Recent research shows that Americans owe the IRS over $114 billion in tax penalties and back taxes. In some cases, people fail to file their taxes because they find the process stressful and time-consuming.
If you find yourself in this situation, you may be wondering if you need to hire tax resolution services. While there’s no easy answer, there are some telltale signs that it may be time to seek professional help.
Tax resolution services can help you get your taxes sorted out, so you can breathe a little easier. Here are seven signs that it might be time for you to hire a tax resolution service.
1. You’re Receiving Frequent Letters from the IRS
If you owe the IRS, you may start to get letters from them. While getting a letter from the IRS can be daunting, it doesn’t necessarily mean you’re in trouble. But if you start receiving frequent letters, it’s a sign that you need to get some help from tax resolution services.
Tax resolution services can help you negotiate with the IRS and agree on payment plans or an offer in compromise. The tax professionals will assist you in communicating with the IRS and resolving any tax issues you may have.
2. The IRS Is Auditing You
The IRS audits less than 1% of all tax returns every year. If you’re part of this population, the IRS will examine your returns to ensure you are filing the correct amount. An audit means that the IRS will take a closer look at your tax returns to find out whether you owe them more money.
If you get an audit notice, don’t panic. Sometimes, the government picks random people. So it doesn’t necessarily mean you’re playing tricks on the IRS.
However, the audit process can be tricky as you have to provide the auditors with a lot of information. This is why you should hire tax resolution services. The specialists have the skills to double-check all the relevant information to ensure you don’t pay additional fines.
3. You Owe a Large Sum of Money to the IRS
Are you struggling to pay your tax bill?
If you owe a large sum of money to the IRS, you may need to hire tax resolution services. Letting the problem continue to grow will only make it more challenging to resolve, and the sooner you get help, the better.
Tax resolution services can help you negotiate with the IRS to reduce your tax bill. The professionals will also set up a payment plan or take other measures to make the situation more manageable.
Don’t try to tackle this problem on your own. Instead, work with tax resolution services as they can provide the expertise and experience you need to get your taxes under control.
4. You Haven’t Filed Your Taxes in Years
If you haven’t been filing taxes for years, it’s time to hire tax resolution services. There are several reasons why you might find yourself in this situation. But the bottom line is that it’s not going to be easy to catch up on your own.
Tax resolution services can help you get back on track and avoid penalties and interest charges. They will help you catch up on your tax filings.
However, you’ll need to choose the right tax resolution service with experience in negotiating cases similar to yours. You can check out the tips to help you make a smart decision when dealing with tax resolutions.
5. The IRS Has Placed a Tax Lien on Your Property
If you owe the IRS money, they may place a tax lien on your property. This means that the government has the right to seize your assets to cover your tax debt.
If you don’t act quickly, you’re at a high risk of losing your most precious assets. The best action is to contact a tax resolution specialist.
The professional will analyze the situation leading to the tax lien. They will calculate your asset’s value to determine how much the government is likely to claim. The tax specialist will then contact the IRS and negotiate to prevent the tax authorities from seizing your property.
6. You Want to Reach a Compromise With the IRS
If you have tax debts, the best way to get rid of them is to negotiate with the IRS. You’ll have various tax solutions, but there’s always one that will work best in your situation. This is why you need a tax resolution specialist to help you analyze the various options.
With tax resolution services, you will have a better insight into the possibilities and discover the one that will have the most benefits. For example, an installment agreement may be best if you have a stable, high income.
On the other hand, a lump-sum payment lower than what you owe may be the best option if you don’t have a disposable income.
The process of negotiating an offer in compromise is complicated and time-consuming. It would be best to hire tax resolution services to help you with the negotiation process. They’ll also negotiate on your behalf to get the best deal possible.
7. You Receive Notice That Your Wages Will Be Garnished
If the IRS has been trying to collect payment from you without success, they may garnish your wages. The tax authorities can take money out of your paycheck before it hits your bank account.
Your employer will send the IRS a certain percentage of your wages each month until your tax debt is paid off. This process can strain your finances, making it difficult to pay for basic living expenses.
If you’re facing wage garnishment, tax resolution services can help. The tax specialist will contact the IRS and negotiate to have the garnishment released. They may also be able to set up a favorable plan to help you pay the tax debts without much stress.
Hire Tax Resolution Services Today
You may come across various tax problems in your lifetime. Most of these problems will be signs that you need to hire tax resolution services to help you deal with the IRS. The tax professionals will help you resolve tax issues efficiently, saving you time and money in the long run.
If you’re looking for more financial tips, check out the rest of our website.