Tax Debt Essay

615 Words3 Pages
The Burden Of Tax Debt You are required to pay taxes. If you do not pay taxes within a reasonable amount of time, then the Internal Revenue Service will begin to send you notices. You could be hit with large fines, which can greatly increase the total amount of tax debt that you owe. You could also lose your home or business due to tax debt. Wage garnishment is another consequence of unpaid tax debt. This means that when you get paid, a portion of your check will go towards your tax debt. Wage garnishment can make it difficult to make ends meet. Why It Is Important To Hire A Tax Attorney Many people in Orlando, Florida believe that they do not have any option for dealing with tax problems. However, that is far from the truth. You do not…show more content…
A tax attorney can make the harassing collection notices and phone calls stop. Even if the Internal Revenue Service has already started to take action against you, your tax attorney can stop that. There are a number of programs available to help you deal with your tax debt. Your attorney can explain those programs and help you select the one that is best for you. What Options Do I Have? Installment Agreement An installment agreement is a plan that allows you to make monthly payments towards your tax debt until it is paid off. You will be able to avoid the negative consequences of unpaid taxes, such as bank levies and wage garnishments, as long as you make the payments on time. Your income and the total amount that you owe are factors that are used to determine whether you will be approved for a installment agreement. Offer In Compromise Some people are able to pay less than what they owe thanks to the Offer In Compromise. An Offer In Compromise is where the taxpayer and the Internal Revenue Service agree on the total amount that one has to pay. People who are approved for a Offer In Compromise will be able to pay less than what they owe. In most cases, the amount that the taxpayer agrees to pay will be paid in monthly installments. Currently Not
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