The #1 fear of people with tax problems–whether it’s an unpaid tax debt or years of unfiled tax returns–is that the IRS will seize their house. In fact, the Taxpayer’s Bill of Rights discourages seizure of a primary residence. However, a taxpayer must show an attempt to pay.
Five Tips to Make Tax Time Painless
Tax time is probably not your favorite time of year, especially if you have to pay the government your hard-earned dollars. Here are five tips on how we can make it just a bit less painful. 1. Have patience. Practicing patience will go a long way when you’re dealing with taxes. Keep in mind that […]
Tax Relief with Soulful Communication
Welcome to positive change. Relief from the pressure of having that gigantic IRS elephant on your back is what this blog is all about. I will show you different ways that you can resolve your IRS debt and regain your peace of mind. To begin, let me tell you a little bit about myself.
Offer in Compromise – Introduction
The road to tax relief can sometimes be traveled by filing an Offer in Compromise, or OIC, with the Internal Revenue Service. An OIC is a proposal to the IRS. You are asking them to allow you to pay less than what you owe. Example: You owe the IRS $125,000 and you file an OIC with an offer to pay $35,000. If they accept it you will only pay $35,000 and your IRS debt will be permanently settled.
Offer In Compromise – Assets
In order to solve your tax problems with an OIC you will need to fill out two IRS forms, Form 656, and Form 433-A (OIC). Assets are what you own. They can be either a purchase or a gift from someone. The most important thing about assets as they relate to tax relief is the equity in an asset. Equity is the difference between how much your asset is worth and how much you owe on the asset. In other words equity is the value of the asset minus the debt you owe. If you buy a car with a value of $15,000 and you owe $10,000 the equity is, you guessed it, $5,000.