Outstanding taxes are known as back taxes. These unpaid taxes can result from the local, state, or national level. Whether the back taxes are from the previous year or many years prior, they typically include added penalties and interest, both of which become greater the longer the tax debt is outstanding.
Back taxes are the beginning of tax problems. If unpaid taxes keep stacking up, it will reach a point where the IRS takes serious action, and it could become difficult to pay off.
Consequences for not paying taxes on time include the following:
Sometimes it’s not possible to pay taxes on time. Luckily, the IRS has provisions to make it easier for people in this situation to settle tax debts. If you meet the criteria, you might be eligible for one or more of the following IRS back tax relief schemes:
The IRS applies a penalty to back taxes, as well as interest and additional late payment penalties. Sometimes the late payment penalties can be waived if there was a reasonable cause for the delay.
Paying taxes on time is the best way to avoid contact with the IRS, but there is hope if a situation does arise. If you’re being threatened with a bank levy or tax lien on your property, consider hiring a professional tax consultant. Experts understand the nuances involved with the IRS back taxes settlement process, and they will bring security and comfort to an otherwise dismal situation.
Back Tax Relief Services
Hiring a certified tax professional, such as an enrolled agent, CPA, or tax attorney, will ensure your specific case is handled properly. The complicated tax code and small details involved with tax relief strategies are better left in the hands of experienced professionals.
The experts at Long Island Tax Resolution Services will work to settle your IRS back taxes. Leave the complicated documentation and procedures to our team of highly qualified tax professionals who will find the optimal IRS tax resolution plan for your specific situation. From getting your documents in order to negotiating with the IRS on your behalf, Long Island Tax Resolution Services is always by your side. We also offer an Attorney PLUS program to maximize your benefits while minimizing your costs.