The first-time penalty abatement is the most commonly available type of waiver allowed by the IRS. If you have a good history of filing and paying taxes on time and you don’t have a record of penalties, you may be qualified for first-time penalty abatement where the IRS waives the penalty.
Offer in Compromise is a negotiation between the IRS and an individual who struggles to pay their tax liability in full or will experience financial hardship in doing so. This is also a legitimate method to settle tax delinquencies for a reduced amount. There are certain factors to consider such as income, ability to pay, and asset equity.You must make the required tax returns and estimated payments plus an application to ensure eligibility. You will also be asked to complete Form 433-A for individuals or Form 433-B for businesses and Form 656 in addition to the required documents.
One of the common avenues for tax relief is an IRS Repayment Plan. This will allow you to split the total amount owed into manageable payments and avoid garnishments and levies
Many people feel their confidence decreasing once they face the complex and grueling process of dealing with taxes. This is perfectly reasonable. There is a reason professionals such as enrolled agents and certified public accountants and tax relief programs exist. These professionals understand and can stay on top of the
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