...there are several programs that will free taxpayers from draconian IRS collections.
Phoenix, Arizona (PRWEB) August 18, 2012
The Pew Law Center of Mesa, Arizona, offers serious tax relief services for Arizona residents in battle with the IRS over unpaid back taxes. Tax attorney Lawrence ‘D’ Pew explains how three IRS programs help individuals and small business owners get past unmanageable tax liabilities. “We do a lot more than represent clients at tax audits,” commented Mr. Pew, the law firm’s founder and managing attorney, “there are several programs that will free taxpayers from draconian IRS collections.”
Those programs may be known by tax attorneys, but most people have no knowledge of where to turn or what to do. “When people come to us for tax relief advice,” continued Mr. Pew, “we explain their taxpayer rights and the options available to them.”
Mr. Pew starts with three important programs available to taxpayers who genuinely need back tax relief – the installment agreement, offer in compromise, and currently not collectible status.
When the taxpayer is financially unable to pay the entire tax at once, the Installment Agreement allows for monthly payments to the IRS until the tax debt is down to zero. Tax refunds are also applied to pay down the back taxes. Although there are still penalties, interest, and a set-up fee to consider, the installment agreement works well for many Arizona taxpayers.
The Offer in Compromise is a settlement agreement between the IRS and the taxpayer in which the individual offers to pay less than the total tax obligation. “The IRS is motivated to accept a reasonable offer for less money because doing so saves on agency resources, expedites tax collection, and avoids the necessity of taking further action,” notes Attorney Pew, referring to federal tax liens. “There are strong incentives on both sides of the isle to cooperate.”
There is also Currently Not Collectible (CNC) status for the taxpayer with few assets and minimal income. “The CNC program is for people struggling just to cover their basic living expenses,” continued Mr. Pew. When paying the tax would cause substantial hardship, the IRS can suspend collections while the 10-year statute of limitations period continues to run out. Should the taxpayer’s finances notably improve, however, then IRS collections will resume. But when the 10-year limitations period expires, the taxpayer owes no tax.
To learn more about IRS installment agreements, offers in compromise, currently not collectible status, and tax audit representation, call the Pew Law Center at 480-745-1770 or visit the firm’s website at http://www.PewLaw.com.
Lawrence 'D' Pew is an experienced tax, bankruptcy, and transactional lawyer. He is the founder and managing attorney of the Pew Law Center, PLLC, a leading Arizona tax and bankruptcy law firm focused exclusively on debt relief. With law offices in Mesa, the firm serves Arizona residents in the greater Phoenix area, including Scottsdale, Mesa, Tempe, Gilbert, and Chandler. A client-oriented law firm with a mission to always exceed client expectations, the Pew Law Center has helped over 2,000 people file for bankruptcy and eliminate over $100 million in debt.