ll still be on the hook for your taxes.

Take a Breather – Tax Relief Is Here

Now that you know more about tax relief, you can breathe a sigh of relief. 

Why stop learning there? View some of our other articles on the site to learn more helpful information about finance, business, and life in general. Or contact cooper parry.