Negotiating with the IRS
If You Don’t Do Anything: Your Tax Bill Grows Every Day You Don’t Pay
Many people who owe back taxes to the IRS do nothing, in the mistaken belief that they can fly under the government’s radar. The opposite is true. The IRS has thousands of investigative agents who collect billions of dollars each year through enforcement actions.
What’s more — your tax bill is growing every day you fail to pay it. The IRS assesses late filing penalties and late payment penalties that can add another 25 percent on top of what you already owe.
Get Professional Help With Back Taxes From Experienced Attorneys
At the law office of B. Phillips & Associates, P.C., we provide knowledgeable and professional help for people stuck with a tax bill they can’t pay. In our tax law practice, we represent both individuals and businesses in negotiations and appeals with the IRS.
Our goal is to take on the burden of negotiating with the IRS and fighting for a reasonable resolution to our clients’ tax problems.
Several Solutions May Be Available
Depending on your circumstances, the IRS may accept an Offer in Compromise, which we will build on your behalf. In an Offer in Compromise (OIC), the taxpayer provides proof that his or her financial situation prevents immediate payment in full of the total amount owed.
As we negotiate on your behalf with the IRS, we may seek one more of the following potential solutions via an Offer in Compromise:
- A lump-sum payment of an amount less than the total amount owed: We must show the IRS that the amount offered is reasonable based on your financial circumstances.
- An installment agreement: Based on your specific financial picture, the IRS may allow you to pay your back tax bill via installment payments over time. We will also attempt to negotiate a lower total amount due.
- Penalty abatement: As part of reviewing your tax burden, we will examine the penalties and interest the IRS has assessed on your unpaid tax bill. The amount of penalties and interest may be incorrect or unnecessarily burdensome. As part of our negotiations, we can argue that some or all of the penalties or interest should be removed from the total amount you owe.
- Appeals: if the IRS does not accept our Offer in Compromise on your behalf, our law firm provides IRS appeals services as well.
- Trust Fund Payroll Taxes: The trust fund payroll tax is a portion of employee’s wages (income tax, social security, and Medicare taxes – generally know as payroll taxes) withheld by an employer and kept in trust until paid to the Treasury. We regularly represent business owners to negotiate with the IRS back payment of trust fund payroll taxes.